Take Notice that the Alberta Energy and Utilities Board (EUB) will hold a public hearing of Applications No. 1348357 and 1348360 at the Westwind Motor Inn, 4225 – 50 Street, Drayton Valley, Alberta, commencing on November 24, 2004, at the hour of 10:00 a.m. All interveners to this proceeding must be present at the commencement of the hearing to register their appearance.

Vaquero Energy Ltd. (Vaquero) has submitted applications to the EUB pursuant to Section 2.020 of the Oil and Gas Conservation Regulations for licences to drill two wells, one from a surface location in Legal Subdivision (LSD) 13 of Section 21, Township 50, Range 7, West of the 5th Meridian to a bottom hole location in the same LSD (Application No. 1348357), and the second from a surface location in LSD 6-32-50-7W5M to a bottom hole location in LSD 3-32-50-7W5M (Application No. 1348360). The maximum hydrogen sulphide (H₂S) concentration for each well would be approximately 202.0 moles per kilomole (20.2 per cent) and the cumulative drilling H₂S release rate would be 1.5 cubic metres per second (m³/s), with a corresponding calculated emergency planning zone for each well of 3.02 kilometres (km). The purpose of the wells is to obtain crude oil production from the Nisku formation. The proposed wells would be located approximately 11 and 14 km northeast of Drayton Valley, respectively.

To obtain additional information or a copy of the application contact:

Vaquero Energy Ltd.

1600, 202 – 6 Avenue SW

Calgary Alberta T2P 2R9

Attention: Brian Ness

Telephone: (403) 537-2044

Fax: (403) 537-2036

Copies of the applications are available for viewing at the EUB's Calgary office and the EUB's Drayton Valley Field Office:

EUB Information Services

Main Floor, 640-5th Avenue SW

Calgary, Alberta T2P 3G4

Telephone: (403) 297-8190

Drayton Valley Field Centre

Box 7048

5005 – 61 Street

Drayton Valley, Alberta T7A 1S3

Telephone: (780) 542-5182

For information about EUB procedures contact:

Applications Branch, Facilities Applications

Attention: Adela Cosijn

Telephone: (403) 297-8868

Fax: (403) 297-4117

Additionally, the EUB will be hosting an information session at the Westwind Motor Inn, 4225 – 50 Street, Drayton Valley, Alberta, on October 18, 2004, beginning at 7:00 p.m. EUB staff will be available to answer questions about EUB hearing processes but will not deal with specific issues in regard to Vaquero's applications.

Any person intending to make a submission with respect to the hearing of Applications No. 1348357 and 1348360 shall file on or before 4:00 p.m., November 10, 2004. Send one copy of your submission to the applicant at the name and address above and ten copies to:

Adela Cosijn, Applications Coordinator

Applications Branch, Facilities Applications Group

Alberta Energy and Utilities Board

640 - 5 Avenue SW

Calgary, Alberta T2P 3G4

Any submission filed shall contain the following:

(a) a concise statement indicating

(i) the manner in which the intervener's rights may be directly and adversely affected by a decision of the Board on the proceeding,

(ii) the nature and scope of the intervener's intended participation,

(iii) the disposition of the proceeding that the intervener advocates, if any,

(iv) the facts the intervener proposes to show in evidence,

(v) the reasons why the intervener believes the Board should decide in the manner that the intervener advocates, and

(vi) the intervener's efforts, if any, to resolve issues associated with the proceeding directly with the applicant;

(b) the name, address in Alberta, telephone number, fax number and, if available, e-mail address of the intervener;

(c) if the intervener is represented by a representative, the name, address in Alberta, telephone number, fax number and, if available, e-mail address of the representative;

(d) if the intervener is an unincorporated organization, the nature of the intervener's membership.

If you have an interest in this matter, you are required to make a submission with respect to this application even if you have previously filed a submission with the Board or with Vaquero Energy Ltd. on this application.

If there are no submissions received, this hearing may be cancelled and the EUB will continue to process the application without further notice or without a hearing.

In accordance with Section 38 of the Alberta Energy and Utilities Board Rules of Practice, witnesses must give evidence under oath or affirmation.

Submissions relating exclusively to compensation for land usage are not dealt with by the EUB but may be referred to the Alberta Surface Rights Board.

Note: Any statements filed regarding this application become part of the public record and are accessible by the public.

Issued at Calgary, Alberta, on October 8, 2004.

ALBERTA ENERGY AND UTILITIES BOARD

Douglas A. Larder, General Counsel