NEWSGreat News
Garden Hill Lease Extended
ST. JOHN'S, Aug. 10 /CNW/ - Canadian Imperial Venture Corp. ("CIVC") is pleased to announce that the Minister of Natural Resources, the Hon. Kathy Dunderdale, has agreed to extend the term of the Petroleum Lease 2002-01 ("PL 2002-01") under certain terms and conditions. Petroleum Lease 2002-01 comprises approximately 33,000 acres on the Port au Port Peninsula ("Lease Area"), which includes Newfoundland's first onshore oil and gas discovery at Garden Hill South and the exploration prospect at Garden Hill North.
The Newfoundland and Labrador Government has agreed to extend PL 2002-01 for an additional 5-year term under the following terms and conditions:
- That the parties to the agreement commence a drilling program in theLease Area no later than August 12, 2008 and commence and maintainproduction in the Lease Area without cessation, except for a periodtotaling two years between August 12, 2008 to August 12, 2012;- The parties commit to spend a minimum of $10,000,000 on a work programthat includes a well in the Lease Area;- The parties agree to pay a refundable security deposit of $500,000against the $10,000,000 work program.
By prior commitment, the parties will commence a geophysical program at Garden Hill North in August 2007 for a minimum expenditure of $2,500,000.
"I am delighted with this extension which will trigger an aggressive work program in excess of $12.5 million in western Newfoundland," said Steve Millan, Chairman and CEO of CIVC.
CANADIAN IMPERIAL VENTURE CORP.
"Steven M. Millan"
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Steven M. Millan, P.Geo.
Chairman and CEO
This release includes certain forward looking statements which reflect beliefs, expectations, objectives and goals which are believed to be reasonable at the time such statements are made. Actual results could differ materially from anticipated results and may be impacted upon such factors as commodity prices, political developments, legal decisions, market and economic conditions, industry competition, the weather, changes in financial markets and changing