EXHIBIT 30
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PRIMEWEST ENERGY INC.
RESERVE APPRAISAL AND
ECONOMIC ANALYSIS OF CERTAIN
WESTERN CANADIAN OIL AND GAS PROPERTIES
CORPORATE SUMMARY
EFFECTIVE JANUARY 1, 2001
1014863
Page 1
February 16, 2001
Project 1014863
Mr. Neil Roach
PRIMEWEST ENERGY INC.
1600, 530 - 8th Avenue S.W.
Calgary, Alberta
T2P 3S8
Dear Sir:
RE: PRIMEWEST ENERGY INC.
RESERVE APPRAISAL AND ECONOMIC EVALUATION
OF WESTERN CANADIAN OIL AND GAS PROPERTIES
EFFECTIVE JANUARY 1, 2001
------------------------------------------
Pursuant to your request, Gilbert Laustsen Jung Associates Ltd. has prepared an
independent evaluation of the oil and gas properties of PrimeWest Energy Inc.
(PrimeWest). The effective date of this evaluation is January 1, 2001 and was
prepared utilizing data available as of approximately September 2000.
The current evaluation is an update of the previous corporate evaluation
effective January 1, 2000. During the year 2000, PrimeWest acquired the
interests of Reserve Royalty Corporation and Venator Petroleum Company Ltd.
which have been included in this years update.
The unrisked reserves and value estimates for the evaluated interests of
PrimeWest are detailed in the "Summary" section of the enclosed report.
Summaries of unrisked reserve and present worth estimates for each
company/property as well as consolidated revenue projections are presented for
each reserve category. Also included are a series of tables comparing reserves,
present value, production forecasts, operating costs, capital investment
scheduling and undiscounted cash flow for each property. A risk factor of 50
percent was estimated for probable reserves at the corporate level.
Revenue projections were prepared on a property basis utilizing the Consultants
Average (2001-01) price forecast which is documented in the "Price and Market
Demand Forecasts" section. The Consultants Average (2001-01) price forecast is
defined as the arithmetic average of the price forecasts of GLJ (2001-01),
Sproule Associates Ltd. (2001-01) and McDaniel & Associates Consultants Ltd.
(2001-01).
Individual property cash flows will be forwarded under separate cover. A
discussion of the general procedures and terms of reference utilized in the
preparation of the estimates is presented in the "Evaluation Procedure" section
of the enclosed report.
Constant pricing sensitivities have also been prepared as presented in the
"Constant Pricing" section.
Page 2
This report has been prepared for the exclusive use of PrimeWest Energy Inc. No
part of this report should be reproduced, distributed or made available to any
other person, company, regulatory body or organization without the complete
contents of the report.
It is trusted that this evaluation meets your current requirements. Should you
have any questions regarding this analysis, please contact the undersigned.
Yours very truly,
GILBERT LAUSTSEN JUNG
ASSOCIATES LTD.
"ORIGINALLY SIGNED BY"
Myron J. Hladyshevsky, P. Eng.
Vice-President
MJH/memd
Attachments
TABLE OF CONTENTS
i) TRANSMITTAL LETTER
ii) INDEPENDENT PETROLEUM CONSULTANTS' CONSENT
INTRODUCTION
SUMMARY
RESERVE DEFINITIONS
EVALUATION PROCEDURE
CONSULTANTS AVERAGE PRICE FORECASTS
CONSTANT PRICING
CERTIFICATES OF QUALIFICATION
INDEPENDENT PETROLEUM CONSULTANTS' CONSENT
The undersigned firm of Independent Petroleum Consultants of Calgary, Alberta,
Canada has prepared an independent reserve determination and economic analysis
of the interests of PRIMEWEST ENERGY INC. in certain Western Canadian oil and
gas properties and hereby gives consent to the use of its name and to the said
estimates. The effective date of the evaluation is JANUARY 1, 2001.
