Husky Energy Sanctions Liwan Gas Project in South China Sea

Calgary-based Husky Energy Inc. has sanctioned the development of two gas fields in the South China Sea. Husky and China National Offshore Oil Corporation, a Chinese producer of offshore crude and natural gas, are jointly developing the fields as part of the Liwan gas project, which aims to bring to market at least three natural gas discoveries approximately 300 kilometres southeast of Hong Kong. The Overall Development Plan (ODP) for one of the fields has been submitted to Chinese government authorities for regulatory approval and a gas sales agreement for production from the field is in place. The project is proceeding towards planned first gas delivery in 2013-2014.