2005 AUGUST 24 12 noon, CALGARY PUBLIC OFFERING OF CROWN OIL SANDS RIGHTS ENERGY PUBLIC OFFERING CONTROL COUNTS FOR 2005.08.24 From To Total Area LEASES: L0342 L0355 14 74,496.0000 ha. PERMITS: P0000 P0000 0 0.0000 ha. -------------------------- 14 74,496.0000 ha. PUBLIC OFFERING OF CROWN OIL SANDS RIGHTS (AVAILABLE ON INTERNET AT HTTP://WWW.ENERGY.GOV.AB.CA:) DEADLINE After 12:00 noon on 2005 August 24,offers to purchase oil sands 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 $625.00 per parcel. 3. The minimum acceptance offer is $2.50 per hectare (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. Companies and individuals that do not have a GST registration number are liable for payment of the Goods and Services Tax on various charges. All registrants must ensure that their GST number is provided in writing to Financial Services Branch @ Fax No. (780) 422-4281. HOW TO SUBMIT BIDS 1. Bids for leases should be enclosed in one sealed envelope with "Lease Bids - 2005 August 24" indicated on the outside of the envelope. 2. 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 address - 300, AMEC Place, 801 - 6 Avenue SW, T2P 3W2 or the Edmonton address - 7th Floor, Petroleum Plaza North Tower, 9945 - 108 Street, T5K 2G6. BIDS ARE ACCEPTED UNTIL 12:00 NOON ON THE PUBLIC OFFERING DATE. NO EXCEPTIONS. POINTS TO REMEMBER 1. It can take up to midnight on the day following the sale to see your funds debited from your bank account for an accepted offer. 2. Requestors of parcel(s) posted in a public offering are expected to bid on the parcel(s). If the parcel(s) is not sold, the requestor will be charged a penalty of $625.00 plus GST for each unsold parcel. 3. Effective January 01, 2000, all Oil Sands Agreements acquired include Solution Gas. Please refer to information letter 99-38 for the definition of Solution Gas and any other relevant information. ATTACHMENTS TO THIS PUBLIC OFFERING WHEN APPLICABLE 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 contracts 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 2005 August 25 at 9:00 a.m. at the two addresses shown under the section above entitled "HOW TO SUBMIT BIDS", and on the Internet. 2. All agreements are issued in accordance with the Mines & Minerals Act and its regulations. 2005 June 29 Jerry MacPherson - Director Operations EDMONTON, Alberta Oil Sands Development LEASE SCHEDULE OIL SANDS LEASES 2005, AUGUST 24 LEASE HECTARES LAND DESCRIPTION ----- -------- ---------------- --- COLD LAKE OS AREA --- L0342 256 4-13-061: 16 OIL SANDS IN THE MANNVILLE GRP (DRRZD 4) ------------------------------------------------------------------------------------- --- ATHABASCA OS AREA --- L0343 4608 (CHR000101) 4-05-089: 7;8;17-21;26-36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0344 9216 (CHR000101) 4-06-089: 1-36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0345 6656 (CHR000101) 4-05-090: 1-17;21-27;35;36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0346 2048 4-10-090: 27-34 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0347 2304 (IRS000704) 4-08-091: 4-9;16-18 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0348 3840 (CRG000123) 4-13-094: 4;9;10;15;16;21;22;26;28;33;34 4-13-095: 1-4 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0349 6144 (CRG000123) (CRG000124) 4-13-094: 5-8;17;18 4-14-094: 1-18 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0350 6144 (CRG000125) 4-15-094: 13-36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0351 9216 4-10-099: 25-36 4-10-100: 1-24 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0352 6656 4-11-099: 4-9;15-22;25-36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0353 3328 4-12-099: 24-36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0354 4864 4-12-100: 5-8;18;19;30 4-13-100: 1;2;11-14;23-26;35;36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- L0355 