PUBLIC OFFERING OF CROWN OIL SANDS RIGHTS DEADLINE After 12:00 noon on January 08, 1997, offers to purchase oil sands development leases contained in this public offering will not be accepted. AMOUNT OF PAYMENT (Canadian Funds Only) 1 . State only the one total dollar amount submitted in your bid letter. A breakdown of the Bonus, Fee and Rent is not required. 2. The rent is $3.50 per hectare and the fee is $450 per parcel. 3. The minimum acceptable price is $2.50 per hectare (development leases) and $l.25 per hectare (permits). Offers lower than this will be rejected. 4. The Department reserves the right to reject a bid. FORM OF PAYMENT 1 . If you are using pre-authorized cheques at present, you are encouraged to change your method of payment to the Electronic Bank Debit System (see IL 95-16). 2. Company and personal cheques are also accepted, but personal cheques must be certified. Please do not submit cash or bank drafts. 3. All cheques should be made payable to: PROVINCIAL TREASURER HOW TO SUBMIT BIDS 1 . The types of acceptable bids are: BID TYPE I and BID TYPE 11. The type of bid and its format are identified in attachments to Information Letter 94-21. Bids may be rejected if they do not comply with these standards. 2. One envelope may contain more than one bid as long as they are for the same agreement type. 3. Bid(s) should be enclosed in a sealed envelope and clearly marked as follows: "1997 January 08 -OIL SANDS DEVELOPMENT LEASE BIDS' for Development Leases. 4. Bids should be deposited in the box marked "OIL SANDS BIDS", or handed or mailed to any person acting for the manager at either the Calgary or Edmonton address: 3rd. Floor, Monenco Place 2nd Floor, North Petroleum Plaza 801-6 Ave. SW 9945-108 Street Calgary, Alberta T2P 3W2 Edmonton, Alberta T5K 2G8 BIDS ARE ACCEPTED UNTIL 12:00 NOON ON THE PUBLIC OFFERING DATE. NO EXCEPTIONS. POINTS TO REMEMBER 1 . Those who request a specific parcel(s) to be posted in a public offering are expected to bid on the posting(s). If the parcel(s) is not sold, the person or company that requested the posing may be charged a fee of $450 for each unsold parcel. 2. The full name of the person(s) or corporation(s) submitting a bid and their official address for service must be identified. 3. The maximum undivided interest is seven decimal places. Anything greater than this will be rounded to the seventh decimal place. ATTACHMENTS TO THIS PUBLIC OFFERING APPENDIX 2 - Contains applicable Deeper Rights Reversion Zone Designations (Drrzd's). APPENDIX 3 - Contains applicable addenda and contacts. RESULTS OF THIS PUBLIC OFFERING 1 . Accepted bids will be published on Thursday, January 09, 1997 at 10:00 a.m. at the two addresses shown under the section entitled 'HOW TO SUBMIT BIDS.' 2. All agreements are issued in accordance with the Mines & Minerals Act and its regulations. November 13,1996 Brian Hudson, Manager EDMONTON, AB Mineral Agreements 1997 January 08 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A Page 1 of 4 DEVELOPMENT LEASES D.LSE PARCELS HECTARES M RG TWP LAND DESCRIPTION - COLD LAKE OIL SANDS AREA OS 658 128.00 4 6 053: 34W OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 659 128.00 4 6 054: 2E OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 660 128.00 4 6 054: 2W OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 661 256.00 4 6 054: 12 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 662 256.00 4 7 054: 34 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 663 128.00 4 6 056: 31 S APPENDIX 3 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 664 128.00 4 6 056: 31 N APPENDIX 3 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 665 128.00 4 7 056: 36E APPENDIX 3 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 666 128.00 4 7 056: 36W APPENDIX 3 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 667 256.00 4 7 058: 16 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 668 256.00 4 8 060: 26 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 1997 January 08 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A Page 2 of 4 D.LSE PARCELS HECTARES M RG TWP LAND DESCRIPTION OS 669 256.00 4 10 060: 2 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 670 256.00 4 5 062: 29 OIL SANDS