In the course of the evaluation, PrimeWest Energy Inc. provided Gilbert Laustsen
Jung Associates Ltd. personnel with basic information which included land data,
well information, geological information, reservoir studies, estimates of
on-stream dates, contract information, current hydrocarbon product prices,
operating cost data, capital budget forecasts, financial data and future
operating plans. Other engineering, geological or economic data required to
conduct the evaluation and upon which this report is based, was obtained from
public records, other operators, and from Gilbert Laustsen Jung Associates Ltd.
nonconfidential files. The extent and character of ownership and accuracy of all
factual data supplied for the independent evaluation, from all sources, has been
accepted as represented. Gilbert Laustsen Jung Associates Ltd. reserves the
right to review all calculations referred to or included in this report and to
revise the estimates in light of erroneous data supplied or information existing
but not made available which becomes known subsequent to the preparation of this
report.
The accuracy of any reserve and production estimate is a function of the quality
and quantity of available data and of engineering interpretation and judgement.
While reserve and production estimates presented herein are considered
reasonable, the estimates should be accepted with the understanding that
reservoir performance subsequent to the date of the estimate may justify
revision, either upward or downward.
Revenue projections presented in this report are based in part on forecasts of
market prices, currency exchange rates, inflation, market demand and government
policy which are subject to many uncertainties and may, in future, differ
materially from the forecasts utilized herein. Present values of revenues
documented in this report do not necessarily represent the fair market value of
the reserves evaluated herein.
- --------------------------------------------------
PERMIT TO PRACTICE
GILBERT LAUSTSEN JUNG ASSOCIATES LTD.
Signature ORIGINALLY SIGNED BY WAYNE W. CHOW
----------------------------------
Date FEBRUARY 16, 2001
----------------------------------
PERMIT NUMBER: P 2066
The Association of Professional Engineers,
Geologists and Geophysicists of Alberta
- --------------------------------------------------
ORIGINALLY SIGNED BY
HARRY JUNG
-------------------------------------
Gilbert Laustsen Jung Associates Ltd.
INTRODUCTION
Gilbert Laustsen Jung Associates Ltd. (GLJ) was commissioned by PrimeWest Energy
Inc. (PrimeWest) to prepare an independent reserve and economic evaluation of
PrimeWest's interests in certain Western Canadian oil and gas properties. The
current evaluation is an update of the previous corporate evaluation effective
January 1, 2000.
During the year 2000, PrimeWest acquired the interests of Reserve Royalty
Corporation (Reserve Royalty) and Venator Petroleum Company Ltd. (Venator).
These assets have been included in this years corporate reserve evaluation
update effective January 1, 2001.
The evaluated interests were grouped into thirty-six evaluated properties (26
PrimeWest Original, 7 Reserve Royalty, 3 Venator) and three "Other" properties.
The thirty-six properties were evaluated in detail with varying degrees of
supporting documentation. The level of documentation included was commensurate
with the individual property value in the overall corporate portfolio. The
evaluated properties account for over 91 percent of the established reserves and
88 percent of the established value in the total PrimeWest portfolio.
The three "Other" properties were not evaluated in detail and comprise the
remaining interests of PrimeWest, Reserve Royalty and Venator. The PrimeWest
"Other" properties were previously evaluated by GLJ effective January 1, 2000.
These interests have been mechanically looked ahead to a January 1, 2001
effective date and rerun using Consultants Average (2001-01) pricing. The
Venator "Other" properties were previously evaluated by McDaniel & Associates
Ltd. effective January 1, 2000. These properties were audited and rerun with a
January 1, 2001 effective date using Consultants Average (2001-01) pricing. The
Reserve Royalty "Other" properties consist in excess of ninety separate entities
which have been previously evaluated by several different consulting firms
effective January 1, 2000. These reserves and production forecasts were
consolidated by GLJ into a single economic forecast (by reserve category)
effective January 1, 2000 and were subsequently mechanically looked ahead to a
January 1, 2001 effective date and rerun with Consultants Average (2001-01)
pricing. The non-evaluated "Other" properties account of 9 percent of the
established reserves and 12 percent of the established value in the total
PrimeWest corporate portfolio.
