2007 JANUARY 24 PUBLIC OFFERING OF CROWN OIL SANDS RIGHTS ENERGY PUBLIC OFFERING CONTROL COUNTS FOR 2007.01.24 From To Total Area LEASES: L0629 L0635 7 5,760.0000 ha. PERMITS: P0636 P0637 2 4,096.0000 ha. -------------------------- 9 9,856.0000 ha. PUBLIC OFFERING OF CROWN OIL SANDS RIGHTS BIDDING DEADLINE Offers to purchase oil sands leases and/or permits contained in this public offering will not be accepted after 12 noon on 2007 January 24. NO EXCEPTIONS. AMOUNT OF PAYMENT 1. Your total bid includes the bonus, rent at $3.50/ha or $50.00, whichever is the greater, and a fee of $625.00. 2. An offer of less than $2.50/ha for a lease and $1.25/ha for a permit will not be considered. 3. The department reserves the right to reject any bid. FORM OF PAYMENT 1. Only by 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. E-Bidding is mandatory for the submission of bids for all oil sands parcels offered. 2. Bid requests must be submitted using the Department of Energy's Electronic Transfer System (ETS). POINTS TO REMEMBER 1. The bidder is responsible for having sufficient funds in their EFT bank account to cover all bids on the day of the sale. 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). The requestor will be charged a penalty of $625.00 plus GST for each unsold parcel. 3. The Government of Alberta's "First Nations Consultation Policy on Land Management and Resource Development" may apply to surface activities proposed as a result of acquiring Crown mineral rights. For information contact Aboriginal Relations Business Unit, Alberta Energy at (780)427-5110. 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 information will be available on 2007 January 24 in the afternoon on the Department's website at http://www.energy.gov.ab.ca. 2. All agreements are issued in accordance with the Mines & Minerals Act and its regulations. 2006 November 29 Steve Tkalcic - Director Operations EDMONTON, Alberta Oil Sands Development LEASE SCHEDULE OIL SANDS LEASES 2007, JANUARY 24 LEASE HECTARES LAND DESCRIPTION ----- -------- ---------------- --- COLD LAKE OS AREA --- L0629 64 4-06-053: 24SE OIL SANDS IN THE MANNVILLE GRP (DRRZD 4) ------------------------------------------------------------------------------------- L0630 64 4-06-053: 24NE OIL SANDS IN THE MANNVILLE GRP (DRRZD 4) ------------------------------------------------------------------------------------- --- PEACE RIVER OS AREA --- L0631 1024 5-18-088: 5-8 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM (DRRZD 40) TO THE BASE OF THE PEKISKO FM (DRRZD 174) ------------------------------------------------------------------------------------- L0632 1024 5-18-088: 17-20 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM (DRRZD 40) TO THE BASE OF THE PEKISKO FM (DRRZD 174) ------------------------------------------------------------------------------------- L0633 1024 5-18-088: 29-32 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM (DRRZD 40) TO THE BASE OF THE PEKISKO FM (DRRZD 174) ------------------------------------------------------------------------------------- L0634 1280 5-19-088: 10-14 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM (DRRZD 40) TO THE BASE OF THE PEKISKO FM (DRRZD 174) ------------------------------------------------------------------------------------- L0635 1280 5-19-088: 25-29 OIL SANDS BELOW THE TOP OF THE PEACE RIVER FM (DRRZD 40) TO THE BASE OF THE PEKISKO FM (DRRZD 174) ------------------------------------------------------------------------------------- 7 5,760.00 HA TOTALS END PERMIT SCHEDULE OIL SANDS PERMITS 2007, JANUARY 24 PERMIT HECTARES LAND DESCRIPTION ------ -------- ---------------- --- ATHABASCA OS AREA --- P0636 3072 4-10-086: 19-22;27-34 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- P0637 1024 4-10-086: 23;26;35 4-10-087: 2 OIL SANDS BELOW THE TOP OF THE VIKING FM (DRRZD 6) TO THE BASE OF THE WOODBEND GRP (DRRZD 258) ------------------------------------------------------------------------------------- 2 4,096.00 HA TOTALS END APPENDIX 2 DEEPER RIGHTS REVERSION ZONE DESIGNATIONS APPLICABLE TO THE 2007, JANUARY 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: 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 ------------------------------------------------------------------------------------- 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