G. E. Reinson and K. J. Drummond G. E. Reinson and K. J. Drummond

NORTHERN CANADANORTHERN CANADAThe Next Petroleum Province The Next Petroleum Province

Hydrocarbon Potential and Hydrocarbon Potential and Exploration Play TrendsExploration Play Trends

2003 Geoscience Forum2003 Geoscience ForumYellowknife, N.W.T.Yellowknife, N.W.T.November 19, 2003November 19, 2003

ACKNOWLEDGEMENTACKNOWLEDGEMENT

HYDROCARBON POTENTIAL ANDEXPLORATION PLAY TRENDS

NORTHWEST TERRITORIES AND YUKONA Technical Inventory and Geological Review

July, 2000

This presentation is based on the followingmulti-client study by Sproule Associates Ltd.

The authors would like to acknowledge and thankSproule Associates Limited for permissionto present this paper.

OBJECTIVESOBJECTIVESƒTO COMPARE HYDROCARBON

PROSPECTIVITY AND RESOURCE POTENTIAL OF THE DIFFERENT REGIONS

ƒTO HIGHLIGHT THOSE REGIONS THAT ALREADY CONTAIN SUBSTANTIAL DISCOVERED RESOURCES

ƒTO HIGHLIGHT THOSE REGIONS OR BASINS THOUGHT TO HAVE SIGNIFICANT UPSIDE RESOURCE POTENTIAL - NOT YET DISCOVERED

286

1919

5959

WCSB

MACKENZIE/BEAUFORT

SCOTIAN SHELF

ULTIMATE CONVENTIONALULTIMATE CONVENTIONAL

MARKETABLE GASMARKETABLE GAS

CANADACANADA

675 TCF675 TCF

131131OTHER E. COAST

120

REM. RESERVES 55 TCFRESOURCES 45 TCF

CUM PRODUCTION 134 TCF

UNDISCOVERED 438 TCF

111111ARCTIC

3030OFFSH.BC

13OTHER

NWT12

10 1

1

Adapted from Drummond, 1998

DEC. 31,2002

BCINTERIOR

1414

UNDISCOVERED438 (65%)

RESERVES56 (8%)

RESOURCES 47 (7%)

CONVENTIONAL MARKETABLE GAS CONVENTIONAL MARKETABLE GAS CANADA (DECEMBER 31, 2002)CANADA (DECEMBER 31, 2002)

ULTIMATE RESOURCE (675 TCF) WCSBARCTICOTHER EAST COASTMACKENZIE-BEAUFORTOFFSHORE BCSCOTIAN SHELFOTHERMAINLAND NWT

286 111 131 59 30 192712

( 43%) ( 16%)

( 19%) ( 9%)

( 4%)( 3%)( 4%)( 2%)

CUM PROD134 (20%)

BEAUFORT-MACKENZIE

ANDERSON -HORTON PLAIN

COLVILLEHILLS

SOUTHERNTERRITORIES

GREATBEARPLAIN

PEEL PRE-CAMBRIAN

SHIELD

LIARD

EAGLEPLAIN

KANDIKBONNETPLUME

OLDCROW

WHITEHORSETROUGH

SEDIMENTARY BASINS OF THESEDIMENTARY BASINS OF THEYUKON YUKON -- NORTHWEST TERRITORIESNORTHWEST TERRITORIES

MACKENZIEPLAIN

339

34

91

21 19 22

7233

3

135

74

South

TerrLia

rd Plai

nMck

enzie

Pl

Great B

ear

Anders

onColv

ille H

illsPee

l Plai

nEag

le Pl

Kandik

Mack D

elta

Beaufo

rt Sea

0

100

200

300

400

YUKON AND NORTHWEST TERRITORIESNUMBER EXPLORATION WELLS BY AREA

1981 1985 1989 1993 1997 20010

10

20

30

40

50

60

70

BIL

LIO

N C

UB

IC F

EET

CAMERONHILLSIKHILLLIARDKOTANEELEEPOINTEDMOUNTAIN

YUKON/ NORTHWEST TERRITORIESANNUAL GAS PRODUCTION

CUM. 627 BCFDEC 31, 2002

MIOCENE

OLIGOCENE

EOCENE

PRE-TERTIARY

PERMO-CARB

DEVONIAN

DEVONIAN

CAMBRIAN

0 500 1000 1500MILLION BOE

OILGAS (BOE)

