PUBLIC OFFERING OF CROWN OIL SANDS RIGHTS (AVAILABLE ON INTERNET AT HTTP://WWW.RESDEV.GOV.AB.CA:) DEADLINE After 12:00 noon on 2000 January 12, offers to purchase oil sands development leases and/or permits contained in this public offering will not be accepted. AMOUNT OF PAYMENT (Canadian Funds Only) 1. The total dollar offer should be stated in your bid letter. A breakdown of the Bonus, Fee and Rent is not required. 2. The annual rental is $3.50 per hectare or $50.00 whichever is the greater. The issuance fee is $500 per parcel. 3. The minimum acceptable offer is $2.50 per hectare (development leases) and $1.25 per hectare (permits). 4. The Department reserves the right to reject any bid. FORM OF PAYMENT 1. ELECTRONIC FUNDS TRANSFER (EFT). 2. Payment by cheque will be accepted if it meets the criteria for exception mentioned in Information Letter 99-3. 3. All cheques should be made payable to: PROVINCIAL TREASURER HOW TO SUBMIT BIDS 1. The types of acceptable bids are BID TYPE1 AND BID TYPE II. The type of bid and its format are identified in attachments to Information Letter 97-14. 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: "2000 January 12 ---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 7th 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 posting may be charged a fee of $500 for each unsold parcel. · INDICATES ATTACHMENTS TO THIS PUBLIC OFFERING APPENDIX 1 - Contains applicable Zone Designations (zd's). · APPENDIX 2 - Contains applicable Deeper Rights Reversion Zone Designations (Drrzd's). · APPENDIX 3 - Contains applicable addenda and contacts also terms and conditions for acquisition of parcel(s) within Metis Settlements (See IL 92-19). RESULTS OF THIS PUBLIC OFFERING 1. Accepted offers will be published on 2000 January 13 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 17, 1999 Eugene Saldanha, Manager EDMONTON, AB Mineral Agreements & Sales ------------------------------------------------------------------------------------------------------------ 2000 JANUARY 12 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A DEVELOPMENT LEASES Page 1 of 3 D.LEASE PARCELS HECTARES M RG TWP LAND DESCRIPTION ------ COLD LAKE OIL SANDS AREA ------ OS 001 128.00 4 7 057: 20W OIL SANDS IN THE MANNVILLE GRP. DRRZD 4 OS 002 128.00 4 7 057: 28N OIL SANDS IN THE MANNVILLE GRP. DRRZD 4 OS 003 256.00 4 7 057: 29 OIL SANDS IN THE MANNVILLE GRP. DRRZD 4 OS 004 320.00 4 5 062: 1;12SE OIL SANDS IN THE MANNVILLE GRP. DRRZD 4 ------ATHABASCA OIL SANDS AREA ------ OS 005 4,096.00 4 16 072: 27-34 4 16 073: 3-10 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 006 2,048.00 4 17 072: 25;26;35;36 4 17 073: 1;2;11;12 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 007 2,304.00 4 16 073: 18;19;30 4 17 073: 13;14;23-26 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 008 1,792.00 4 11 075: 6 4 12 074: 25;26;35;36 4 12 075: 1;2 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 ---------------------------------------------------------------------------------------------------------- 2000 JANUARY 12 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A DEVELOPMENT LEASES Page 2 of 3 D.LEASE PARCELS HECTARES M RG TWP LAND DESCRIPTION OS 009 1,536.00 4 8 076: 19;30;31 4 9 076: 24;25;36 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 010 1,024.00 4 8 076: 32;33 4 8 077: 4;5 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 011 1,024.00 4 9 076: 29-32 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 012 1,536.00 4 8 077: 6;7;18 4 9 077: 1;12;13 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 013 1,024.00 4 10 077: 7;8;17;18 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 014 1,536.00 4 10 077: 13;14;23-26 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 015 2,816.00 4 10 078: 13-20;22-24 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 016 1,024.00 4 10 078: 29-32 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 --------------------------------------------------------------------------------------------------------------- 