NOTICE OF PRE-HEARING MEETING
PROCEEDING NO. 1397909
KETCH RESOURCES LTD. (FORMERLY BEAR CREEK ENERGY LTD.)
REVIEW OF WELL LICENCE 0313083 UID 00/13-23-046-02W5/0
SURFACE LOCATION: LSD 1-27-46-2W5M
PEMBINA FIELD

The Alberta Energy and Utilities Board (Board/EUB) has determined that there are a number of unresolved concerns expressed by local residents respecting this well drilled by Bear Creek Energy Ltd. (Bear Creek), subsequently acquired by Ketch Resources Ltd. (Ketch), and is prepared to consider whether the Board should confirm, vary, or rescind its decision to issue Well Licence No. 0313083 at a public hearing. The Board has further determined that a pre-hearing meeting would assist it in setting the scope of the public hearing.

Take notice that the EUB will hold a pre-hearing meeting in relation to the above proceeding and related applications at the Village Creek Country Inn, Pigeon Lake, Alberta, commencing on July 11, 2005, at 7:00pm. The matters to be considered include, but would not be limited to:

• establishing the scope and purpose of the hearing, including relevant issues to be examined,

• establish if related applications (pipeline, facility, or other wells) should be heard (concurrently or consecutively) with the review of Licence No. 0313083,

• establishing the timing and location of the public hearing,

• identifying the procedures to be used in the hearing,

• identifying the participants and their roles in the hearing,

• discussing the funding of the participants, and

• any other matters as necessary.

The EUB will hear submissions respecting the timing of the hearing at the pre-hearing meeting and will confirm the actual hearing dates afterwards.

Further, Take Notice that this pre-hearing meeting is not being convened to hear evidence or argument pertaining to the merits of this proceeding, related applications or objections. It is to obtain parties' views on the topics listed above. Parties will be given an opportunity to present evidence, cross-examine witnesses, and make arguments regarding the merits of the application at the public hearing of this application.

Bear Creek submitted Application No. 1349162 on June 10, 2004 to the EUB for a licence to drill a directional natural gas well with an anticipated hydrogen sulphide (H₂S) content of 4.4 moles per kilomole. The application was for a Level-1 sour gas well to be drilled from a surface location in Legal Subdivision (LSD) 1 of Section 27, Township 46, Range 2, West of the 5th Meridian to a bottom-hole location in LSD 13-23-46-2 W5M. On August 10, 2004, the Board approved the application and issued Well Licence 0313083 to Bear Creek. The Board's records indicate that Bear Creek drilled the subject well between October 27 and November 13, 2004.

The EUB received letters from a number of parties requesting that the Board conduct a review hearing relating to well licence 0313083, pursuant to Section 40 of the Energy Resources Conservation Act. On April 11, 2005, the Board granted the requests for a review hearing.

Bear Creek was amalgamated into Ketch on January 18, 2005 and all of Bear Creek's assets and liabilities were assumed by Ketch as of that date.

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

Ketch Resources Ltd.
Suite 300, 440 - 2nd Avenue SW
Calgary, Alberta T2P 5E9
Attention: Neil Bokenfohr
Telephone: (403) 781-8603
Fax: (403) 781-8585

A copy of the application is available for viewing at the EUB's Calgary office,

EUB Information Services
Main Floor, 640-5th Avenue SW
Calgary, Alberta T2P 3G4
Telephone: (403) 297-8190

For information about EUB procedures, contact:

Applications Branch, Facilities Applications
Attn: Carla Giesbrecht
Telephone: (403) 297-4461
Fax: (403) 297-4117
Email: carla.giesbrecht@gov.ab.ca

It is not necessary to file any written submissions prior to the pre-hearing meeting. Submissions may be made verbally at the pre-hearing meeting. However, if any person wishes to file a written submission at the pre-hearing meeting, please provide a copy of the complete submission to EUB staff and one copy to Ketch.

Further, any party wishing to file a written submission prior to the pre-hearing meeting should do so prior to July 4, 2005. One copy of the submission is to be sent to Ketch and one copy to Carla Giesbrecht, Application Coordinator, at the addresses noted above.

Issued at Calgary, Alberta on June 6, 2005.

ALBERTA ENERGY AND UTILITIES BOARD

Douglas A. Larder, General Counsel