YUKON / NORTHWEST TERRITORIESYUKON / NORTHWEST TERRITORIESDISCOVERED RESOURCES BY STRATIGRAPHIC SYSTEMDISCOVERED RESOURCES BY STRATIGRAPHIC SYSTEM

EAGLE PLAIN

MACKENZIE PL.

LIARD PL./PLATEAU

COLVILLE HILLS

MA

CK

. / B

EAU

FOR

T

(6 MCF/BOE)

YUKON - NORTHWEST TERRITORIESYUKON - NORTHWEST TERRITORIESULTIMATE RECOVERABLE GAS RESOURCESULTIMATE RECOVERABLE GAS RESOURCES

MACKENZIE -BEAUFORTMAINLAND

TOTAL

63.023.086.0

TCF

DISCOVERED11.9 TCF

UNDISCOVERED74.1 TCF

DISCOVERED

UNDISCOVERED

YUKON - NORTHWEST TERRITORIESYUKON - NORTHWEST TERRITORIESULTIMATE OIL RESOURCESULTIMATE OIL RESOURCES

BBMACKENZIE -BEAUFORTMAINLAND

TOTAL

6.40.67.0

DISCOVERED1.3 BB

UNDISCOVERED5.7 BB

DISCOVERED

UNDISCOVERED

GAS FIELDS OF THE LIARD AREAGAS FIELDS OF THE LIARD AREA

KOTANEELEE

POINTEDMOUNTAIN`

BEAVERRIVER

CHEVRONLIARD

CNRLLIARD

PARAMOUNTLIARD

20 MILES

RESOURCESDISCOVERED

1.3 TCFUNDISCOVERED

4.1 TCF

LIARD - S. TERRITORIES SCHEMATIC SECTIONLIARD - S. TERRITORIES SCHEMATIC SECTION

BESA RIVER

CRET.

FANTASQUE

MATTSON

DEBOLT BANFFKOTCHO

TETCHOJEAN MARIE

SLAVE POINTMUSKEG

KEG R.

BASEMENT

NAHANNIARNICA

CAMB - SIL.

W ELIARD S. TERRITORIES

BOVI

E FA

ULT

Modified from NOGD, 1995

From: Purcellenergy.com

From: Purcellenergy.com

CUM. PRODUCTION = 107.3 BCF

MACKENZIE PLAIN BASINMACKENZIE PLAIN BASIN

MACKENZIEPLAIN

MACKENZIE MOUNTAINS

100 Km

FRANKLINMOUNTAINS

KEELE ARCH

GREATBEARBASIN

NORMAN WELLS302 MMB

Modified from NOGD, 1995

UNDISCOVEREDRESOURCES

107 MMB OIL1.5 TCF GAS

MACKENZIE PLAIN - SCHEMATIC SECTIONMACKENZIE PLAIN - SCHEMATIC SECTION

Mackenzie Mts.

Mackenzie Plain

Franklin Mts.Norman Wells

Great Bear Basin

Keele Arch

PRECAMBRIAN

W E

CAMBRIANSALT

CRET

MT KINDLE /FRANKLIN MT

IMPERIAL

KEE SCARP

HUME

CANOL

20 Km

Modified from NOGD, 1995

TEDJI LAKE

TWEEDLAKE

BELE

67 0

68 0

126 0

100 Km

COLVILLE HILLS, NWT SHOWING LOCATIONCOLVILLE HILLS, NWT SHOWING LOCATIONOF CAMBRIAN SANDSTONE GAS DISCOVERIES OF CAMBRIAN SANDSTONE GAS DISCOVERIES