PrimeWest provided land and accounting data for the PrimeWest Original
properties upon which this evaluation is based. For the Reserve Royalty and
Venator properties, the interests and burdens
incorporated were primarily based on those presented and utilized in the
previous consultants' reports dated January 1, 2000. Minimal operating cost and
revenue data was available for these companies, consequently, the assumptions
utilized in the previous consultants' reports were generally carried forward
unless directed otherwise by PrimeWest or other operating and revenue
information was available from GLJ nonconfidential files.
Property evaluations were conducted to an effective date of January 1, 2001.
Data available to December 2000 has been incorporated with the exception of
production data which was available to approximately September 2000.
Revenue projections herein utilize the Consultants Average (2001-01) price
forecast defined as the arithmetic average of the price forecasts of GLJ
(2001-01), Sproule Associates Limited (2001-01) and McDaniel & Associates
(2001-01). Constant price revenue projections have also been prepared based on
the Consultants Average (2001-01) pricing.
Reserve and present value estimates as well as production/revenue projections
for various reserve categories for individual properties and both company and
total consolidations of properties are provided in the tabbed sections of this
report. Additionally, discussion is provided with respect to reserve
definitions, evaluation procedures and price and market demand forecasts.
This evaluation incorporates well and facility abandonment costs, process
income, overhead recovery in operated properties and the ARTC associated with a
few minor eligible interests. Undeveloped land values are not included in the
cash flow projections.
PROVED RESERVE FORECASTS
LIST OF TABLES
Summary of Reserves and Values
Summary of Company Interest Annual Oil Sales
Summary of Company Interest Annual Gas Sales
Summary of Company Interest Annual NGL Sales
Summary of Company Interest Annual Sulphur Sales
Summary of Company Interest Annual BOE Sales
Summary of Company Annual Undiscounted Cash Flow
Summary of Company Annual Operating Costs
Summary of Company Annual Operating Cost per BOE
Summary of Company Annual Capital Expenditures
Summary of Company Annual Other Income
Summary of Company Annual Abandonment Costs
Summary of Reserve and Value Indicators
Each table has been organized to present values for the producing, nonproducing
and total (producing plus nonproducing) reserve category by property.
PROBABLE RESERVE FORECASTS
LIST OF TABLES
Summary of Reserves and Values
Summary of Company Interest Annual Oil Sales
Summary of Company Interest Annual Gas Sales
Summary of Company Interest Annual NGL Sales
Summary of Company Interest Annual Sulphur Sales
Summary of Company Interest Annual BOE Sales
Summary of Company Annual Undiscounted Cash Flow
Summary of Company Annual Operating Costs
Summary of Company Annual Operating Cost per BOE
Summary of Company Annual Capital Expenditures
Summary of Company Annual Other Income
Summary of Company Annual Abandonment Costs
Summary of Reserve and Value Indicators
Each table has been organized to present values for the producing, nonproducing
and total (producing plus nonproducing) reserve category by property.
PROVED PLUS PROBABLE RESERVE FORECASTS
LIST OF TABLES
Summary of Reserves and Values
Summary of Company Interest Annual Oil Sales
Summary of Company Interest Annual Gas Sales
Summary of Company Interest Annual NGL Sales
Summary of Company Interest Annual Sulphur Sales
Summary of Company Interest Annual BOE Sales
Summary of Company Annual Undiscounted Cash Flow
Summary of Company Annual Operating Costs
Summary of Company Annual Operating Cost per BOE
Summary of Company Annual Capital Expenditures
Summary of Company Annual Other Income
Summary of Company Annual Abandonment Costs
Summary of Reserve and Value Indicators
Each table has been organized to present values for the producing, nonproducing
and total (producing plus nonproducing) reserve category by property.
