Oil drilling to expand off Canada's Atlantic coast
Canada's island province of Newfoundland on Tuesday announced a tentative deal with oil firms to significantly boost Atlantic offshore drilling Offshore drilling typically refers to the act of extracting resources, primarily oil, in an ocean or lake. Controversy
As with all oil drilling, there has been a certain level of controversy surrounding the issue. in the Hibernia oil fields This list of oil fields includes major fields of the past and present. The list is incomplete; there are more than 40,000 oil and gas fields of all sizes in the world. .
The original field, located in the Jeanne d'Arc Jeanne d'Arc: see Joan of Arc. Basin about 315 kilometers southeast of St. John's, Newfoundland, has produced 670 million barrels to date, after nearly 12 years of production.
The Hibernia Southern Extension, where new drilling is to occur, contains an estimated 220 million barrels of oil.
Newfoundland's government agreed to pay 30 million Canadian dollars (26.5 million US) for a 10-percent equity stake in the project, and hopes to collect 10 billion dollars (8.8 billion US) in resource royalties from the field over the coming years, said a statement.
According to according to
1. As stated or indicated by; on the authority of: according to historians.
2. In keeping with: according to instructions.
3. a memorandum of understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. , the province's Nalcor Energy would team up with partners ExxonMobil, Petro-Canada, Chevron, Murphy Oil Murphy Oil Corporation NYSE: MUR is a petroleum corporation. It is a S&P 500 company. In 2007, it was ranked as the 169th largest company in America on the Fortune 500.
The current President & CEO is Claiborne Deming. , Canada Hibernia Holding Corporation and StatoilHydro on the Hibernia Southern Extension.
Discovered in 1979, the Hibernia oil field was estimated just prior to the start of production in 1997 to contain 666 million barrels of oil by the Canada-Newfoundland Offshore Petroleum Board.
That estimate has since increased to 1.244 billion barrels of recoverable oil, including the estimated 220 million barrels contained in the Hibernia Southern Extension.