Petrobank Commits to Protect Swan Lake

Calgary, AB – October 13, 2005: The Swan Lake recreation area will be preserved for future generations to enjoy thanks to the joint efforts of the Town of Princeton and Petrobank Energy and Resources Ltd. Today Petrobank announces that it will commit to operations that will protect this valuable community space.

Petrobank’s commitment will ensure Swan Lake continues to thrive as an important eco-recreational space for the entire community. Although the company has drilling rights on lands surrounding Swan Lake, it currently has no plans for operations in the area. Conversations with members of the community represented by the Town and the Upper Similkameen Indian Band (USIB) were helpful for Petrobank’s understanding of the area as a valued community resource.

“Swan Lake is one of the many great natural places that we enjoy in Princeton,” says Mayor Keith Olsen. “Petrobank is still conducting initial exploration, yet it recognized the great public recreational value of the lake and has willingly agreed to manage its own operations to preserve this asset. As a new company in our community, Petrobank is displaying its leadership by making the decision to protect Swan Lake for our future.”

Chief Richard Holmes of the USIB also supports the move to protect Swan Lake for people and for nature. “We thank Petrobank for preserving the lake for future generations,” says Chief Holmes.

After carefully reviewing its potential drilling program, Petrobank concluded that any future drilling in the area can be conducted in such a fashion that ensures Swan Lake and surrounding land remain undisturbed.

The company was originally approached by the Vermillion Forks Field Naturalists to release its lease rights to the area. Petrobank responded that it will not release its rights. Rather, the company offered an alternative to preserve the land after concluding the protection of Swan Lake would be good for the entire community.

“We’re very proud of this opportunity we have to help preserve the recreational use of Swan Lake for many generations to come,” says Gregg Smith, Vice President Canada, Petrobank. “Our operations on this project remain under review, but Petrobank is dedicated to showing we have the integrity to be a responsible member of the community.”

Petrobank is currently completing its examination of the results from a coalbed gas test well 4.5km southwest of Princeton.