ESTABLISHED RESERVE FORECASTS
LIST OF TABLES
Summary of Reserves and Values
Summary of Company Interest Annual Oil Sales
Summary of Company Interest Annual Gas Sales
Summary of Company Interest Annual NGL Sales
Summary of Company Interest Annual Sulphur Sales
Summary of Company Interest Annual BOE Sales
Summary of Company Annual Undiscounted Cash Flow
Summary of Company Annual Operating Costs
Summary of Company Annual Operating Cost per BOE
Summary of Company Annual Capital Expenditures
Summary of Company Annual Other Income
Summary of Company Annual Abandonment Costs
Summary of Reserve and Value Indicators
EVALUATION PROCEDURE
TABLE OF CONTENTS
INTEREST DESCRIPTIONS
WELL DATA
ACCOUNTING DATA
PRODUCTION FORECASTS
ECONOMIC PARAMETERS
RESERVE CATEGORIES
EVALUATION PROCEDURE
The following outlines the methodology employed by GLJ in conducting the
evaluation of PrimeWest's interests in the subject properties.
INTEREST DESCRIPTIONS
PrimeWest provided GLJ with basic interest and burden descriptions for the
PrimeWest Original properties included in the evaluation. Descriptions of these
leases are contained in the individual property reports. These interests were
accepted as represented.
Interests and burdens for the Reserve Royalty and Venator properties were
obtained from the previous consultants' reports effective January 1, 2000.
WELL DATA
Pertinent well data such as drill stem tests, workovers, pressure surveys,
production tests, etc., were obtained from public records, GLJ's nonconfidential
files, or from PrimeWest if the data was not in the public domain.
ACCOUNTING DATA
Accounting data was supplied by PrimeWest for all PrimeWest Original properties
as well as budget forecasts for operated properties and Units. GLJ used this
data to derive operating cost forecasts. Accounting data on a property by
property basis was available for the full year 1999 and for the eight month
period ending August 31, 2000. Accounting data for the total corporate roll-up
was available for 1999 and for the full year 2000.
Accounting data for the Reserve Royalty and Venator properties was available for
only partial year 2000 and was utilized where considered reliable. In certain
cases, operating costs and price adjustments were incorporated from the previous
consultants report or from GLJ nonconfidential client files.
PRODUCTION FORECASTS
In establishing production forecasts, consideration was given to existing gas
contracts, any known plans for development drilling and to reserves and well
capability. Development drilling was considered in properties with long reserve
lives and scheduled in the future if economically viable. Currently shut-in gas
reserves were scheduled to come on-stream over the next four years.
ECONOMIC PARAMETERS
Pertinent economic parameters are listed as follows:
a) The effective date of cash flows is January 1, 2001.
b) Operating and capital costs were estimated in 2001 dollars and then
escalated at 1.67 percent per annum for 14 years and 1 percent
thereafter.
c) Economic forecasts were prepared for each property on a before income
tax basis. Detailed discounting of future cash flow was performed using
a mid-year discount factor of 12.0 percent with all values discounted
annually to January 1, 2001 on a calendar year basis.
d) Alberta gas cost allowance and Jumping Pound allowances on remaining
undepreciated capital bases were included in the economic evaluation.
Cash flows were prepared using a 20 percent corporate effective rate
for gas cost allowance calculations. Mineral taxes on freehold
interests were also included.
e) Royalty credits under the Alberta Royalty Tax Credit (ARTC) plan have
been included in this analysis for all eligible properties and
qualifying wells.
f) Individual property analyses and total consolidations were prepared
using Consultants Average (2001-01) price forecasts.
g) Field level overhead charges have been included. Gross overhead
recovery in PrimeWest operated properties has also been included.
h) PrimeWest's office G&A costs have not been included.
i) At PrimeWest's request, the following BOE conversion factors were
utilized:
Oil 1 STB/BOE
Condensate 1 STB/BOE
NGLs 1 STB/BOE
Sulphur Nil
Gas 10 MCF/BOE
j) Well and facility abandonment costs net of salvage values, surface
reclamation costs and pit/spill liabilities have been included as
provided by PrimeWest. Currently shut-in/suspended wells were forecast
to be abandoned in equal increments over the next five years. Existing
producing wells were forecast to be abandoned at the end of their
economic life. Remaining facility abandonment costs were scheduled at
the end of the property life.
