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MINING VENTURE TO BOOST FIRST NATION ECONOMIC DEVELOPMENT

SASKATOON, SASKATCHEWAN (September 16, 2004) - The Honourable Andy Scott, Minister of Indian and Northern Affairs Canada (INAC), today announced a $2.267-million contribution that will enable the Ochapowace First Nation to invest in the mining industry.

The project funding was approved under INAC's Major Business Project Program and Regional Partnership Fund. It will enable Ochapowace to become involved in an $8-million mining venture in northern Saskatchewan.

"Canada has made a commitment to work with First Nations to increase economic development opportunities and today we're making good on that promise," Minister Scott said. "Economic partnerships, such as this, improve the quality of life for First Nations people, while bringing First Nations closer to self-sufficiency."

Winn Bay Sand Limited Partnership, a mining company owned by the Ochapowace First Nation, has entered an option agreement to purchase five silica sand leases at Hanson Lake, Saskatchewan, renewable every five years.

The leases contain a large sand deposit (98.6% pure quartz), that consists of some of the most unique silica sand found in North America. It is the only deposit of its kind in Saskatchewan.

"We are proud to have such a unique opportunity to build our economy," said Chief Denton George. "This initiative will create wealth, reduce social dependency and result in many spin-off businesses in our community."

Winn Bay intends to acquire all five leases - encompassing 3,082 acres - by December 2004. The mining company will extract, process, transport, distribute and market silica sand products to the oil and gas industry.

The Government of Saskatchewan has already granted all of the necessary licenses to operate the mining business.

This initiative will eventually create 58 full-time jobs, with preference given to Ochapawace First Nation and Peter Ballantyne Cree Nation members. Training in this industry will also provide First Nation people with transferrable skills.

For further information contact:

Trevor Sutter
Manager of Communications
Indian and Northern Affairs Canada
Saskatchewan Region
(306) 780-6429

Chief Denton George
Ochapawace First Nation
Whitewood, SK
(306) 696-2425/2637

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