WHITESHELL PROGRAM AIDS COMPANIES JOBS CREATED, MARKETS EXPANDED WITH FEDERAL/PROVINCIAL ASSISTANCE

[CAWED]

_WHITESHELL PROGRAM AIDS COMPANIES JOBS CREATED, MARKETS EXPANDED WITH
FEDERAL/PROVINCIAL ASSISTANCE__ _

_

__PINAWA, Manitoba -- Manitoba Industry, Trade and Tourism Minister
James Downey and Ron J. Duhamel, Secretary of State for Western
Economic Diversification Canada, announced today that two Whiteshell
area companies have been established and are creating as many as 18
full-time jobs with loan assistance from the Whiteshell Economic
Development Assistance (WEDA) initiative. _

_Acsion Industries Inc._ and _Granite Internet Services Inc._ will
receive more than _$274,000_ in repayable loans through the _WEDA_,
which is a program equally funded by the provincial and federal
governments.

"We are particularly pleased to support these two young companies
because they are both owned and managed by former _AECL_ employees,"
said Downey. "These are the first two companies to receive _WEDA_
support and these are the sort of initiatives we've been aiming for
because they're creating jobs and expanding the economic base in the
area."

"The expansion of these two companies is an example of the success of
the _WEDA_ initiative supporting a more diversified economy, creating
new and different jobs over the long-term," said _Dr. Duhamel_.
"Providing an environment and opportunity for economic growth and
employment in the region continues to be the priority of the
_Government of Canada_."

_Acsion Industries Inc._ has purchased the assets and intellectual
property of AECL's electron beam processing technology. The company is
expected to create 14 full-time jobs over the next three years. The
company has recently opened up international markets for its
technology which is used in aerospace industry parts repair, rayon
fibre production and converting hog waste into fertilizer.

Acsion has exceeded its financial target of $1.2 million in contracts
for 1999 and has customers in _North America_ and _Europe_. To assist
with the expansion the _WEDA _has provided _$200,000_ in repayable
loans.

_Acsion President and Chief Executive Officer Chris Saunders_ said the
company, which employs former _AECL_ staff, chose to locate in
_Manitoba_ "because of the great business potential in the _Whiteshell_
area and the availability of a highly-skilled workforce."

_Granite Internet Services Inc._ is providing high-level Internet
services to eastern _Manitoba_ and is creating four full-time jobs
over three years. The company provides dial-up Internet access,
business services and design services for local area networks and Web
sites.

The company is located in _Pinawa_, with additional sites in _Lac du
Bonnet_ and _Whitemouth_. To assist Granite with expanding its
services, the _WEDA_ has provided _$74,250_ in repayable loans.

"Eastern Manitoba lacked an Internet provider," said _Granite
President Donna Warenko_, "and we have the expertise." Warenko and
Granite co-owner _David Hnatiw_ said they created their company
because they believe the market potential for quality Internet
services in the _Whiteshell_ is excellent.

The _WEDA_ initiative was created in June 1997 following AECL's
decision to commercialize its laboratories. The federal and provincial
governments will provide up to $20 million in repayable loans over
five years to establish new companies, commercialize technologies and
create new jobs in the region.