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CONSTRUCTION BEGINS ON $11-MILLION PETROLEUM TECHNOLOGY RESEARCH CENTRE (PTRC)

Released on April 23, 1999

The ground was broken and construction launched today on the Petroleum

Technology Research Centre (PTRC). When completed in spring 2000, the

$11 million centre will employ more than 50 scientists and

undergraduate students working to enhance the production and value of

Saskatchewan's oil resources. About 100 jobs will be created during

the construction phase.



Participating in the ground-breaking ceremony were Premier Roy

Romanow, federal Natural Resources Minister Ralph Goodale,

Saskatchewan Economic and Co-operative Development Minister Janice

MacKinnon, University of Regina President Dr. David Barnard and PTRC

Chair Frank Proto.



During the ceremony, Minister Goodale on behalf of Ron J. Duhamel,

Secretary of State for Western Economic Diversification and Minister

MacKinnon presented Proto with a $3.5 million cheque, the first

payment of $6 million in capital funding approved under the

Canada/Saskatchewan Western Economic Partnership Agreement (WEPA).



"The next generation of technologies developed through the PTRC will

provide enormous benefits," Premier Romanow said. "The centre will

create environmentally friendly technologies that Saskatchewan

companies can use here and abroad to extract more oil.



"Its research will strengthen one of our most dynamic sectors,

leading to more jobs in rural Saskatchewan. There will be more

jobs for our young people at home and new opportunities for our

best and brightest minds."



"Not only does Regina benefit from the economic spinoff of job

creation, the Province of Saskatchewan is positioned at the

forefront of petroleum tecnology," Minister Goodale said. "This

is exactly the kind of project we envisioned when we approved

funding under WEPA."



The 60,800 sq.ft. facility is located in the Regina Research

Park, a development of the Saskatchewan Opportunities Corporation

(SOCO) located immediately south of the university campus. The

PTRC will be the second building to be constructed in Regina's

fledgling research park. The building is being constructed to C-2000 standards and must meet stringent criteria related to energy

efficiency, environmental impact, indoor air quality and comfort

targets. It will use one-third less energy than conventionally

built facilities.



In addition to the capital funding under WEPA, five year

operating funding of $5 million has been committed by Natural

Resources Canada and $1 million has been committed by

Saskatchewan Energy and Mines. The provincial government is also

contributing $7 million through funding to the Saskatchewan

Research Council and up to $2.5 million through support from the

new Saskatchewan Petroleum Research Incentive.



Other partners in the facility are the Saskatchewan Research

Council's Petroleum Research Group, the University of Regina's

Petroleum Engineering Group and SOCO, which will construct and

own the building and contribute $5 million in capital costs.



"The contribution the University of Regina is making to this

project illustrates the key role education plays in building a

stronger Saskatchewan," Barnard said. "The partnerships coming

together in this project will strengthen a Saskatchewan industry

and will strengthen the education Saskatchewan students receive."



The centre is run by a 11 member board of directors, chaired by

retired Wascana Energy President Frank Proto. Six members of the

board represent Saskatchewan's petroleum industry.



"Industry linkages hold the key to the PTRC's success and strong

industry guidance and support will ensure that research

activities have practical applications and ultimately provide

significant economic benefits to the people of Saskatchewan,"

Proto said.



- 30 -



For more information, contact:



John Embury, Press Secretary Irene Rau

Natural Resources Canada Director of Corporate Affairs

Ottawa Saskatchewan Opportunities

Phone: (613) 996-2007 Corporation (SOCO)

Regina

Joanne Mysak Phone: (306) 787-8576

Western Economic

Diversification

Saskatoon

Phone: (306) 975-5942





Natural Resources Canada's news releases and backgrounders are

available on the Internet at http://www.nrcan.gc.ca.

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