RESERVES CATEGORIES
Estimates of reserves and revenues were prepared on an individual property basis
in accordance with the National Policy 2-B definitions as presented in the
Reserve Definitions section of the report for the following reserve categories:
Proved Producing
Total Proved
Proved Producing Plus Probable Producing
Total Proved Plus Probable
Established (Total Proved Plus 50 Percent Probable)
Other reserve categories are presented within this summary report for analysis
convenience and are determined by difference.
CONSULTANT AVERAGE (2001-01) PRICE FORECASTS
Natural Gas Liquids
Light Crude Oil at Edmonton
------------------------------- ------------------------------------------
WTI Edmonton
Exchange Cushing Par Price Pentanes
Rate Inflation Oklahoma* 40(Degree) API Propane Butane Plus Sulphur
Year $US/$Cdn % $US/bbl $/bbl $/bbl $/bbl $/bbl $/lt
- ------------ ------------- ------------ --------------- --------------- ------------- ------------- ------------- ----------
2001 0.6587 1.67 26.73 39.67 29.22 30.12 41.87 12.50
2002 0.6667 1.67 23.80 34.63 24.26 24.88 35.81 14.82
2003 0.6800 1.67 21.51 30.56 20.37 20.76 31.26 18.10
2004 0.6900 1.67 21.58 30.20 19.40 19.69 30.54 22.02
2005 0.7000 1.67 21.90 30.24 18.96 18.97 30.49 25.95
2006 0.7067 1.67 22.34 30.47 19.10 19.10 30.72 26.81
2007 0.7133 1.67 22.71 30.67 19.27 19.24 30.92 27.54
2008 0.7167 1.67 23.07 31.06 19.52 19.47 31.32 28.47
2009 0.7200 1.67 23.43 31.47 19.82 19.80 31.72 29.94
2010 0.7200 1.67 23.88 31.99 20.24 20.16 32.25 31.14
2011 0.7200 1.67 24.25 32.55 20.59 20.59 32.82 32.54
2012 0.7200 1.67 24.62 33.09 20.89 20.87 33.35 33.67
2013 0.7200 1.67 24.99 33.65 21.20 21.22 33.92 34.84
2014 0.7200 1.67 25.36 34.22 21.55 21.54 34.49 36.08
2015 0.7200 1.67 25.73 34.75 21.89 21.86 35.03 37.36
Thereafter 0.7200 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00%
*40 degrees API, 0.4% sulphur
CONSULTANT AVERAGE (2001-01) PRICE FORECASTS (continued) ... page 2
Alberta Government
Alberta Spot Reference Price Alberta Spot BC Spot
Henry Hub @ AECO-C Plant-gate Plant-gate Plant-gate
Year $US/MMBTU $Canadian/MMBTU $Canadian/MMBTU $Canadian/MMBTU $Canadian/MMBTU
- --------------- ----------------- ------------------------ ---------------------- ----------------------- ----------------------
2001 5.35 7.55 7.04 7.38 7.42
2002 4.13 5.62 5.11 5.44 5.42
2003 3.57 4.68 4.32 4.50 4.46
2004 3.38 4.32 3.99 4.14 4.11
2005 3.37 4.18 3.96 4.00 4.03
2006 3.41 4.18 3.96 3.99 4.02
2007 3.47 4.19 4.00 4.00 4.03
2008 3.53 4.24 4.06 4.06 4.09
2009 3.59 4.29 4.09 4.09 4.12
2010 3.65 4.38 4.19 4.19 4.22
2011 3.71 4.45 4.26 4.26 4.29
2012 3.77 4.52 4.34 4.34 4.37
2013 3.82 4.59 4.39 4.39 4.42
2014 3.89 4.66 4.46 4.46 4.49
2015 3.95 4.73 4.53 4.53 4.57
Thereafter 1.00% 1.00% 1.00% 100% 1.00%
RESERVE DEFINITIONS
PROVED/PROBABLE/ESTABLISHED/POSSIBLE
Reserves are evaluated by Gilbert Laustsen Jung in accordance with the following
definitions, which meet guidelines set out by Canadian Securities regulatory
authorities (National Policy 2-B):
PROVED RESERVES: Those reserves estimated as recoverable with a high degree of
certainty under current technology and existing economic conditions in the case
of constant price and cost analyses and anticipated economic conditions in the
case of escalated price and cost analyses, from that portion of a reservoir
which can be reasonably evaluated as economically productive on the basis of
analysis of drilling, geological, geophysical and engineering data, including
the reserve to be obtained by enhanced recovery processes demonstrated to be
economic and technically successful in the subject reservoir.
