Northern Development Initiative Trust Fifth Avenue, Prince George BC V2L 3L2

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Northern Development Initiative Trust 301-1268 Fifth Avenue, Prince George BC V2L 3L2 http://www.northerndevelopment.bc.ca/ On Aug 15, 2014, at 9:02 AM, "Carlos Salas" < salas@geosciencebc.com wrote: Hi Janine, I thought I would contact yourself to see if you could give me quick guidance on the fundability of this project. Geoscience BC is currently working on a collaborative project to ensure the long-term sustainability and protection of groundwater, a priceless resource in the Peace River Region. Water in this region is highly prized, especially in the summer, when they are routinely experiencing drought conditions. Healthy thriving communities, and First Nations, along with economic development cannot happen without a solid understanding of availability and quality of groundwater. Geoscience BC s project, which will map the groundwater utilizing airborne geophysics in this region, will provide the much needed information to facilitate responsible economic activity and ensure the sustainable supply of water to communities. I am currently at the beginning of my funding drive, Geoscience BC has committed $2.8M to this project and secured the in-kind support of all the water ministries of the Province (FLNRO, MoE, OGC) who will use this as a key deliverable to their Northeast Water Strategy, in support of the new Water Sustainability Act. I have recently presented to the Peace River Regional District s Water Stewardship Committee (made up of representatives of the various communities of the region), and they are also very keen on the project I hope to be hearing by the end of the month as to their level of support. Additionally, I will be seeking support from the agricultural and energy sectors within the next month. My initial conversations with both have been very positive. This is a truly a cross-sector collaborative project that will benefit stakeholders, First Nations, communities and industries in the Peace Region. Without understanding of the groundwater resources in this region economic development will ultimately be hampered. If you feel this may be a project that would be of interest to Northern Development Initiative Trust let me know and I will begin the official process of attempting to seek funding. I look forward to discussing the applicability of this project for funding with you at your convenience. Regards, Carlos Salas, MSc PGeo VP, Oil & Gas Geoscience BC 604.662.4147 ext. 28 salas@geosciencebc.com<mailto:salas@geosciencebc.com>\ Websitehttp://www.geosciencebc.com/ Twitterhttp://www.twitter.com/geosciencebc

NORTHERN DEVELOPMENT INITIATIVE TRUST ECONOMIC DIVERSIFICATION INFRASTRUCTURE Adobe Reader 8.0+ is required to complete this application form. If you are using an earlier version, you will not be able to save any information you enter into the form. Adobe Reader is a free download available at: http://www.adobe.com/products/acrobat/readstep2.html 1. Project Name Provide a name for the project that is proposed in this funding application: 2. Applicant Profile Applicant Organization (Legal Name): Non Profit Society Registration No. (if applicable): Address (street, city, postal code): Telephone: Fax: Email: Website (URL): 3. Primary Contact Information Primary Contact (for this application): Position / Title: Complete the following if different from Applicant Organization contact information: Address (street, city, postal code): Telephone: Email: Fax: Northern Development Initiative Trust 301 1268 Fifth Avenue, Prince George, BC V2L 3L2 Tel: 250 561 2525 Fax: 250 561 2563 Email: info@northerndevelopment.bc.ca Website: www.northerndevelopment.bc.ca

ECONOMIC DIVERSIFICATION INFRASTRUCTURE N 4. Select the Application Process Northern Development accepts Economicc Diversification Infrastructure applications to each of the following Trust Accounts. See the Application Guide for more information on the advisory review and approval process. Select one of the following Regional Development accounts: Cariboo Chilcotin/Lillooet Northeast Northwest Prince George Identify the municipality or regional district that is providing a resolution of support for this funding application: Resolution of Support: A resolution of support from the municipality or regional district is attached. A resolution of support has not yet been secured from the municipality or regional district. The date when the municipality or regional district is meeting to review the request for a resolution of support for this funding application is: Applicants are responsible for securing a resolution outlining support for the Northern Development funding request fromm a municipality or regional district. Applicants must provide a copy of the resolution of support to Northern Development before a funding decision can be made. Published February 2013 Ver. 3.0 2

5. Project Overview Identify the project s primary investment area: Agriculture Economic Development Energy Forestry Mining Olympic Opportunities Pine Beetle Recovery Small Business Tourism Transportation Identify the project s secondary investment area: Agriculture Economic Development Energy Forestry Mining Olympic Opportunities Pine Beetle Recovery Small Business Tourism Transportation Northern Development project investments must fall within the ten investment areas above as identified in the Northern Development Initiative Trust Act. Provide a description of the project: Outline the key project elements as they relate to the funding program s objective(s) Explain the rationale for the project: Focus on long term community or regional needs with regards to economic development that the proposed project will address specific to the primary investment area. Published February 2013 Ver. 3.0 3