Adapted from:NOGD, 1995

DISCOVERED - 620 BCFUNDISCOV. - 4586 BCF

TWEEDLAKE

BELE

COLVILLE HILLS COLVILLE HILLS -- DRILLING 2003DRILLING 2003

SCHEMATIC SECTION, COLVILLE HILLS AREASCHEMATIC SECTION, COLVILLE HILLS AREA

Modified from NOGD, 1995

300 kmSW NE

Langton Bay

CanolBear Rock

Mount Kindle

Franklin Mountain

Saline River

Mount Clark

Mount Cap

Colville Hills

Heavy Oil Seeps

Coppermine Arch

Proterozoic Source Rock

From: www.paramountres.com

EAGLE PLAIN BASINEAGLE PLAIN BASIN

Modified from Yukon Ec. Dev., NEB, 1994

DISCOVEREDOIL - 11.7 MMBGAS - 83.7 BCF

UNDISCOVEREDOIL - 28.2 MMBGAS - 1.0 TCF

EAGLE PLAIN GP

ALBIAN JUNGLE CREEK

ETTRAIN

HA

RT

RIV

ER

BLACKIE

CHANCE S.S

FORD LAKE

STRAT/STRUCT TRAPS(Unconf Subcrop) STRUCTURAL TRAPS

(Laramide Folds)

STRAT TRAPS(BasinwardFacies Changes)

CHANCE AREA BLACKIE AREA

EAGLE PLAIN BASIN - POTENTIAL RESERVOIRS AND TRAPSEAGLE PLAIN BASIN - POTENTIAL RESERVOIRS AND TRAPS

Modified From: Hambelin, 1990

N S

PEEL BASIN AND PLATEAUPEEL BASIN AND PLATEAU

PEEL PLAINPEEL PLATEAU

ANDERSON PLAIN

BONNETPLUMEBASIN

RICHARDSON MOUNTAINS

MACKENZIE MOUNTAINS

MACKENZIEPLAIN

AKLAVIKARCH

CRETACEOUS

LIMITOF

100 Km

TREVOR

FAULTModified from NOGD, 1995

UNDISCOVERED 45 MMB OIL

3.1 TCF GAS

TREVORFAULT

ARCTIC RED

MARTIN HOUSE

IMPERIALTUTTLE

CANOL HUME

LANDRY

ARNICAPEEL

MOUNT KINDLE

FRANKLIN MOUNTAIN SALINE RIVER

MOUNT CAPMOUNT CLARK

PROTEROZOIC

PRONGSCREEK

ROADRIVER

N-25 I-21 K-09 D-08 K-63 H-34

MACKENZIE ARCH

0

1

2

3

4

Km

CENTRAL PEEL PLAINCENTRAL PEEL PLAIN

Modified from Yukon Ec. Dev., NEB, 1999

WE

BEAUFORT - MACKENZIE BASINBEAUFORT - MACKENZIE BASINDISCOVERED OIL AND GAS FIELDSDISCOVERED OIL AND GAS FIELDS

IKHILCUM1,502MMCF

53 DISCOVERIES1.0 BB OIL9.7 TCF GAS

100 Km

TAGLU

PARSONSUNDISCOVEREDRESOURCES

5.4 BB OIL53.3 TCF GAS

100 Km

Modified from Dixon, et al, 1992

BEAUFORT MACKENZIE BEAUFORT MACKENZIE -- STRUCTURAL SETTINGSTRUCTURAL SETTING

BEAUFORT MACKENZIE BASINBEAUFORT MACKENZIE BASIN

PLIOCENEMIOCENEOLIGOCENEEOCENEPALEOCENEU CRETACEOUSL CRETACEOUSPALEOZOIC

Km0

5

10

15

SE NW

50 Km

AKLAK

TAGLU

RICHARDS

KUGMALLIT

IPERKAKPAKMACKENZIE BAY

REIN

DEER

0

1

2

3

4

5

Km

BEAUFORTBEAUFORT--MACKENZIE BASINMACKENZIE BASINSTRATIGRAPHIC POSITION OF 30 DISCOVERIESSTRATIGRAPHIC POSITION OF 30 DISCOVERIES

