Joint venture

Page 10

On April 18, four First Nations, along with Alberta Energy Company Ltd. (AEC) and Precision Drilling Corporation, launched a joint venture to bring jobs, training and expanded business expertise to the Aboriginal communities involved.

Chiefs of the Kehewin, Frog Lake, Cold Lake and Heart Lake First Nations signed a Memorandum of Intent with AEC and Precision to own and operate a drilling rig in time for the 2001-2002 winter drilling season. The joint venture was inaugurated during a ceremony at an AEC-hosted dinner in Calgary. It is meant to lay the groundwork for oilfield training and drilling jobs. It also guarantees a minimum of 1,000 days of drilling for the First Nation-owned rig.

The four participating First Nation communities will collectively invest a total of $1.1 million toward the project's estimated overall cost of $10 million.