Canadian Superior Energy Inc.

Canadian Superior Energy Inc.

July 21, 2005 08:00 ET

The Government of Trinidad and Tobago and Canadian Superior Sign Production Sharing Contract for Trinidad and Tobago Block 5'c'

PORT OF SPAIN, TRINIDAD AND TOBAGO--(CCNMatthews - July 21, 2005) - Canadian Superior Energy Inc. ("Canadian Superior") (TSX:SNG) (AMEX:SNG) of Calgary, Alberta, Canada is pleased to announce today that the Government of Trinidad and Tobago and Canadian Superior have signed the Production Sharing Contract ("PSC") for offshore exploration and production on offshore Block 5(c), located approximately 90 km off the east coast of Trinidad in the Columbus Basin.

Canadian Superior's President and Chief Executive Officer, Greg Noval, said today, "We are very honoured to have been awarded the right to explore on Block 5(c) by the Government of Trinidad and Tobago. Block 5(c), named the 'Intrepid' Block by Canadian Superior, covers 80,041 gross acres and has significant natural gas exploration and development potential. We look forward to expediting drilling on this block, targeting our first well of a planned multi-well drilling program to commence drilling in the 4th quarter of 2005. In undertaking these activities, Canadian Superior is very proud to be in Trinidad and Tobago and sees the awarding of Block 5(c) as a partnership between the people of Trinidad and Tobago and Canadian Superior. We will continue to work very hard to see that our activities benefit the local people and communities alongside our shareholders. We intend to commence drilling on the 'Intrepid' Block later this year, in what we believe will be a record time between the awarding of a production sharing contract and the commencement of drilling."

Speaking today at the Production Sharing Contract Signing Ceremony, the Honourable Eric Williams, the Trinidad and Tobago Minister of Energy and Energy Industries, said, "I take this opportunity to welcome Canadian Superior Energy Inc. to our assembly of multi-national energy partners and to congratulate them on their successful participation in the 2003/2004 Bid Round.

Upon completion of today's formalities, Canadian Superior Inc. has signaled its intent to proceed with drilling in Block 5(c) in the 4th quarter of 2005. Such speed of delivery should be applauded.

Today's PSC, which has an overall spend in the first phase of the work programme of roughly US$44 million, brings the current guaranteed expenditure on E&P activities arising out of contracts signed as a result of the 2003/2004 Bid Round to more than US$169 million. Such a significant spend has the potential for increased local participation along the supply chain and the Government of Trinidad and Tobago expects that the local supply sector will rise to the challenge."

Also speaking in Port of Spain, Trinidad, at the Official Signing, Mike Coolen, Canadian Superior's Vice President, said, "This is an important day for Canadian Superior. It was over 3 years ago when Canadian Superior first identified Trinidad and Tobago as a high priority, 'World Class' growth basin for our Company. Due to the hard work of many talented individuals both here and in Canada, today marks an important milestone in progressing our goal to explore and play our part in the development of Trinidad and Tobago's significant oil and gas potential for the benefit of all stakeholders, including the people of Trinidad and Tobago. Offshore Trinidad is, without a doubt, one of the most coveted oil and gas basins in the world and we feel very privileged that the Government of Trinidad and Tobago has seen fit to award the 'Intrepid' Block 5(c) to an aggressive independent explorer like Canadian Superior."

Canadian Superior is a Calgary, Alberta based oil and gas exploration and production company with operations in Western Canada, offshore Trinidad and Tobago and offshore Nova Scotia. See Canadian Superior's website at to review Canadian Superior's Western Canadian Operations, Trinidad and Tobago holdings and the Company's offshore Nova Scotia interests.

This news release contains forward-looking information on future production, project start-ups and future capital spending. Actual results or estimated results could differ materially due to changes in project schedules, operating performance, demand for oil and gas, commercial negotiations or other technical and economic factors or revisions.

Statements contained in this news release relating to future results, events and expectations are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such statements. Such factors include, among others, those described in the Company's annual report on Form 40-F on file with the U.S. Securities and Exchange Commission.

Contact Information

  • Canadian Superior Energy Inc.
    Investor Relations
    (403) 294-1411
    (403) 216-2374 (FAX)
    Canadian Superior Energy Inc.
    Suite 3300, 400 - 3rd Avenue S.W.
    Calgary, Alberta
    Canada T2P 4H2