2000 JANUARY 12 OIL SANDS PUBLIC OFFERING NOTICE SCHEDULE A DEVELOPMENT LEASES Page 3 of 3 D.LEASE PARCELS HECTARES M RG TWP LAND DESCRIPTION OS 017 2,560.00 4 9 079: 6;7 4 10 078: 25;26;35;36 4 10 079: 1;2;11;12 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 018 1,024.00 4 10 079: 5;8;9;10 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 OS 019 1,536.00 4 10 079: 6;7;18 4 11 079: 1;12;13 APPENDIX 3 OIL SANDS BELOW THE TOP OF VIKING FM DRRZD 6 TO THE BASE OF THE WOODBEND GRP DRRZD 258 ------PEACE RIVER OIL SANDS AREA ------ OS 020 2,112.00 5 17 084: 11;12W;13S,NE;14;23-26;35S;36S OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM DRRZD 40 TO THE BASE OF THE PEKISKO FM DRRZD 174 OS 021 1,024.00 5 18 084: 28;29;32;33 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM DRRZD 40 TO THE BASE OF THE PEKISKO FM DRRZD 174 OS 022 960.00 5 18 085: 27N;28N;29NE;32E;33;34 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM DRRZD 40 TO THE BASE OF THE PEKISKO FM DRRZD 174 22 31,808.00 ha Totals END ----------------------------------------------------------------------------------------------------------- Page 1 of 1 2000 JANUARY 12 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 KEY WELL: 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: 00/10-29-077-18W4/0 LOG TYPE: SONIC DRRZD: 40 Zone: 2280 PEACE RIVER FM INTERVAL: 3 760.00 - 4 008.00 FEET KEY WELL: 00/07-09-076-08W6/0 LOG TYPE: BOREHOLE COMPENSATED SONIC DRRZD: 174 Zone: 6420 PEKISKO FM INTERVAL: 6 468.00 - 6 654.00 FEET KEY WELL: 00/10-27-067-22W5/0 LOG TYPE : ELECTRICAL END --------------------------------------------------------------------------------------------------------------- ADDENDA AND CONTACTS APPLICABLE TO THE 2000 JANUARY 12 OIL SANDS PUBLIC OFFERING NOTICE Page 1 of 3 APPENDIX 3 D.LEASE (DEVELOPMENT LEASES) PARCEL NO(s). ADDENDA DESCRIPTION & CONTACT OS 005 4 16 072: 27-29;30SP,NWP,NE;31E,WP;32-34 4 16 073: 3-6;7E,WP;8-10 IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 006 4 17 072: 35SP,NW,NEP;36NP 4 17 073: 1P;2;11;12SWP,NW,NEP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 007 4 16 073: 18E,WP;19EP;30EP 4 17 073: 13W,EP;14;23;24N,SEP,SW;25;26 IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 008 4 12 075: 1NP;2NP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 ----------------------------------------------------------------------------------------------------------- ADDENDA AND CONTACTS APPLICABLE TO THE 2000 JANUARY 12 OIL SANDS PUBLIC OFFERING NOTICE Page 2 of 3 APPENDIX 3 D.LEASE (DEVELOPMENT LEASES) PARCEL NO(s). ADDENDA DESCRIPTION & CONTACT OS 009 4 8 076: 19;30;31S,NP 4 9 076: 24;25;36S,NP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 011 4 9 076: 29;30;31NP,SE,SWP;32 IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 012 4 8 077: 6SWP 4 9 077: 1SP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 013 THE LANDS IN THIS LEASE IS/ARE WITHIN AN IMPORTANT OS 016 CARIBOU RANGE. OS 019 URFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 ----------------------------------------------------------------------------------------------------------- ADDENDA AND CONTACTS APPLICABLE TO THE 2000 JANUARY 12 OIL SANDS PUBLIC OFFERING NOTICE Page 3 of 3 APPENDIX 3 D.LEASE (DEVELOPMENT LEASES) PARCEL NO(s). ADDENDA DESCRIPTION & CONTACT OS 015 4 10 078: 14NP,SWP;15N,SP;16;17SP,NWP,NE; 18SP,NEP;19N,SP;20N,SE,SWP; 22;23W,EP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 017 4 10 078: 25WP;26W,EP;35WP 4 9 079: 6SP,NWP,NE;;7N,SE,SWP 4 10 079: 2SP,NWP,11SWP;12NP,SEP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 OS 018 4 10 079: 5;8S,NP;9S,NP;10NP,SEP,SW IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS. FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPARTMENT OF ENVIRONMENT PROVINCIAL BUILDING LAND & FOREST SERVICE BOX 450 NORTHEAST BOREAL REGION LAC LA BICHE AB T0A 2C0 (780) 623-5263 END =============================================================================