The following statement was made at 5:00 p.m. Eastern Standard Time on February 4, 1975 by J. A. ARMSTRONG, CHAIRMAN and CHIEF EXECUTIVE OFFICER of IMPERIAL OIL LIMITED: Agreement in principle has been reached on the method of financing the estimated $2 billion cost of the Syncrude project. The proposed agreement includes a statement of intent for the investment of a total of 30 per cent by three governments, in shares of 15 per cent by the government of Canada, ten per cent by the province of Alberta, and 5 per cent by the province of Ontario, The remaining participants, Gulf Canada Ltd., Canada-Cities Service Ltd, and Imperial Oil Limited, have agreed in principle to invest a total of 70 per cent of the total financial requirement of $2 billion.
The consultants engaged by the province of Alberta have reported that this cost estimate "was found to be within acceptable limits." It is expected that activity at Mildred Lake will be stepped up to complete the project on schedule. The agreement in principle represents a major step in Canada's future energy picture and the national goal of energy self-sufficiency.