Enerplus and EnerMark Trusts to Merge

On May 10, 2001, Enerplus Resources Fund and EnerMark Income Fund announced that they had reached an agreement to merge the two trusts. The combined trust will have a market capitalization of approximately $2 billion, creating the largest conventional oil and gas income fund in North America, with expected production in 2001 in excess of 64,000 barrels of oil equivalent per day. The resulting entity will continue to be known as Enerplus Resources Fund, and its trust units will continue to be listed on The Toronto Stock Exchange and The New York Stock Exchange.

Blake, Cassels & Graydon LLP represented the trusts in the transaction, comprised of a team of Brock Gibson, Jacquie Moore, Scott Cochlan, Chad Schneider and Nicole Andersen on securities and trust matters, together with Dan Fournier and Kevin Fougere advising on banking matters and Wally Shaw and Ron Mar providing tax advice. Allan R. Twa, Q.C. of Burnet, Duckworth & Palmer LLP acted for the special committee of the Board of Directors of Enerplus Resources Corporation, and Harley Winger of Burstall Winger LLP acted for the special committee of the Board of Trustees of EnerMark. Robert Rooney and Robert Lehodey of Bennett Jones LLP were retained by the manager of the trust to advise on the new management agreement and other matters. Andrews & Kurth LLP advised the trusts on United States matters, with a team consisting of Michael O’Leary, Andrew P. Becnel and Kimberly Osburn providing securities advice, with Thomas Ford and Robert McNamara providing tax advice.