2009-08-17-2008-06-01

To acquire 50% interest in company holding 100% interest in Madura Strait PSC offshore East Java.

China National Offshore Oil Corp. (CNOOC), Beijing, (NYSE: CEO) plans to acquire a 50% interest in Husky Oil (Madura) Ltd., a subsidiary of Husky Energy, Calgary, (Toronto: HSE) that holds a 100% interest in the Madura Strait production sharing contract (PSC) offshore East Java, Indonesia, for US$125 million. The Madura Strait PSC is approximately 40 kilometers north of East Java and covers 2,794 square kilometers. Ten wells have been drilled since 1984 with two discoveries, the Madura BD and MDA fields. The agreement covers the development and further exploration of the PSC. Husky president and chief executive John C.S. Lau says, "CNOOC brings extensive experience and strong technical skills in operating offshore Indonesia. We are pleased to team up with a strong partner to ensure that the development of the Madura BD field proceeds expeditiously and efficiently."