Teck Cominco and UTS Update Land Acquisition in Athabasca Oil Sands Regionadmin
Teck Cominco Limited and UTS Energy Corporation announced that they have jointly acquired a total of 18 new leases in the Athabasca Oil Sands Region of Alberta on a 50:50 basis. UTS first announced its joint bidding relationship with Teck Cominco in its 2006 third quarter results; the following table identifies the leases jointly acquired by Teck Cominco and UTS.
Since December 2005, Teck Cominco and UTS have jointly acquired 257,920 acres (including Lease 311) at a total cost of $163.5 million (net cost to UTS of $79.3 million and $84.2 million to Teck Cominco). This brings the total UTS lease holdings gross acreage outside the Fort Hills Partnership to 276,587 acres.
“We are very pleased to have acquired this extensive package of prospective exploration acreage in the Athabasca oil sands region. We have already commenced an extensive drilling program on Lease 14 and the Lease 311 area. We currently have four rigs working, with a winter drilling program capability of about 150 to 180 wells and we expect to be in a position to release results from this drilling program in the third quarter of this year,” said Dr. William Roach, President and Chief Executive Officer.
About Teck Cominco
Teck Cominco is a diversified mining company, headquartered in Vancouver, Canada. Its shares are listed on the Toronto Stock Exchange under the symbols TCK.A and TCK.B and on the New York Stock Exchange under the symbol TCK. The company is a world leader in the production of zinc and metallurgical coal and is also a significant producer of copper, gold, indium and other specialty metals.
FORWARD-LOOKING STATEMENTS: Except for statements of historical fact relating to UTS or Teck Cominco, this news release contains certain “forward-looking statements” within the meaning of applicable securities law. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate” and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward-looking statements such as the references to UTS’ anticipated drilling program are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements. UTS and Teck Cominco undertake no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements.
For a map showing all of UTS’ properties, click http://www.uts.ca/documents/misc/070115%20Land%20Map.pdf or cut and paste the link into your browser.
The Company’s first strategic focus is the development and execution of the Fort Hills Project with our partners. The Company was instrumental in re-establishing the Fort Hills Oil Sands Project and is the principal founder of the Fort Hills Energy Partnership. The Partnership is comprised of Petro-Canada with a 55 per cent working interest and Operator, UTS with a 30 per cent working interest and Teck Cominco Limited with a 15 per cent working interest.
The second strategic focus is to develop additional shareholder value via the acquisition of lands, which if prospective, provide organic growth opportunities and potentially future funding flexibility for UTS.
UTS Energy Corporation is based in Calgary, Alberta. The Company’s common shares (UTS) are traded on the Toronto Stock Exchange.
Greg Waller Teck Cominco Limited Vice President, Investor Relations and Strategic Analysis (604) 687-1117 (604) 687-6100 (FAX)
Dr. William J. F. Roach UTS Energy Corporation President and Chief Executive Officer
Wayne I. Bobye UTS Energy Corporation Vice-President and Chief Financial Officer (403) 538-7030
Source: Teck Cominco Limited