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ATHABASCA ROAD ANNOUNCED

Released on May 19, 1995

Highways and Transportation Minister Andy Renaud today announced that
Saskatchewan is committed to building a road from Points North to Black
Lake in partnership with the Canadian Coast Guard, Indian and Northern
Affairs Canada, and the Prince Albert Grand Council.

"We estimate our share is $1.5 million to build a seasonal road to the
isolated communities on the shore of Lake Athabasca to help area
residents improve social and economic conditions," Renaud said.

Renaud said that currently the area is serviced by private barge
service from Fort McMurray, Alberta for supply of goods, as well as air
services for perishable goods, mail, emergency supplies, and personal
travel.

Barge service will be reduced due to the discontinuation of dredging
and navigational services by the Canadian Coast Guard on the Athabasca
River following the 1996 dredging season.

"The announcement of a road is welcome news for area residents," said
Associate Minister of Economic Development Fred Thompson. "The lack of
road access places a heavy burden on residents due to the high cost of
living which is about double that of southern Saskatchewan. A road
will bring an improved quality of living and will add to increased
economic development for all those living in the Black Lake, Stony
Rapids and Fond-du-Lac regions."

Renaud said road construction is expected to provide 150 seasonal jobs.
Ongoing operation and maintenance will provide for permanent jobs
following construction.

"Extending the northern road network creates jobs in the short term and
promotes economic development, which leads to more jobs in the long
term," said Associate Education, Training and Employment Minister Keith
Goulet. "We have programs in place, such as the Multi-Party Training
Plan, which are helping to ensure that the majority of these new jobs
go to northern residents."

"Currently the province is finalizing agreements with the federal
government and the Prince Albert Grand Council," Renaud said. "We
expect to start the environmental review process immediately. Subject
to completion and approval of that process, construction can begin."

Construction of a seasonal road between Points North and Black Lake is
estimated to cost $8 million. Costs will be divided among the
Saskatchewan government, Canadian Coast Guard, and Indian and Northern
Affairs Canada.

Renaud said the Prince Albert Grand Council is prepared to create a
road management corporation to enter into a contract with the
provincial government for road maintenance after construction.

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For more information, contact:

Harold Hugg
Director
Public & Northern Transportation
Highways & Transportation
Regina
Phone: 787-5311

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