Come join us in celebrating the official launch of the Oyen Rail Yard & Logistics Park project.

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1 You are invited to attend the official opening of the Oyen Rail Yard & Logistics Park project on: October 24 th, 2017 at 2:00 pm In Oyen, Alberta Come join us in celebrating the official launch of the Oyen Rail Yard & Logistics Park project. A logistics park is being developed in Oyen, Alberta! When complete, the Oyen Rail Yard & Logistics Park will serve local industries and producers in the Special Areas and throughout the MD of Acadia. A home for industry and producers, this new project effectively interfaces the rail and highway modes of transportation through the availability of onsite trans-load facilities. The Oyen Rail Yard & Logistics Park project will be home to local businesses who want to expand their operations and to new businesses who are looking for a facility like this one. Please join us to mark this milestone event, and to be a part of this exciting economic development project for the Town of Oyen, the Special Areas and the surrounding region. Please R.S.V.P to Charmain Snell, Town of Oyen at (403) or via at c.snell@townofoyen.com

2 PRESS RELEASE For Immediate Release - October 11, 2017 Oyen Rail Yard & Logistics Park Project Steaming Ahead The Special Areas Board and the Town of Oyen are working together to bring new life and economic opportunities to the Oyen rail yard. The Oyen Rail Yard & Logistics Park Project is a 155-acre multi-phase economic development project managed by the Special Areas Board, the Town of Oyen and the Palliser Economic Partnership. Phase 1 of this project will develop the existing railyards located on the north edge of the Town of Oyen into a logistics park capable of managing up to 2500 cars annually, bringing in and shipping out a variety of materials ranging from specialty agricultural products to industrial construction project components. Estimated costs of the initial phase are $2.1 million and includes upgrades to existing rail, construction of new rail and initial site preparation. A project like the Oyen Rail Yard & Logistics Park plays to our strengths and builds on the successes of our past. It allows us to start small, while still building for future development. It is a strategic investment by the Board into the local community and the businesses who call this region home. Jordon Christianson, Chair Special Areas Board The initial phase of this project will begin this fall, with the rehabilitation of the existing tracks and the establishment of new anchored tenants in the rail yard. The next phase of the project will include the development of the larger logistics park area. We are excited about the opportunity to bring new investment and economic opportunities to our town, and to our surrounding communities. This project will create jobs, both direct and indirect, it will support future development and it will help maintain Oyen and area as an attractive place to do business. Projects like this give people the opportunity to stay in our community, raise families and have a good life. Doug Jones, Mayor Town of Oyen Initially investigated as an economic viability study by Palliser Economic Partnership, this project attracted significant interest from private sector companies. Once developed, the Oyen Rail Yard & Logistics Park will position this region as an intermediate transportation hub in Western Canada. Palliser Economic Partnership is pleased to be a partner in the Oyen Rail Yard & Logistics Park project. The logistics park will provide a platform that facilitates both short-term and long-term economic benefits for the region. Jay Slemp, President & Board Chairman Palliser Economic Partnership 1

3 Iron Horse has selected the Oyen as the site of a new frac-sand distribution centre given its ideal location to support the expanding development of energy resource plays in Alberta and Saskatchewan. We are excited to participate in the Oyen Rail Yard & Logistics Park project. As a small business, Iron Horse looks forward to developing a long-term partnership with Oyen and surrounding areas, with the ultimate goal being to support economic growth for local residents and communities. Todd Garman, Vice President Corporate Development Iron Horse Energy Services CN s rail line connects to Oyen and CN continues to work with the Special Areas Board and the Town of Oyen to bring the Oyen Rail Yard & Logistics Park Project on line and a new transload facility in the region. For more information, contact: Iron Horse Energy Services is a private, Canadian pressure pumping company specifically focused on coiled tubing fracturing. Incorporated in 2004, Iron Horse s head office is located in Medicine Hat, Alberta, with field and sales offices in Kindersley, Saskatchewan and Calgary, Alberta Jordon Christianson, Chair Special Areas Board (403) Jordon.christianson@ specialareas.ab.ca Charmain Snell, CAO Town of Oyen (403) CAO@townofoyen.com Jay Slemp, President & Board Chairman Palliser Economic Partnership (403) Jay.slemp@palliseralberta.com 2