9216 (HRM000202) 4-13-101: 1-36 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- 14 74,496.00 HA TOTALS END APPENDIX 2 DEEPER RIGHTS REVERSION ZONE DESIGNATIONS APPLICABLE TO THE 2005, AUGUST 24 PUBLIC OFFERING NOTICE DRRZD: 4 ZONE: 2480 MANNVILLE GRP INTERVAL: 2,557.00 - 2,985.00 FEET KEY WELL: 00/06-16-041-08W4/0 LOG TYPE: INDUCTION ELECTRICAL ------------------------------------------------------------------------------------- DRRZD: 6 ZONE: 2140 VIKING FM INTERVAL: 2,600.00 - 2,680.00 FEET KEY WELL: 00/10-10-042-14W4/0 LOG TYPE: INDUCTION ELECTRICAL ------------------------------------------------------------------------------------- DRRZD: 258 ZONE: 7040 WOODBEND GRP INTERVAL: 1,284.00 - 2,251.00 FEET KEY WELL: 00/10-29-077-18W4/0 LOG TYPE: SONIC ------------------------------------------------------------------------------------- END APPENDIX 3 ADDENDA AND CONTACTS APPLICABLE TO THE 2005, AUGUST 24 PUBLIC OFFERING NOTICE CHR000101 LAND DESCRIPTION LEASE L0343 4-05-089: 7S,NWP,NE;8;17;18SP,NEP;19SEP;20NP,SE,SWP; 21S,NWP,NE;26;27S,NWP,NE;28SP,NEP;29SEP; 34SP;35S,NP;36 LEASE L0344 4-06-089: 1S,NWP,NE;2NP,SE,SWP;3SEP;12SP,NEP;13SEP LEASE L0345 4-05-090: 1SP,NEP;2SEP IS/ARE WITHIN THE CANADIAN HERITAGE RIVERS SYSTEM. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: BILL RICHARDS RESOURCE TECHNOLOGIST COMMUNITY DEVELOPMENT PARKS AND PROTECTED AREAS POLICY AND LAND USE PLANNING SECTION 9820 106 ST NW FLOOR 5 EDMONTON AB T5K 2J6 (780) 427-9445 ------------------------------------------------------------------------------------- CRG000123 LAND DESCRIPTION LEASE L0348 4-13-095: 4WP LEASE L0349 4-13-094: 7NP;17NP,SWP;18N,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 DEPT. OF SUSTAINABLE RESOURCE DEV LAC LA BICHE REGIONAL OFFICE - LAND AND FOREST SERVICE PO BOX 450 LAC LA BICHE AB T0A 2C0 (780) 623-5240 ------------------------------------------------------------------------------------- CRG000124 LAND DESCRIPTION LEASE L0349 4-14-094: 2SP,NW,NEP;3SP,N;4N,SEP,SW;5-10;11EP,W;12NP; 13SP,N;14-18 IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPT. OF SUSTAINABLE RESOURCE DEV LAC LA BICHE REGIONAL OFFICE - LAND AND FOREST SERVICE PO BOX 450 LAC LA BICHE AB T0A 2C0 (780) 623-5240 ------------------------------------------------------------------------------------- CRG000125 LAND DESCRIPTION LEASE L0350 4-15-094: 13-21;22SP,NWP;23SP;24S,NP;25SEP;27SWP;28SP, NWP;29S,NP;30S,NP;31SP,N;32NP,SWP;33NP;34NP IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE LIND LAND USE SPECIALIST DEPT. OF SUSTAINABLE RESOURCE DEV LAC LA BICHE REGIONAL OFFICE - LAND AND FOREST SERVICE PO BOX 450 LAC LA BICHE AB T0A 2C0 (780) 623-5240 ------------------------------------------------------------------------------------- HRM000202 LAND DESCRIPTION LEASE L0355 4-13-101: 5;6 IS/ARE WITHIN AN HISTORICAL RESOURCES MANAGEMENT AREA. PURSUANT TO SEC. 33(2) OF THE HISTORICAL RESOURCES ACT, AN HISTORICAL RESOURCES IMPACT ASSESSMENT MAY BE REQUIRED PRIOR TO CONDUCTING ANY SURFACE DISTURBANCE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: DEAN WETZEL RESOURCE MANAGEMENT PLANNER COMMUNITY DEVELOPMENT HERITAGE RESOURCE MANAGEMENT BRANCH PROTECTION AND STEWARDSHIP SECTION OLD ST STEPHEN'S COLLEGE 8820 112 ST NW EDMONTON AB T6G 2P8 (780) 431-2332 ------------------------------------------------------------------------------------- IRS000704 LAND DESCRIPTION LEASE L0347 4-08-091: 16NEP IS/ARE WITHIN THE FORT MCMURRAY-ATHABASCA OIL SANDS INTEGRATED RESOURCE PLAN. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: LEE BAKER FORESTER DEPT. OF SUSTAINABLE RESOURCE DEV FORT MCMURRAY OFFICE-LAND USE AREA- PUBLIC LANDS AND FORESTS PROVINCIAL BUILDING 9915 FRANKLIN AVE FLOOR 3 BOX 35 FORT MCMURRAY AB T9H 2K4 (780) 743-7120 ------------------------------------------------------------------------------------- END