6. Direct Economic Benefits Outline the direct economic benefits to the local or regional economy: 7. Current Employment Nature of positions: Number of existing positions: Hours of employment per week (average): Total person months employed annually (average): How does the proposed funding help to sustain the existing positions? Direct permanent full time jobs: 35+ hours/week 12 months/year Direct permanent part time jobs: hours/week 12 months/year Direct seasonal jobs: hours/week months/year 8. New Employment (Job Creation) The following job creation will be reported on by the applicant organization for a five (5) year period to demonstrate the direct economic benefits of the project: Nature of positions: Number of new positions to be created: Hours of employment per week (average): Total person months of employment to be created (average): Position(s)/Title(s): Direct permanent full time jobs: 35+ hours/week 12 months/year Direct permanent part time jobs: hours/week 12 months/year Direct seasonal jobs: hours/week months/year Direct temporary jobs (construction or consulting): hours/week months/year TOTAL PROPOSED FULL TIME EQUIVALENT (FTE) JOB CREATION: Full time equivalent (FTE) job creation is aggregated from information provided above. 1.0 FTE is equal to 1 new position working 35 hours/week for 12 months/year. Published February 2013 Ver. 3.0 4

9. Increased Revenue Generation The following annual revenue generation will be reported on by the applicant organization for a five (5) year period to demonstrate the direct economic benefits of the project: Projected Annual Revenues Current Annual Revenues: Year 1 Year 2 Year 3 Year 4 Year 5 $ $ $ $ $ $ INCREMENTAL REVENUE GENERATION OVER FIVE (5) YEARS: Incremental revenue is the sum of the Projected Annual Revenues for the five (5) years of the project, minus the Current Annual Revenues maintained over the same five (5) year period. $ Describe how the revenue will be generated and the sources of revenue: What percent of the projected annual revenue is from outside central and northern BC? % 10. Project Participation List all participants that will actively contribute to the project: Communities (population 5,000 residents) : Communities (population > 5,000 residents) : First Nations Communities: Private Businesses: Non Profit Organizations: Governmental Organizations: Published February 2013 Ver. 3.0 5

11. Project Milestones Stage of Project: Scheduled Date: Describe the current stage of the project: 1) 2) 3) 4) 5) 6) Complete the above, however if you wish to provide a more detailed project schedule, please attach separately to this application. 12. Project Budget Expense Item: Amount ($): Verification: TOTAL PROJECT BUDGET: $ Complete the above, however if you wish to provide a more detailed project budget, please attach separately to this Application. Published February 2013 Ver. 3.0 6

13. Funding Request The following funding is requested from Northern Development: Funding Type: Amount ($): Grant $ A maximum of $250,000 is available in the form of a grant for communities with a combined regional development account and up to $100,000 for The Village of Cache Creek, the District of Port Edward and the Skeena Queen Charlotte Regional District, with the remainder available in the form of a loan. Loan $ Length of Re Payment Term Requested (up to 10 years): TOTAL REQUESTED: $ 14. Other Funding Sources Funding Source: Amount ($): Identify funding terms: Identify funding confirmation: Date approval is expected: TOTAL OTHER FUNDING: $ TOTAL PROJECT FUNDING: (Northern Development + Other Sources) $ Published February 2013 Ver. 3.0 7

15. Leveraging Calculate Northern Development s funding leverage for the project: The funding request as a percentage of total project funding is: % Leverage % = (Northern Development funding request) (Total project funding) Northern Development provides funding under this program up to a maximum of 70% of a total project budget for communities with a combined regional development account and up to 28.57% of a total project budget for The Village of Cache Creek, the District of Port Edward, and the Skeena Queen Charlotte Regional District. 16. Sustainability Explain how funds will be generated to operate the facility for five (5) years: Describe how the project will support population growth or help sustain population in the community or region: Describe how the project will contribute to environmental sustainability: Describe and quantify any increase to property value(s) that would directly result from the project: Published February 2013 Ver. 3.0 8

Attachments List all documents attached to this application: Document Name: 1) 2) 3) 4) 5) 6) 7) 8) 9) 10) Published February 2013 Ver. 3.0 9

17. Authorization I AFFIRM THAT the information in this application is accurate and complete, and that the project proposal, including plans and budgets, is fairly presented. I agree that once funding is approved, any change to the project proposal will require prior approval of Northern Development Initiative Trust (Northern Development). I also agree to submit reporting materials as required by Northern Development, and where required, financial accounting for evaluation of the activity funded by Northern Development. I understand that the information provided in this application may be accessible under the Freedom of Information (FOI) Act. I agree to publicly acknowledge funding and assistance by Northern Development. I authorize Northern Development to make any enquiries of such persons, firms, corporations, federal and provincial government agencies/departments and non profit organizations operating in my organization s field of activities, to collect and share information with them, as Northern Development deems necessary, in order to reach a decision on this application, to administer and monitor the implementation of the project and to evaluate their results after project completion. I agree that information provided in this application form may be shared with the appropriate Regional Advisory Committee(s) and/or Northern Development staff and consultants. Name: Organization Signing Authority Title: Date: 18. Submitting Your Application Completed Funding Application forms (with all required attachments) should be provided electronically to Northern Development by email. Email info@northerndevelopment.bc.ca Published February 2013 Ver. 3.0 10