NOTICE OF APPLICATION

APPLICATION NO. 1408851

AVONDALE ENERGY INC.

DAVEY FIELD

Take Notice that the Alberta Energy and Utilities Board (EUB) has received Application No.1408851. This notice is to advise of the filing of this application. Note that if no submissions are received on or before Wednesday, August 10, 2005, relating to the application, the EUB may continue to process this application without further notice.

Avondale Energy Inc. has applied pursuant to section 80 of the Oil and Gas Conservation Act (the Act) for an order prescribing that all tracts within the drilling spacing unit comprising Section 36 of Township 34, Range 27, West of the 4th Meridian, be operated as a unit for the production of gas from the Pekisko Formation, through a horizontal leg to be drilled through the well with the unique identifier of 00/16-36-034-27W4.

The applicant requested, among other things, that costs and revenues under the pooling order be allocated on a tract area basis, and that it be named the operator of the well to be produced. In addition, the applicant requested that the maximum penalty allowed under the Act be applied to a tract owner's share of the costs of re-entering the subject well, drilling the horizontal leg, and completing the well in the formation named in the order if the tract owner does not pay the costs within 30 days of the later of the pooling order being issued, the tract owner being notified in writing of its share of actual costs, or the well commencing production.

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

Avondale Energy Inc.

920, 304 – 8 Avenue SW

Calgary Alberta T2P 1C2

Attention: D. Slattery

Telephone: (403) 269-2005

Fax: (403) 269-2008

A copy of the application is available for viewing on the EUB's web site at www.ercb.ca on the Integrated Application Registry (IAR).

For information about EUB procedures, contact:

Applications Branch, Resources Applications Group

Attention: K. Fisher

Telephone: (403) 297-8490

Fax: (403) 297-2474

E-mail: karine.fisher@gov.ab.ca

If you have an interest in this application and you wish to file a submission, please state in writing your reasons for filing by no later than August 10, 2005. Send one copy of your submission to the applicant at the name and address above and either an electronic copy by email to karine.fisher@gov.ab.ca or 12 paper copies to

K. Fisher, Application Coordinator

Applications Branch, Resources 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 EUB or with the applicant.

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.

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

Issued at Calgary, Alberta, on July 15, 2005.

ALBERTA ENERGY AND UTILITIES BOARD

Douglas A. Larder, General Counsel