Husky community consultation Question: Are you the client for that quarry that HRN (Hodgson-Red Dog-Nuna) got approval
for?
Response: Yes, we are a client. We plan to utilize the material from that quarry because we
need aggregate for the topping on our road since we have confirmed that shale is too soft and
gets very slippery when wet.
Question: What would happen if you got referred to an environmental assessment (EA)?
Response: We have had a lot of discussion with the Mackenzie Valley Environmental Impact
Review Board (MVIERB) to ask them what they hope to accomplish by an EA. The result
would likely be a two to three year delay in our exploration program which would seriously
impact our ability to fulfill our work commitments.
Question: What are “commercial rates” on your economic well hopes?
Response: We won’t know that until we can drill and flow test the wells. We would need wells
capable of flow rates in excess of 1,000 barrels per day (bbl/day) of the initial production.
Question: How come you are only doing 19km of your all-weather road?
Response: We have approval for the entire length but we don’t want to get ahead of ourselves
and we really need to get good results from the next wells before we will think about expanding
the length of our all-weather road.
Question: No other exploration project has an all-weather road unless you know it is going
ahead to production.
Response: We require an all-weather road because we need to do long-term testing and we
cannot do that over just three months in the winter. So in order to work over the summer, we
need an all-weather access road.
Question: When are you planning to build the rest of the all-weather road?
Response: We do not know because the direction our project is taking is to go straight to
drilling horizontal wells and focus on the area near N-09. So we do not currently have any
plans to drill additional wells near H-64 so that road is not required at this time.
Question: In the last presentation you said that the vertical wells were delayed due to
construction delays.
Response: We could not drill vertical wells last summer because the all-weather road was not
ready and we did not have approval from the National Energy Board in time.
Question: This tells me that the two wells were better than you thought so now you are
moving to the next level.
Response: The N-09 well was encouraging and we feel that the critical information will only
be obtained from a horizontal well program.