Company granted license to drill oil well in downtown Calgary

CALGARY, Alberta – In a move of unprecedented brawn that has shocked the Oil and Gas industry in Alberta, Packwood Resources has been granted a license to drill a sour oil well in the middle of Olympic Plaza (downtown Calgary). The license was granted by virtue of a loophole that exists between ERCB Interim Directive ID 97-6, which was created to prohibit wells from being drilled in residential areas, and the City of Calgary’s Land Use Bylaw 1P2007.

The root of the loophole stems from the little known  facts that Olympic Plaza is not zoned as residential land in conjunction with the area being heritage crown land that was not released to the City when Calgary was formed. This results in a 3/4 section parcel of land centered over Olympic Plaza eligible for development by Oil and Gas companies.

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Bruce Packwood, President & CEO of Packwood Resources

Well, after our Chief Exploration Geologist and a senior Geophysicist were able to find what appears to be a rather large oil deposit in the centre of downtown Calgary, I asked one of our landmen to investigate the land and surface rights and any regulatory hinderences to drilling a well in Olympic Plaza. Much to her surprise our landman, Shiela, discovered the loophole in the ERCB and City regs, so we applied, and voila, we should be spudding in a few weeks.

 

A source close to the operator says that seismic indicates that the reservoir’s sweet spot is situated underneath and East of City Hall and towards the Harry Hayes building. But due to surface land restrictions in those areas, the idea is to drill multiple horizontal wells originating from a pad located in the middle of Olympic Plaza.

Residents close to Olympic Plaza and local businesses are expected to protest in due course.