SASKTEL INTERNATIONAL COMPLETES $8M CONTRACT FOR TANZANIA

October 1 2002

Regina, October 1, 2002 - SaskTel International (SI) today announced the completion of a $8.2 million project for the Tanzania Railway Corporation (TRC). SaskTel International supplied and installed 300 km of fiber optic cable and transmission equipment along a critical railway route between the major cities of Morogoro and Dodoma.

"The completion of this project marks the third successful project with the Tanzania Railway Corporation for SaskTel International," said Maynard Sonntag, Minister of Crown Investment Corporation. "SI has signed and completed contracts for $38 million in the Tanzania region, by delivering world-class engineering consulting and project management."

"With reliable communications in place, TRC greatly enhances the safety and efficiency of our railway system," said Linford Mboma, Director General of the Tanzania Railway Corporation. "SI has a strong and admirable history with the TRC, this being the third project successfully completed. Of course, I am also very pleased, SI has delivered the project under budget and ahead of schedule."

Over the past ten years, SaskTel International has completed six stand-alone projects in East Africa totaling more than $56 million. Since 1986, SI has generated $448 million in revenue with a net income of $149 million through its three lines of business - software solutions, project management and investments. Revenues from SaskTel International’s diversification initiatives allow SaskTel to continue the delivery of high speed internet, digital cellular and other services across the province of Saskatchewan.

SaskTel International provides engineering consulting, project management, and software solutions around the world. It is a wholly owned subsidiary of SaskTel, the leading full service communications company in Saskatchewan, offering complete wireline, wireless, Internet and e-business solutions over a state-of-the-art, digital network. The web site for SaskTel International is www.sasktelinternational.com.