	petro canada to drill two terra nova test wells petro canada canada s state owned oil company said it will drill two delineation wells this summer at the terra nova oil field offshore newfoundland evaluation of test results and preliminary engineering work should put petro canada in a position to propose a development plan for the terra nova field in the company said depending on time required for regulatory approvals construction could begin in with first oil production as early as petro canada said we have a high degree of confidence that the western portion of the terra nova field contains at least mln cubic meters of recoverable oil or more than mln barrels and that we could produce it economicly using a floating production system petro canada said the terra nova field lying kilometers east of st john s and kilometers southeast of hibernia field was discovered by petro canada in we ve had encouraging results from the eastern portion of the field and we hope this summer s drilling will prove up additional reserves there the company said petro canada believes terra nova field is a good commercial prospect and the company wants to move some of those resources towards development so it can start generating a return on investments petro canada said petro canada which will act as operator of the two wells has a pct interest in the western portion of graven block of the terra nova field and a pct interest in the field s east flank block a company spokesman said later other field participants include canterra energy ltd mobil oil canada ltd gulf canada resources inc icg resources ltd trillium exploration corp and general partnership parex petro canada estimates reserves in the terra nova field s graven block of between mln and mln barrels of oil company spokesman bob foulkes said from petro canada s calgary office combined reserves for graven block and the field s east flank block are estimated between mln and mln barrels he added petro canada expects to spend about mln canadian dlrs to bring the field to production by about and the development budget could double if the company builds a production system combining both blocks in the field he said petro canada estimates the terra nova field graven block would produce between and barrels average daily production with a production system that would have maximum capacity of bpd company spokesman foulkes said in answer to a query the company estimates a production system combining both graven and east flank blocks in the terra nova field could produce about bpd average daily production he said reuter 
