News Release

February 14, 2003

Calgary, Alberta - Husky Energy Inc. announced today that it has recently entered into a series of commodity hedging contracts for 2003.

The Company has contracts that hedge 26 million barrels of crude oil at an average strike price of approximately $US 29.50. These hedges cover approximately 34 percent of Husky's expected crude oil production, primarily in the April to December period, for 2003. The Company also has 37 billion cubic feet of its natural gas hedged primarily in the second and third quarters at prices of approximately $US 5.20/mmbtu. At this time Husky has now hedged approximately 17 percent of its expected natural gas production for 2003.

If commodity prices continue to be strong, the Company may consider additional oil and gas hedges.

"Husky has taken a position to lock in value, due to the recent increases in commodity prices," said John C.S. Lau, President and Chief Executive Officer of Husky. "This will enhance Husky's financial flexibility throughout its east coast and oil sands mega-project development period."

Husky Energy is a Canadian-based integrated energy and energy-related company headquartered in Calgary, Alberta. Husky Energy is publicly traded on the Toronto Stock Exchange under the symbol HSE.

Certain information in this release may contain forward-looking statements. Actual future results may differ materially. Husky's annual report to shareholders and other documents filed with securities regulatory authorities describe the risks, uncertainties and other factors, such as changes in business plans that could influence actual results.

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