PROBABLE RESERVES: Those reserves which analysis of drilling, geological,
geophysical and engineering data does not demonstrate to be proved, but where
such analysis suggests the likelihood of their existence and future recovery
under current technology and existing or anticipated economic conditions.
Probable additional reserves to be obtained by the application of enhanced
recovery processes will be the increased recovery over and above that estimated
in the proved category which can be realistically estimated for the pool on the
basis of enhanced recovery processes which can be reasonably expected to be
instituted in the future.
ESTABLISHED RESERVES: Proved reserves plus 50 percent probable reserves.
POSSIBLE RESERVES: Those reserves which cannot be classified as either proved or
probable at the present time because of relatively high uncertainty but which
could reasonably be expected to be recovered with additional successful drilling
and/or optimum production performance.
PRODUCING/NONPRODUCING
Gilbert Laustsen Jung has further subdivided both the proved and probable
reserves into producing or nonproducing, in accordance with the following
criterion:
PRODUCING RESERVES: Those reserves that are actually on production and could be
recovered from existing wells and facilities or, if facilities have not been
installed, that would involve a small investment relative to cash flow. In
multi-well pools involving a competitive situation, reserves may be subdivided
into producing and nonproducing reserves in order to reflect allocation of
reserves to specific wells and their respective development status.
NONPRODUCING RESERVES: Those reserves that are not classified as producing.
EVALUATED RESERVE CATEGORIES
Production/revenue projections are prepared on an unrisked basis for each of the
following main reserve categories:
Proved Producing
Total Proved
Proved Producing Plus Probable Producing
Total Proved Plus Probable
where "Total Proved" and "Total Proved Plus Probable" represent the sum of the
producing and nonproducing reserves. Gilbert Laustsen Jung evaluates the
possible reserve component only when specifically requested to do so.
When evaluating reserves, generally Gilbert Laustsen Jung evaluators first
identify what the producing situation is and assign proved and proved plus
probable reserves in recognition of the existing level of development and the
existing depletion strategy. Incremental nonproducing reserves are subsequently
assigned recognizing future development opportunities and enhancements to the
depletion mechanism. It should be recognized that future developments may result
in accelerated recovery of producing reserves.
CERTIFICATES OF QUALIFICATION
Dana B. Laustsen
Neil I. Dell
Myron J. Hladyshevsky
Terry L. Aarsby
P. Byron Bahnsen
Dave K. Bassi
Ken B. Gregory
Bruce E. Madu
Oryst N. Myroniuk
Robert A. Nixon
A. Joan M. Simmins
Jeanette Van Roosmalen
Leonard L. Herchen
Fred J. Heroux
J. Allan Bertram
M. Scott Lovett
Grant R. Schoenberger
Tom D. Holmwood
Clinton F. Blyth
David B. Finn
Asim Naqvi
CERTIFICATION OF QUALIFICATION
I, Neil I. Dell, Professional Engineer, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Saskatchewan and that I graduated with
a Bachelor of Science Degree in Civil Engineering in 1971; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of twenty-nine years experience in engineering studies
relating to Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
---------------------
Neil I. Dell, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Dana B. Laustsen, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Calgary and that I graduated with a
Bachelor of Science Degree in Mechanical Engineering in 1977; that I am
a Registered Professional Engineer in the Province of Alberta; and, that
I have in excess of twenty-three years experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
------------------------
Dana B. Laustsen, P.Eng.
