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ALL-TIME OIL AND GAS RECORDS START TO FALL

Released on November 6, 1997

Energy and Mines Minister Eldon Lautermilch today announced that

Saskatchewan has broken its all-time record for the number of drilling

licences issued in a calendar year for oil and gas wells. Yesterday,

the department issued its 3,993rd licence for 1997, breaking the

previous record of 3,971 set in 1985.



"There are still two months left in the year, and at the 100 or so

wells we are licensing a week, I anticipate that the new year-end

record will be substantively higher than the previous one,"

Lautermilch said.



Lautermilch added that a second new record has been set as well. To

date in 1997, the industry has drilled 3.60 million metres compared to

the old record of 3.58 million metres, also set in 1985.



"This is largely due to the advent of drilling deep exploratory and

horizontal wells, both of which are more costly to industry. On this

basis of this trend, we also expect to establish a record for industry

investment in Saskatchewan," Lautermilch said.



"Clearly the recent boom in the oil patch has been instrumental in

allowing Saskatchewan to achieve balanced budgets and maintain one of

the lowest unemployment rates in the country," Lautermilch said.



"Approximately 19,000 people are currently directly and

indirectly employed in the sector. Based on recent industry

projections of high activity for the foreseeable future, those

job figures should increase."



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For more information, contact:



Marg Moran McQuinn

Energy and Mines

Regina

Phone: (306) 787-2567

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