CORP / Canadian 88 Energy Corp. and Newport Petroleum
Corporation Resolve Caroline Dispute
TSE, ASE, AMEX SYMBOL: EEE
JANUARY 7, 1999
CALGARY, ALBERTA--Canadian 88 Energy Corp. and Newport Petroleum
Corporation have announced today that they have entered into a
settlement agreement with respect to their joint lands in the
Caroline Area. The agreement addresses all of the issues
outstanding between the corporations, and establishes a mechanism
for the withdrawal without costs of all legal actions pertaining
to the dispute between the two corporations.
The companies will be preparing a joint development plan for the
Caroline Beaverhill Lake 'B' Pool for submission to the Alberta
Energy and Utilities Board (AEUB) in early January, 1999. This
plan will detail the drilling sequence, testing plans and
processing alternatives being considered by both companies. Both
Canadian 88 and Newport will continue to actively participate in
the Caroline Beaverhill Lake 'B' Pool Advisory Committee, which
also has representatives from the AEUB, the Sundre Petroleum
Operators Group, and the community.
Included in the agreement is a division of operatorship of the
lands. The corporations will establish a joint technical team to
work together on all development matters including jointly
assessing gas processing alternatives. This will lead to timely
development and ultimate production from this very significant gas
discovery.
Canadian 88 Energy Corp. (EEE) is an independent public oil and
gas company with head office in Calgary, Alberta, Canada. The
shares of Canadian 88 Energy Corp. are traded on the Toronto,
Alberta and American Stock Exchanges. |