4 Background Project Background - Oyen Rail Yard & Logistics Park o Study undertaken by Palliser Economic Partnership to determine if a rail based transportation / logistics opportunity exists in the Oyen / Special Areas / MD of Acadia. o Initial economic viability of the project is determined to be positive. o Based on potential users and annual rail car volume CN requests proponents to provide preliminary concept designs for the rail yard and logistics parks. o Special Areas and Town of Oyen have committed $2.1 million to initiate rehabilitation and redevelopment of the Oyen Rail Yard and have secured lease lands from CN. o Private sector commitments in the project will come from the establishment of new operations / facilities which are estimated at $10 million over the next three years. Benefits to Special Areas, Town of Oyen & MD of Acadia o Oyen Rail Yard (approximately 35 acres) and Logistics Park (120 acres) are economic enablers that will serve to attract industry that is rail-focused resulting in the creation of new direct and indirect jobs and local services. o Positions the region as an intermediate transportation hub in Alberta and Western Canada. o Future revenue stream(s) for Special Areas and Town of Oyen via property taxes, sale or lease of subdivided lots, and business services for tenants. o Fits with provincial strategy to create new regional transportation hubs to facilitate goods movement outside the Calgary-Edmonton Corridor. Conclusion Why Now? o CN is supportive of the site and proposed project. o The Project is economically viable and will attract new business and investment. o Prospective tenants have been identified and these businesses will create new jobs. o Project will benefit from lower construction costs given current economic conditions. Potential Tenants o Frac sand service companies Rail imports, Outbound truck shipments. o Pipeline and Tubular companies Rail imports, Outbound truck shipments. o Specialty grains and pulse crops Inbound trucks, Added Value Processing, Outbound Rail Exports. o Renewable Energy Wind Turbine and Solar Panel Staging - Rail imports, Outbound truck shipments. o Crude Oil Trans load Inbound trucks; Outbound Rail Exports. o Module Fabricators Inbound process units by Rail Outbound shipments by truck via Highways 9 and 36 (high load corridor to oil sands regions). Backgrounder Oyen Rail Yard and Logistics Park Project Page 1

5 Phase 1 Oyen Rail Yard Phase 2 Special Areas Logistics Park Backgrounder Oyen Rail Yard and Logistics Park Project Page 2

6 Palliser Economic Partnership Ltd. Palliser Economic Partnership Ltd. (PEP) was incorporated as a not-for-profit corporation whose shareholders are comprised of urban and rural municipalities and a post-secondary institution located in Southeast Alberta. PEP is a member driven organization, with board members that include elected officials and business people. The organization is funded through per capita contributions from its member shareholders and through grants from the provincial and federal government. Its goal is to improve and expand the economy of Southeast Alberta. PEP engages in key initiatives that benefit the entire region. The goals are to market the region, build capacity and cooperation within the region through learning and networking opportunities and actively encourage investment and business growth. PEP offers its member municipalities economic guidance. It undertakes studies and research upon which opportunities are identified and initiatives designed and undertaken. Most often these initiatives are outside the scope and reach of member municipalities to do on their own. PEP works in partnership with a number of economic development agencies and organizations both in and outside of the region as well as provincial and federal government departments to accomplish its objectives. MEMBER SHAREHOLDERS City of Brooks County of Forty Mile Special Area 2 Town of Bassano MD of Acadia Village of Consort Village of Empress City of Medicine Hat Cypress County Special Area 3 Town of Hanna Town of Redcliff Village of Duchess Village of Rosemary Medicine Hat College Town of Bow Island County of Newell Special Area 4 Town of Oyen Village of Cereal Village of Foremost Village of Youngstown

7 Business Investment Special Areas - Oyen Logistics Park Town of Oyen - Special Areas PEP is supporting the Town of Oyen and Special Areas to investigate the feasibility of a logistics park in or near Oyen. CN currently services Oyen, but abandoned the line west of Oyen via Hanna to Calgary. If feasible the logistics park would provide businesses in the region access to a truck rail transfer site that would allow them new avenues for growth. The intent would be to generate additional rail traffic and that the extra business from the logistics park would strengthen the business model for CN to provide additional services in the short term and improve the long-term viability in the long term. A working committee has been established to oversee the project members include: Doug Jones, Mayor of Oyen, Jordon Christianson, Chair, Special Areas, Peter Rafa, Reeve MD of Acadia, Jay Slemp, Chair of PEP and Charmain Snell, CAO Town of Oyen. PROLOG Canada were selected as the consultants for the project. The project is co-funded by the Town of Oyen, Special Areas and Palliser Economic Partnership. The project has reached out to local and regional businesses to gauge their interest in a rail-based industrial park and the response has been positive. Discussions with CN have been positive and instructive as to their specific requirements for a project of this nature. Officers of Palliser Economic Partnership and Members of Executive Committee President - Jay Slemp, Special Areas Vice-President - Doug Jones, Town of Oyen Vice-President - Jim Turner, City of Medicine Hat Secretary-Treasurer - Debbie Ross, Village of Empress Member at Large - Fred Rattai, City of Brooks Member at Large - Eric Solberg, Town of Redcliff Past President - Alan Hyland, Town of Bow Island Executive Director - Walter Valentini Phone: Toll Free: business@palliseralberta.com

8 Palliser Economic Partnership Members Map