Smith gives position

Dear Editor:

In several recent letters published in this newspaper, some community members have raised concerns about our proposed coalbed gas (CBG) evaluation project. Certainly, many of these are legitimate issues that we have tried to address in our ads and our earlier open house, and we will keep them in mind when we return to the community for future meetings about CBG.

New concerns have been raised and I think it is important to provide our position.

As previously announced, we have voluntarily chosen to defer our proposed drilling schedule. The Oil and Gas Commission (OGC) has not directed us in any way. At this point, we have not even presented the OGC with our drilling application as we must wait until after appropriate community consultation is completed to Petrobank’s satisfaction and a proposed drilling schedule is set. I would recommend contacting the OGC (www.ogc.gov.bc.ca) if anyone has questions about the commission’s role as regulator or the status of Petrobank’s application.

We are confident with our ability to operate an environmentally considerate program with no impact on the watershed and the water aquifers. We are equally confident in the ability of the OGC to regulate our operations and hold us accountable to British Columbia’s world-class standards for resource exploration.

Petrobank is serious about having a public discussion about CBG and we have regularly answered questions directly posed to us in personal conversations, correspondence, advertising and news releases. We are not content to only have a one way conversation on the issues and that is why we are committing, once again, to hosting a town hall-style event that will allow people an opportunity to voice their concerns. This will happen before we present an application to the OGC.

But, a public meeting must include all voices from government, the regulator, industry and environmental groups—not just Petrobank. A so-called “public debate” between two opposing groups is not a valuable way to expose all the information people need to make informed decisions. As we get closer to a revised proposed drilling schedule, which we have not determined, we will ensure this meeting occurs at a convenient time for most people and with ample warning. We appreciate the offer to coordinate a meeting with the SOS group and will do so by contacting them in the future. We appreciate that this group extended the invitation and is allowing us to select the date—something we will do soon.

Petrobank is very proud of our track record in communities throughout Western Canada. We are a very active company operating a diversity of projects including the development of a low-environmental impact oil sands production technology in northern Alberta. We intend to operate any future programs within the Princeton area with as much care and attention as we give our other projects. This is one of the reasons we want to continue a dialogue around our proposed CBG evaluation program.

Our intent in Princeton has always been to be open and available to discuss our proposals, clarify the facts and acknowledge the concerns of the community. This will include smaller meetings with special interest groups (like SOS), Town Council, the RDOS, and local government representatives. As I’ve said, we will also return to the community to participate in a larger public event with many groups represented. In the meantime, I will continue to be available to answer any questions community members may have.

Sincerely,

Gregg Smith

Vice President (Canada)

Petrobank Energy and Resources

PrincetonCBG@petrobank.com

1-866-764-4571

Petrobank Energy and Resources Ltd.

attention: CBG Information Request

2600, 240 – 4th Avenue SW 
Calgary, AB Canada T2P 4H4

www.petrobank.com

2600, 240 – 4TH AVENUE SW, CALGARY, ALBERTA, CANADA, T2P 4H4 MAIN: (403) 750-4400 FAX: (403) 266-5794 www.petrobank.com