Gas and oil production in Eastern Canada declined slightly during the year. Gas production in 1967 was 14,366,311 Mcf, a decrease of 1,271,487 Mcf. Oil production was 1,248,642 bbl, a decrease of 81,975 bbl.

In southwestern Ontario, both exploratory and development drilling increased slightly. From 1966 to 1967, exploratory drilling increased from 56 tests to 68, and development drilling from 62 wells to 67. However, total footage drilled in 1967 was about 3% less than in 1966, indicating a shift to shallower drilling in the eastern part of the area. Only 6 Cambrian wells were drilled, compared with 19 in 1966.

Exploratory drilling resulted in 14 gas discoveries, all Silurian. No oil discoveries were made.

Activity offshore in Lake Erie was very strong in 1967. The Ontario part of the lake, 3,108,045 acres, was completely leased. Thirty-two wells were drilled in the lake resulting in 7 gas discoveries.

In the Hudson Bay lowlands, industry and government completed 37 crew-months of geologic and geophysical work. An exploratory hole was completed to the Precambrian.

Industry activity in Quebec consisted of 10.5 crew-months. The Quebec government reported 20 crew months of geologic surveying in the sedimentary area of the province.

In the Atlantic region, 4 exploratory tests were reported from New Brunswick. Both oil and gas production from the Stoney Creek field showed a considerable increase from 1966. Secondary-recovery operations probably account for the increased production.

Principal interest in Eastern Canada again this year was on offshore prospects in the Maritimes. Offshore holdings increased from 169,543,939 acres in 1966 to 240,219,468 acres in 1967. Industry completed 24 crew-months of geophysical work and 1 deep test on Sable Island. This island is on the continental shelf approximately 180 mi southeast of Halifax, Nova Scotia.

In 1968 it is anticipated that activity in Eastern Canada will increase slightly from 1967.