CERTIFICATION OF QUALIFICATION
I, Terry L. Aarsby, Professional Engineer, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated with a
Bachelor of Science Degree in Petroleum Engineering in 1983; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of seventeen years experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
------------------------
Terry L. Aarsby, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Myron J. Hladyshevsky, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Calgary and graduated with a Bachelor
of Science Degree in Chemical Engineering in 1979; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of twenty-one years experience in engineering evaluations
of Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
------------------------------
Myron J. Hladyshevsky, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Bruce E. Madu, Professional Engineer, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated with a
Bachelor of Science Degree in Petroleum Engineering in 1984; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of sixteen years experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
----------------------
Bruce E. Madu, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Oryst N. Myroniuk, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated with a
Bachelor of Science Degree in Petroleum Engineering in 1982; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of eighteen years experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
--------------------------
Oryst N. Myroniuk, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Robert A. Nixon, Professional Geologist, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and graduated with a Bachelor
of Science Degree in Geology in 1973; that I am a Registered
Professional Geologist in the Province of Alberta; and, that I have in
excess of twenty-seven years experience in geological studies and
evaluations of Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-------------------------
Robert A. Nixon, P. Geol.
CERTIFICATION OF QUALIFICATION
I, Jeanette Van Roosmalen, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated with a
Bachelor of Science Degree in Petroleum Engineering in 1983; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of seventeen years experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-------------------------------
Jeanette Van Roosmalen, P. Eng.
CERTIFICATION OF QUALIFICATION
I, P. Byron Bahnsen, Professional Geologist, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated in 1986
with a Bachelor of Science Degree in Geology; that I am a Registered
Professional Geologist in the Province of Alberta; and, that I have in
excess of fourteen years experience in geological studies relating to
Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
--------------------------
P. Byron Bahnsen, P. Geol.
CERTIFICATION OF QUALIFICATION
I, Leonard L. Herchen, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended Queen's University and that I graduated with a Bachelor
of Science Degree in Engineering Physics in 1989; that I am a Registered
Professional Engineer in the Province of Alberta; and, that I have in
excess of eleven years experience in engineering studies relating to
Western Canadian and international oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
---------------------------
Leonard L. Herchen, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Fred J. Heroux, Professional Engineer, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated with a
Bachelor of Science Degree in Mechanical Engineering in 1987; that I am
a Registered Professional Engineer in the Province of Alberta; and, that
I have in excess of thirteen years experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-----------------------
Fred J. Heroux, P. Eng.
CERTIFICATION OF QUALIFICATION
I, M. Scott Lovett, Professional Engineer, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Calgary where I graduated with a
Masters of Science in Chemical Engineering in 1996; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of five years experience in engineering studies relating
to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-------------------------------
M. Scott Lovett, M.Sc., P. Eng.
CERTIFICATION OF QUALIFICATION
I, J. Allan Bertram, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended Lakehead University, Thunder Bay, Ontario where I
graduated with a Degree in Electrical Engineering in 1992; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of eight years experience in engineering studies relating
to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-------------------------
J. Allan Bertram, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Tom D. Holmwood, Engineer In Training, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Calgary where I graduated with a
Bachelor of Science in Chemical Engineering in 1998, that I am an
Engineer In Training; and, that I have in excess of two year experience
in engineering studies relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-----------------------
Tom D. Holmwood, E.I.T.
CERTIFICATION OF QUALIFICATION
I, Grant R. Schoenberger, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta where I graduated with a
Bachelor of Science Degree in Petroleum Engineering in 1997; that I am a
Registered Professional Engineer in the Province of Alberta; and, that I
have in excess of four years experience in engineering studies relating
to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
------------------------------
Grant R. Schoenberger, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Clinton F. Blyth, Professional Geologist, C.F. Blyth Consulting Service Ltd.,
Strathmore, Alberta, Canada hereby certify:
1. That I have been retained by Gilbert Laustsen Jung Associates Ltd.,
which company did prepare an independent reserve determination and
economic analysis of the interests of PrimeWest Energy Inc. in certain
Western Canadian oil and gas properties. The effective date of this
evaluation January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Calgary and that I graduated with a
Bachelor of Science Degree in Geology in 1983; that I am a Registered
Professional Geologist in the Province of Alberta; and, that I have in
excess of seventeen years experience in geological studies relating to
Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
--------------------------
Clinton F. Blyth, P. Geol.