IN THE MANNVILLE GRP DRRZD4 OS 671 256.00 4 5 063: 31 OIL SANDS IN THE MANNVILLE GRP DRRZD 4 OS 672 192.00 4 6 063: 6S;NW OIL SANDS IN THE MANNVILLE GRP DRRZD 4 ATHABASCA OIL SANDS AREA OS 673 2,304.00 4 20 079: 5-8;17;18 4 21 079: 1;12;13 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 674 2,560.00 4 20 079: 19;20;29-32 4 21 079: 24;25;36 4 20 080: 5 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 675 2,560.00 4 21 079: 2-11 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 676 256.00 4 20 080: 6 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 1997 January 08 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A DEVELOPMENT LEASES Page 3 of 4 D.LSE PARCELS HECTARES M RG TWP LAND DESCRIPTION OS 677 256.00 4 20 080: 15 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 678 256.00 4 20 080: 16 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 679 256.00 4 20 080: 21 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 680 256.00 4 20 080: 22 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 681 256.00 4 21 080: 1 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD6 TO THE BASE OF THE WOODBEND DRRZD 258 0S 682 3,072.00 4 20 081: 31-33 4 20 082: 4-9; 1 6-18 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 683 2,816.00 4 23 081: 4W;5;6;7W; l 8W; l 9W;30W;31 4 24 081: 36 4 23 082: 6W;7W;l 8W 4 24 082: 1;12;13 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD6 TO THE BASE OF THE WOODBEND DRRZD 258 1997 January 08 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A DEVELOPMENT LEASES Page 4 of 4 D.LSE PARCELS HECTARES M RG TWP LAND DESCRIPTION OS 684 2,560.00 4 21 082: 19-21;28-30 APPENDIX 3 4 22 082: 13;14;23;24 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 685 1,984.00 4 23 082: 32-36 4 22 083: 6 4 23 083: 1;2S;3SE APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD6 TO THE BASE OF THE WOODBEND DRRZD 258 OS 686 1,536.00 4 21 083: 6 4 22 083: 1-5 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND DRRZD 258 TOTAL 29 23,808.00 ha Page 1 of 1 1997 JANUARY 08 APPLICABLE DEEPER RIGHTS REVERSION ZONE DESIGNATIONS APPENDIX 2 DRRZD:4 Zone: 2480 MANNVILLE GROUP INTERVAL: 2 557.00 - 2985.00 FEET KEY WELL: 00/06-16-041-08W4/0 LOG TYPE: INDUCTION ELECTRICAL DRRZD: 6 Zone: 2140 VIKING FM INTERVAL: 2 600.0 - 2 680.0 FEET KEYWELL: 00/10-10-042-14W4/0 LOG TYPE: INDUCTION ELECTRICAL DRRZD: 258 Zone: 7040 WOODBEND GRP INTERVAL: 1 284.0 - 2 251.0 FEET KEY WELL: 00/1 0-29-077-18W4/0 LOG TYPE: SONIC END ADDENDA AND CONTACTS APPLICABLE TO THE 1997 JANUARY 08 OIL SANDS PUBLIC OFFERING NOTICE Page 1 of 2 APPENDIX 3 (DEVELOPMENT LEASES) D.LEASE PARCEL NO(s). ADDENDA DESCRIPTION & CONTACT OS 663 , OS 664, OS 665, OS 666 THE LANDS IN THIS LEASE CONTAIN(S) PRIVATELY-OWNED LAND WITH RESTRICTIVE TOPOGRAPHIC AND/OR GROUND CONDITIONS ASSOCIATED WITH A RIVER AND/ OR CREEK VALLEY. PRIOR TO ANY SURFACE DISTURBANCE AND/OR SITE DEVELOPMENT CONTACT THE RECLAMATION INSPECTOR SHOWN. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION PLEASE CONTACT: RECLAMATION INSPECTOR TERRY LESKIW 3RD FLOOR, PROVINCIAL BUILDING ENVIRONMENTAL PROTECTION BOX 308, 5025 - 49 AVENUE LAND RECLAMATION DIVISION ST. PAUL AB TOA 3A0 ENVIRONMENTAL REGULATORY SERVICE (403) 645-6394 OS 673, OS 674, OS 675, OS 676, OS 677, OS 678, OS 679, OS 680, OS 681, 0S 682 THE LANDS IN THIS LEASE IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LAING LAND MANAGEMENT OFFICER ENVIRONMENTAL PROTECTION NORTHWEST BOREAL REGION BOX 390,301 BIRCH ROAD NE LAND & FOREST SERVICE SLAVE LAKE AB TOG 2A0 (403) 849-3061 OS 683 4 23 081: 4W;5N,SP;6SEP,NWP,NE; 7W;I8W;19W;30W;31 4 24 081: 36 4 23 082: 6W;7W;I8W 4 24 082: 1;12;13 IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LAING LAND MANAGEMENT OFFICER ENVIRONMENTAL PROTECTION NORTHWEST BOREAL REGION BOX 390,301 BIRCH ROAD NE LAND & FOREST SERVICE SLAVE LAKE AB TOG 2A0 (403) 849-3061 Page 2 of 2 ADDENDA AND CONTACTS APPLICABLE TO THE 1997 JANUARY 08 OIL SANDS PUBLIC OFFERING NOTICE OS 684, OS 685, OS 686 THE LANDS IN THIS LEASE IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LAING LAND MANAGEMENT OFFICER ENVIRONMENTAL PROTECTION BOX 390, 301 BIRCH ROAD NE NORTHWEST BOREAL REGION SLAVE LAKE AB TOG 2A0 LAND & FOREST SERVICE (403) 849-3061 END