PetroWorth Resources of Toronto provided the winning bid for the permits which together encompass approximately 107,000 hectares in Kings County. PetroWorth has already begun collecting new seismic data and has made a substantial commitment for more. The company will use 3-D testing in the one of the permits, marking the first time this technology has been used in the province. The company will combine this information with previously collected seismic data to help it determine where to begin exploratory drilling.

There are currently 10 companies exploring for oil and gas on Prince Edward Island. Their permits total 445,000 hectares and their investment is expected to top $6 million over the next two years.

"This is the most exploration activity this province has seen since the 1980's, " said Development and Technology Minister Mike Currie. "The latest infusion of investment capital, combined with greatly improved exploration technology certainly improves the chance of finding a commercial resource, " he said.

Within the next several weeks, a service rig will be operating at Seaview #1, part of a permit being explored by Rally Energy. Earlier this month, the company said it had found gas-bearing sands at the site. The service rig will conduct a flow test of the well that has been cased to evaluate possible development opportunities. Seaview #1 is located about 12 kilometres north of Kensington.

Last year, Rally ran over 110 kilometres of seismic in the Summerside and Kensington area, which led to this year's drilling program.