SASKATCHEWAN OIL AND MINING TO TAKE CENTRE STAGE IN BEIJING

Released on November 9, 2006

Saskatchewan's strengths and investment opportunities in heavy oil and minerals will be showcased to international audiences next week in Beijing, China.

Industry and Resources Minister Eric Cline is leading a Saskatchewan delegation to two major events in China's capital city—the inaugural World Heavy Oil Conference November 12-15, and the China Mining 2006 Congress and Exhibition November 14-16.

Cline, who is a vice-chair of the World Heavy Oil Conference, will make presentations at both conferences and will hold separate business meetings with various Chinese companies, including the China National Petroleum Corporation, the China National Nuclear Corporation, Sinopec and the ZhongRong Group.

"Heavy oil accounts for half of Saskatchewan's oil production and shows tremendous potential for growth, while the strength of our mineral resources, particularly uranium and potash, is internationally recognized," Cline said. "Our economic momentum, stability, and diversity create a highly attractive climate for investment and it's this strong business message that we're taking to these global audiences in Beijing."

The World Heavy Oil Conference is expected to attract 600 of the world's leading heavy oil professionals and provides an excellent forum for the province. Saskatchewan's initial heavy oil-in-place is currently estimated at 19.5 billion barrels, but less than 10 per cent is commercially recoverable using present technologies. Conference delegates will learn about the heavy oil potential in Saskatchewan and the research projects currently being undertaken to increase the recovery of those resources.

China Mining 2006 is that country's premier mining show, covering a range of technology, safety, investment and financing opportunities for minerals and metals. Saskatchewan is the world leader in uranium and potash production.

The province has experienced a nine-fold increase in mineral exploration spending since 2001, with a forecast of $208 million for this year alone. The exploration is being led by interest in uranium and diamonds, but there is also increased spending on other mineral commodities such as gold, base metals and rare earth elements. In the industrial mineral sector, we are seeing investment in expansions of existing potash operations and in new potash exploration plays.

Joining Cline on the China mission are representatives of the University of Regina, the University of Saskatchewan, HTC Purenergy of Regina, Bregma Materials Solutions of Saskatoon, and Athabasca Potash Inc. of Saskatoon, along with senior officials from Industry and Resources. Thunder Creek MLA Lyle Stewart is also accompanying the delegation.

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For More Information, Contact:

Jamie Shanks Industry and Resources Regina Phone: 306-787-1691 Email: jshanks@ir.gov.sk.ca