Federal and provincial governments assist natural gas expansion in municipalities of Hanover and La Broquerie

[CAWED]

_FEDERAL AND PROVINCIAL GOVERNMENTS ASSIST NATURAL GAS EXPANSION IN
MUNICIPALITIES OF HANOVER AND LA BROQUERIE_

_HANOVER, Manitoba – Residents and businesses in the rural
municipalities of Hanover and La Broquerie will receive expanded
natural gas service and savings on their energy bills with the help of
$3.2 million from the Canada-Manitoba Economic Development Partnership
Agreement and the Canada-Manitoba Infrastructure Works Program._

The funding for the $9 million project was announced today by
_Provencher MP David Iftody_, on behalf of _Ron J. Duhamel, Secretary
of State for Western Economic Diversification_, and _Steinbach MLA
Albert Driedger_, on behalf of _Finance Minister Eric Stefanson_.

"This project will meet the immediate needs of the residents and
businesses, as well as create economic spin-offs for the entire
community," said _Mr. Iftody_. "What’s more, the expansion will
provide the required infrastructure to support future long-term
economic growth and development for the area."

"Natural gas expansion provides an additional infrastructure resource
for the benefit of area residents and businesses," said _Driedger_.
"Both Hanover and La Broquerie have experienced strong economic growth
in recent years and this expansion will provide an economical source
of energy for the further expansion of the hog and poultry
industries."

_Centra Gas Manitoba_ will establish a new gas supply from the _Trans
Canada Pipeline_ at _Ste. Agathe_ and build a new four inch steel
transmission line into the central and south central regions of the
rural municipalities of _Hanover_ and _La Broquerie_. Immediate
savings are expected on energy bills for homes, farms, schools and
commercial operations.

"After two years of working with the Hanover and La Broquerie natural
gas committees, we are pleased to see that this project has received
final approvals and will now move ahead," said _Otto Lang, president
and chief executive officer of Centra Gas Manitoba Inc_. "The project
represents yet another opportunity for Centra to contribute
significantly to the economic development of Manitoba."

The new transmission line will mean the installation of more than 600
kilometres of new pipe to provide gas to potentially more than 1,500
new customers. More than 120 jobs will be created during the
construction of the pipeline, including direct on and off-site
employment. Construction is expected to take approximately 15 weeks
this coming fall and winter, and nine weeks during the spring and
summer of 1999.

The extension of natural gas services bring significant benefits to
the area by: creating a new property tax base; developing employment
opportunities through the attraction and expansion of
agricultural-based enterprises; providing residential and commercial
customers with immediate savings on home, farm, school and commercial
energy bills; and providing a low cost energy source to hog producers.

Through March 2002, the _Canada-Manitoba Economic Development
Partnership Agreement_ will direct $40 million into strategic projects
that will expand the international competitiveness of Manitoba's key
growth sectors, commercialize new technologies, assist small and
medium-sized businesses and entrepreneurs, and enhance the long-term
economic self-sustainability of rural and urban communities.

The _Canada-Manitoba Infrastructure Works Program_ is investing a
total of $245 million in the province. Since 1994, nearly 600 projects
have been announced, creating more than 4,360 jobs.

The _Infrastructure Works Program_ encourages infrastructure
development and job creation. Funds are administered by a
federal-provincial agreement committee, co-chaired by _Western
Economic Diversification_ and the _Manitoba government's Executive
Council_.