McAden property in north cen-
tral Texas commenced
waterflooding in mid-1982 and
enhanced recovery is expected
in 1983.

Drilling expenditures in 1982
totalled $4.9 million, including
$3.6 million under the Brinco
1981 Energy Program. Drilling
under the Brinco 1981 Energy
Program was completed in 1982. The
1982 drilling activity was all in
northeastern British Columbia and
northwestern Alberta. A total of nine
wells were drilled resulting in one
gas well, three potential gas wells
and five dry holes.

In the Canadian Frontiers, the
company has interests in the
Arctic Islands and the Eastcoast
Offshore. In the Arctic, one well
is currently drilling and further
seismic is planned. The com-
pany farmed out its interest in
the well to avoid capital ex-
posure. In the Hopedale block.
offshore Labrador, company in-
terests vary from .05% to 1%. In
an area south of Hibernia, the
company has a 15% interest in a

permit application. Both
Eastcoast Offshore projects are
at the stage of negotiation of
Exploration Agreements with
the Canadian Oil & Gas Lands
Administration.

Brinco Limited’s involvement in
a joint venture with Hrubetz Oil
Company of Dallas. Texas was
reduced in 1982. Interests in the
undrilled exploratory acreage
accumulated by the partnership
were sold, leaving the Company
with the opportunity to par-
ticipate in development
resulting from 1981 exploratory
drilling.

Brinco Limited and three Cana-
dian partners have applied for
four exploration permits cover-
ing 680,000 acres in central Sici-
ly. The permits have been issued
but will not be in effect until cer-
tain formalities are completed.
Brinco has the right to acquire
the interests of its Canadian
partners, which would give the
Company a 100% interest in the
project subject to certain royalty
and production interests. Discus-

Ownership in Productive Wells

(at December 31, 1982)

CRUDE OIL WELLS
Alberta
British Columbia
Saskatchewan
United States

Total Oil
NATURAL GAS WELLS
Alberta

British Columbia
United States

Total Gas
Total Wells

Gross Net
Wells Wells
122 27.6
2 5

3 2.0

22 3.2
149 33.3
221 26.1
46 63

9 0.6
276 33.0
425 66.3

sions are underway with interna-
tional companies with a view to
bringing other partners into the
exploration program. Offshore
Sicily has recently been the
scene of one of the most ex-
citing oil discoveries in the
Mediterranean region. The two
Vega wells, some 60 miles south
of the Company's onshore per-
mit areas, have tested 3.200 bar-
rels and 14,500 barrels per day
respectively.

Land Holdings

(at December 31, 1982)

Gross Net
(Acres)

Alberta 469.361 60,423

British Columbia 236,089 31.586

Saskatchewan 3.120 1,040
Eastcoast

Offshore 753,403 5.461
Northwest

Territories 1,224.65] 12.456

Total Canada 2.686.624 110,966

United States 13,007 1,288

Total Holdings 2.699.631 112,254

A —EE——E—E——————

Status 1982 Production

Producing Capped

m3? Barrels

89 33 14.770 92,948
| | 529 3,327
3 0 1,551 9,762
22 0) 1,443 9,078
115 34 18,293 115,118
103 m3 = MMCF
75 146 14.448 513
19 27 6,229 221
9 0 1,217 43
103 173 21,894 777
218 207