MACKENZIE BAY

AKPAK

IPERK

KUGMALLITRICHARDS

REINDEER

CRETACEOUS

Adapted from: Hitcheon, et al, 1990

PARSONS GAS FIELDPARSONS GAS FIELD

PARSONS1259 BCF

GAS FIELDOIL FIELD

Adapted from: G.R MORRELL, 1996

KAMIK1.2 MMB

5 Km

PARSONS GROUPGASWATERSHALE SEAL

UPP

ER

TER

TIAR

YLO

WER

TER

TIAR

YLO

WER

CR

ET.

U.CRET.

C-38 P-41 L-43 C-11 C-55_ __

_

_ ___

500

1500

2500

3500

4500

DEPTH (M)

0 5 km

Pre-Mz Unc.

PARSONS LAKE GAS FIELDPARSONS LAKE GAS FIELD

Adapted from: R.A. Meneley, 1986

TAGLU STRUCTURE CONTOUR MAPTAGLU STRUCTURE CONTOUR MAP

Adapted from: G.R MORRELL, 1996

P-03

H-54

D-43G-33

C-42

D-55_ _

__

H-06

-11000

-10500

-10500-11000

-11000-10500-10000

-8000

-9000

-8500

-9500-9500

TAGLU FIELD2,080 BCF

0 2Km

CUM. PRODUCTION = 1,857 MMCF

8.4%

20.5%6.9%

64.1%

UNDISCOVEREDBEAUFORT SEA

40.4 TCF

UNDISCOVEREDONSHORE/NEARSHORE

12.9 TCF

DISCOVEREDBEAUFORT SEA

4.4 TCF

DISCOVEREDONSHORE/NEARSHORE

5.3 TCF

MACKENZIE DELTA / BEAUFORT SEAMACKENZIE DELTA / BEAUFORT SEAULIMATE RECOVERABLE GAS RESOURCEULIMATE RECOVERABLE GAS RESOURCE

63.0 TCF63.0 TCF

SOURCE: DISCOVERED - NEB, 1988, UNDISCOVERED - GSC, 1994

DISCOVOIL (MMB)

UNDISCOVOIL (MMB)

DISCOVGAS (BCF)

UNDISCOVGAS (BCF)

LIARD/S. NWT 0 0 1,371 7,292

MACKENZIE PLAIN 302 107 156 1,500

COLVILLEHILLS 0 28 620 4,586

PEELBASIN 0 45 0 3,149

EAGLE PLAINS 12 28 84 1,103

MACKENZIEDELTA 248 1,050 5,319 12,600

BEAUFORTSEA 767 4,350 4,376 40,700

TOTAL(+ OTHERS) 1,329 5,736 11,925 74,119

SUMMARY SUMMARY -- YUKON / NWTYUKON / NWTRECOVERABLE OIL & GAS OF MAJOR AREASRECOVERABLE OIL & GAS OF MAJOR AREAS

CONCLUSIONSCONCLUSIONSƒDISCOVERED OIL AND GAS OCCUR IN

CAMBRIAN,DEVONIAN,PERMO-CARBONIF, CRETACEOUS AND TERTIARY AGE STRATA.

ƒMAJOR OIL DISCOVERIES IN MACKENZIE PLAIN AND THE MACKENZIE/BEAUFORT.

ƒMAJOR GAS DISCOVERIES IN LIARD, COLVILLE HILLS & MACKENZIE/ BEAUFORT.

ƒFUTURE DISCOVERIES EXPECTED IN LIARD, COLVILLE HILLS, MACKENZIE PLAIN, PEEL BASIN, EAGLE PLAIN AND MACK/ BEAUFORT.

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