Corridor Has 50% Carried Interest In Exploration Well Near Sussex, New Brunswick
Halifax, Nova Scotia, August 3, 2000: Corridor Resources Inc. (CDH - CDNX) announced today that it holds a 50% carried interest in an exploration well to be drilled by the Potash Corporation of Saskatchewan Inc. (PCS). The well, called McCully #1, is located approximately 11 kilometres northeast of the town of Sussex, New Brunswick. PCS will drill the well to a maximum depth of 2400 metres at an estimated total cost of $1,500,000, and intends to utilize the well for disposal of brine. The well will commence drilling approximately the 10th of August and is expected to reach total depth in mid September. It will penetrate and evaluate an Albert formation oil and natural gas prospect which was identified by a 3-D seismic survey run in the area by PCS last year.
PCS will carry 100% of the cost of the well in order to earn a 50% working interest in Corridor's petroleum and natural gas rights in four sections (1,440 hectares) in the immediate prospect area. Corridor retains 100% of the petroleum and natural gas rights in 52,000 hectares (146 sections) immediately to the east, west and north of the McCully prospect. The McCully well will be the first to test a petroleum prospect in the Maritimes Basin based on the application of 3-D seismic technology.
Corridor is a junior oil and gas exploration company, headquartered in Halifax, Nova Scotia, with interests in more than 5 million acres of petroleum exploration licences in Quebec, New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland.
The Potash Corporation of Saskatchewan Inc. is a public company trading on the Toronto and New York stock exchanges.
This press release contains certain forward looking statements relating to, but not limited to, Corridor's operations, anticipated financial performance, business prospects and strategies, including expectations relating to production levels; capital expenditure programs; the quantity of natural gas reserves; projections of market prices; projections of costs; supply and demand for natural gas; expectations regarding the ability to raise capital and to continually add to reserves through exploration and development; and treatment under governmental regulatory regimes. These statements are based on current expectations that involve numerous assumptions regarding factors and risks that could cause actual results to vary materially, including, without limitation to, the following factors: risks associated with oil and gas exploration, financial risks, substantial capital requirements, bank financing, government regulation, environmental, prices, markets and marketing, dependence on key personnel, dependence on Potash Corporation of Saskatchewan, Inc., availability of drilling equipment and access, risks may not be insurable, management of growth, expiration of licenses and leases, reserves estimates, seasonality, competition, conflicts of interest, Kyoto Protocol, issuance of debt, title to properties and hedging. There is no representation by Corridor that actual results achieved will be the same in whole or in part as those set out in the forward looking information. Furthermore, the forward looking statements contained in this press release are made as of the date hereof, and Corridor undertakes no obligation, except as required by applicable securities legislation, to update publicly or to revise any of the included forward looking statements, whether as a result of new information, future events or otherwise.
