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HIBERNIA PROJECT MOVING FORWARD

 CALGARY, Alberta, Jan. 15 /PRNewswire/ -- Petro-Canada Resources (Toronto: PCA) President Norm McIntyre stated today he is very pleased that the combined efforts of the Governments of Canada and Newfoundland and the continuing Hibernia owners -- Mobil Oil Canada, Chevron Canada and Petro-Canada -- have ensured that the Hibernia project will proceed. "This is good news for Petro-Canada because Hibernia represents an attractive economic opportunity. It is a good deal for our shareholders," he said.
 According to an arrangement announced today, Gulf's 25 percent working interest will be shared by Mobil and Chevron with 5 percent each, Murphy Oil with 6.5 percent and the Government of Canada with 8.5 percent. Petro-Canada will retain its current interest level. The resulting working interests will be Mobil with 33.125 percent, Chevron with 26.875 percent, Petro-Canada with 25 percent, the Government of Canada with 8.5 percent and Murphy with 6.5 percent.
 McIntyre said the agreement allows the project to remain on schedule and achieve a 1997 start-up. He credited employees for the progress on the project during 11 months of uncertainty. "It was the tremendous efforts of employees from the Hibernia Management and Development Co. and from Petro-Canada, Chevron and Mobil that maintained project momentum and achieved significant engineering improvements during a challenging period," he said.
 "I believe the Hibernia project is the beginning of a major Canadian offshore petroleum industry, and I also believe that Petro- Canada will continue to play a strong role in this new Canadian frontier as its development proceeds. According to the Canada Newfoundland Offshore Petroleum Board, 1.6 billion barrels of reserves have now been discovered on the Grand Banks, sufficient reserves to produce 200,000 barrels of oil per day for more than 20 years. Petro-Canada holds about 25 percent of those reserves. This new confidence in achieving commercial production from Hibernia will, I'm sure, stimulate other exploration and development programs.
 "We are extremely pleased that all of the uncertainty has been lifted and that Hibernia will now move ahead on a sound financial footing. This allows the working interest owners to focus their energies on carrying the project forward to its successful completion. Beginning in the late 1990's, we expect Grand Banks developments to provide major additions to Petro-Canada's reserves of light oil and cash flow from operations. We look forward not only to the opportunities this will provide for our company,
 /CONTACT: Dave Hocking, Public Affairs of Petro-Canada Resources, (media and general inquiries) 403-296-8484, or John Skelton, Investor Relations of Petro-Canada Resources, (investor and analyst inquiries) 403-296-4000/
 (PCA.)


CO: Petro-Canada Resources ST: Alberta IN: OIL SU:

JB -- LA027 -- 5545 01/15/93 17:02 EST
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Date:Jan 15, 1993
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