PROVINCE APPROVES WESTCAN DEAL

The province has approved the acquisition of four southwest Saskatchewan

Canadian Pacific Railway branch lines by Westcan Rail Ltd.



"We are pleased that Westcan is interested in operating a short line to serve

producers in the southwest," Highways and Transportation Minister Maynard

Sonntag said. "We consulted with area producers, local residents and

governments, and are in favor of their desire to have a short line railway. The

success of this operation will depend on support from area producers."



Public consultations, co-hosted by the South West Transportation Planning

Council and Saskatchewan Highways and Transportation, were held in Shaunavon,

Consul, Frontier, Lafleche and Vanguard in August.



The Notukeu, Shaunavon, Altawan and Vanguard subdivisions are in an area

bounded by the Trans-Canada Highway, the U.S. border, the Alberta border and

Highway No. 2. The subdivisions will now operate from a Westcan base of

operation in Shaunavon, under the name of Great Western Rail. They are expected

to be in operation by month-end.



The Minister has approved the acquisition, as required by Saskatchewan's

Railway Act . Similarly, the Highway Traffic Board has issued an Operating

Authority Certificate based on a review of the company's ability to run a short

line railroad.



The province recognizes the importance of rail service to rural communities and

sees the added benefit of short lines helping reduce stress on our rural

highways caused by grain transportation.



- 30 -

For more information, call:



Bernie Churko

Saskatchewan Highways and Transportation

Regina

Phone: (306) 787-4866

cell: (306) 536-1944