INVESTING IN HOG FARMS EXPANSION

Released on July 10, 2000

The Crown Investments Corporation (CIC) is investing up to $15 million in Big

Sky Farms Inc. to help the hog producer build new facilities in the Rama and

Ogema areas of Saskatchewan.



The expansion will double Big Sky's annual production of top quality hogs,

making the company one of the largest producers in Western Canada. Total cost

of the expansion is estimated at $60 million.



"This expansion will increase Saskatchewan's hog production, provide more home-

grown hogs for local processors like Mitchell's Gourmet Foods of Saskatoon and

encourage growth of the pork processing and packing sector in our province,"

Crown Investments Corporation Minister John Nilson said. "The expansion will

also benefit rural Saskatchewan through the creation of 90 jobs and increased

economic activity for suppliers, feed growers and other businesses."



Each of Big Sky's two new farrow to finish barn complexes will be capable of

housing 5,000 sows at a time and producing 116,000 market hogs a year. When

combined with Big Sky's existing barn complexes in Saskatchewan, the company

will be capable of producing more than 400,000 hogs annually.



"We are very excited about this expansion and what it will mean to our ability

to compete with other large producers in Western Canada," Big Sky Farms Inc.

President and CEO Florian Possberg said. "We are pleased to have CIC as a

major partner as we move into this new phase in the development of our company."



"CIC is pleased to invest in this successful, growing company," Nilson said.

"Big Sky is a leader in hog production, both in terms of financial management

and in the quality of the hogs it produces.



"The company satisfies all of the environmental requirements needed to obtain

permits for the new barns, including completion of geo-technical studies of

soil conditions. Saskatchewan has very well-designed safeguards to protect

ground water supplies and surface water supplies from manure contamination and

all conditions have been met for these new barns."



Big Sky was established in 1995, with head office in Humboldt. It has since

built three farrow to finish hog production facilities in the Humboldt,

Kelvington and Preeceville areas. Florian Possberg, who was one of the

company's founders, amalgamated his two hog production facilities in the

Humboldt area with Big Sky in 1998. The company currently employs 135 people

and produces 200,000 hogs a year.



Construction of the barn complexes in the Ogema area, 70 kilometres west of

Weyburn, will begin immediately, with full commercial production expected by

late spring, 2001. Construction of the barn complexes in the Rama area, 100

kilometres north-west of Yorkton, will begin later this month, with full

commercial production expected by late fall, 2001.



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For more information, contact:



Karen Schmidt Florian Possberg

Acting Executive Director, Communications President & CEO

Crown Investments Corporation Big Sky Farms Inc.

Regina Humboldt

Phone: (306) 787-5889 Phone: (306) 682-5041