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NORTHWEST PARTNERSHIP RECEIVES 5-YEAR TIMBER LICENCE

Released on November 22, 2002

A partnership of seven northwest Saskatchewan communities has been granted

a five-year licence to harvest timber on more than 770,000 hectares of

Provincial Forest. Environment Minister Buckley Belanger granted the Term

Supply Licence at a ceremony in Beauval today.



The Term Supply Licence (TSL) marks an important milestone for Northwest

Communities Wood Products Inc. (NWC), a partnership including the

communities of Beauval, Buffalo Narrows, Green Lake, Ile-a-la-Crosse, La

Loche, Patuanak and Pinehouse Lake. The longer term of the licence

provides additional security of supply for the company as it continues to

develop its business plan and seek industrial partners. The agreement also

addresses other interests on the area, with a portion of the available wood

set aside for third parties.



"This licence is an affirmation of the government's firm commitment to the

pursuit of forest economic developments for this area," Belanger

said. "Today, we've taken a significant step - the first community-based

Term Supply Licence in Saskatchewan."



The parties also signed a letter of intent today, outlining the process for

NWC to gain a licence for parts of the Turnor Blocks, northern reserve

areas being relinquished by Mistik Management. Next steps include

completion of an inventory and a business plan.



A Forest Management Trust Fund, administered jointly by the NWC, a trustee

and Saskatchewan Environment, is already in place. Reforestation fees paid

on each cubic metre of timber harvested from the area go into the fund,

which is spent on forest renewal and management activities.



Harvesting based on the new TSL will begin following Saskatchewan

Environment's approval of an Annual Operating Plan, which is currently

being developed.



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For more information, contact:



Al Willcocks Bill Hatton

Environment Northwest Communities Wood Products Inc.

Prince Albert Beauval

Phone: (306) 953-2486 Phone: (306) 288-4570

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