CERTIFICATION OF QUALIFICATION
I, D.K. (Dave) Bassi, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and that I graduated with a
Degree in Chemical Engineering in 1986; that I am a Registered
Professional Engineer in the Province of Alberta; and that I have in
excess of fourteen years experience in engineering studies relating to
Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
--------------------------
D.K. (Dave) Bassi, P. Eng.
CERTIFICATION OF QUALIFICATION
I, David B. Finn, Petroleum Technologist, D.B. Finn Petroleum Consultants Ltd.,
717, 738 - 3rd Avenue S.W., Calgary, Alberta, Canada hereby certify:
1. That I have been retained by Gilbert Laustsen Jung Associates Ltd.,
which company did prepare an independent reserve determination and
economic analysis of the interests of PrimeWest Energy Inc. in certain
Western Canadian oil and gas properties. The effective date of this
evaluation January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the British Columbia Institute of Technology and that I
graduated with a Diploma of Engineering Technology in Natural Gas and
Petroleum Technology in 1969; that I am a Registered Applied Science
Technologist in the Province of British Columbia; and, that I have in
excess of thirty-one years experience in engineering studies relating to
Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-----------------------
David B. Finn, A. Sc.T.
CERTIFICATION OF QUALIFICATION
I, Ken B. Gregory, Professional Engineer, 4100, 400 - 3rd Avenue S.W., Calgary,
Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of British Columbia and that I graduated
with a Bachelor of Applied Science Degree in Mechanical Engineering in
1978; that I am a Registered Professional Engineer in the Province of
Alberta; and, that I have in excess of eighteen years of experience in
engineering studies relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
-----------------------
Ken B. Gregory, P. Eng.
CERTIFICATION OF QUALIFICATION
I, Asim Naqvi, Engineer In Training, #13, 1027, 12 Ave. SW., Calgary, Alberta,
Canada T2R 0J5, hereby certify:
1. That I have been retained by Gilbert Laustsen Jung Associates Ltd.,
which company did prepare an independent reserve determination and
economic analysis of the interests of PrimeWest Energy Inc. in certain
Western Canadian oil and gas properties. The effective date of this
evaluation January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the NTNU, Trondheim, Norway where I completed my M.Sc.
(Petroleum Engineering ) in 1997. Prior to this I had a Bachelor of
Science in Professional Geology, and an M.Sc. (Petroleum Geology). That
I am an Engineer In Training; and, that I have in excess of three years
experience in engineering studies relating to Western Canadian oil and
gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
--------------------
Asim Naqvi, M.Sc.
CERTIFICATION OF QUALIFICATION
I, A. Joan M. Simmins, Professional Engineer, 4100, 400 - 3rd Avenue S.W.,
Calgary, Alberta, Canada hereby certify:
1. That I am an employee of Gilbert Laustsen Jung Associates Ltd., which
company did prepare an independent reserve determination and economic
analysis of the interests of PrimeWest Energy Inc. in certain Western
Canadian oil and gas properties. The effective date of this evaluation
January 1, 2001.
2. That I do not have, nor do I expect to receive any direct or indirect
interest in the securities of PrimeWest Energy Inc. or its affiliated
companies.
3. That I attended the University of Alberta and graduated with a Bachelor
of Engineering Degree in Mineral Engineering (Petroleum) 1980; that I am
a Registered Professional Engineer in the Province of Alberta; and, that
I have in excess of nineteen years of experience in engineering studies
relating to Western Canadian oil and gas fields.
4. That a personal field inspection of the properties was not made;
however, such an inspection was not considered necessary in view of the
information available from the files of PrimeWest Energy Inc. and the
appropriate provincial regulatory authorities.
ORIGINALLY SIGNED BY
---------------------------
A. Joan M. Simmins, P. Eng.