News

FOR IMMEDIATE RELEASE

September 11, 2006


Victoria, B.C. – Columbia Fuels Inc., an Island Company, announced it is now offering BioHeat, an environmentally friendly blend of their ultra low sulphur heating oil with 20% biofuel, to Vancouver Island and Sunshine Coast customers. Columbia Fuels launched the new plant-based line of heating fuel today in Oak Bay with its first residential BioHeat fill up.

Attending the launch were Jim Smith, CEO of Columbia Fuels, Barry Penner, Minister of Environment and Richard Neufeld, Minister of Energy, Mines and Petroleum Resources.

BioHeat has been used extensively in the US and Europe, and Columbia Fuels will be the first company in Canada to offer BioHeat. “All indications show that our customers want BioHeat and we want to respond to our customers’ voice,” said Jim Smith, CEO of Columbia Fuels. “Although biofuels tend to cost more, we are committed to ensuring BioHeat will be the same price as our other quality heating oil products. We want to demonstrate that Columbia Fuels is committed to innovation, our customers and the environment,” added Smith.

“As a government, we are doing what we can to promote the use of alternative energy sources such as biofuel,” said Minister Penner. “We provided $75,000 to increase its market potential and assist with the development of biofuel production facilities. Columbia Fuels offering of Bioheat to their customers is a great example of shared stewardship and shared solutions to improve air quality in Vancouver Island communities.”

“We have a goal to lead the way in sustainable environment management, including energy use, production and innovations like BioHeat which will help us achieve that goal,” said Minister Neufeld. “At the same time, these innovations maximize economic development opportunities and protect our health and environment.”

Columbia Fuels believes BioHeat will be seen as the most sensible heating oil choice for all Vancouver Island residents. By Switching to BioHeat, Vancouver Island heating oil customers have the ability to reduce greenhouse gases (CO2) by 43,000 tonnes per year, the equivalent of taking 8,500 cars off the road for one year.

“It was a natural choice to switch to Columbia Fuels BioHeat, it’s better for the environment, and it’s the same price as regular furnace oil”, said Barrie Hewstan, the first BioHeat customer on Vancouver Island. “Being green has never been so easy”.

According to a study done by the US National Oilheat Research Alliance, BioHeat containing 20% biofuel is as clean as burning natural gas. “Not only is BioHeat clean burning, which significantly reduces many harmful emissions, it’s also much safer than natural gas and doesn’t require any modification to our customers’ existing oil furnace equipment,” said Kees Schaddelee, Biofuels Coordinator at Columbia Fuels.

In addition to BioHeat, all of Columbia Fuels’ furnace oil products will have ultra low sulphur content, which makes it significantly cleaner burning than the regular sulphur furnace oil sold by other suppliers on Vancouver Island. “BioHeat is made from renewable resources, so it helps address climate change and increases our energy independence,” said Schaddelee.

“Biofuels are a vital part of the transition to cleaner and greener energy future for Vancouver Island,” said BC Sustainable Energy Association president Guy Dauncey. “We applaud Columbia Fuels for showing environmental leadership with the introduction of BioHeat.”

To learn more about the many benefits of BioHeat, customers can visit Columbia Fuels new BioHeat website at www.BioHeat.ca. Customers wanting to warm up to BioHeat can call Columbia Fuels at 1-877-500-4246. Existing Columbia Fuels customers wishing to make the switch to BioHeat are encouraged to do so with ease at www.columbiafuels.com or at www.BioHeat.ca.

For more information on how people can contribute to improving air quality in their communities go to: www.env.gov.bc.ca/air

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FOR ADDITIONAL INFORMATION, PLEASE CONTACT:

Columbia Fuels
Peter Dunderdale, Corporate Leader – Support Services
(250) 391-3676
pdunderdale@columbiafuels.com

Ministry of Environment
Tony Kant, Public Affairs Officer
(250) 953-3834

Ministry of Energy, Mines and Petroleum Resources
Jake Jacobs, Public Affairs Officer
(250) 952-0628

BC Sustainable Energy Association
Guy Dauncey, President
(250) 881-1304
guydauncey@earthfuture.com

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