Crew Development Corporation: South Meager Geothermal Project.

Business Editors

VANCOUVER, B.C.--(BUSINESS WIRE)--May 16, 2001

Independent Consultants Report That a 150 MW (Net) Model Indicates

an After-tax NPV of Cash Flow of Approximately US$212 Million

On May 3, 2001, Crew (OTCBB:CRWVF)(TSE:CRU.)(OSE:CRU.) (FRANKFURT:KNC.) announced the independent consultant's (GeothermEx Inc.) assessment of the potential of the South Meager Geothermal Project, outlining the parameters supporting the consultant's proposed 100 MW power plant with an estimated net present value (NVP) of the projected after tax cash flows at US $124 million.

As GeothermEx had indicated in its report that the most likely electrical power capacity is at least 192 MW, a revised model of 150 MW has now been completed. This model is based on the same debt to equity ratio and pricing structure as the 100 MW proposal, with the third 50 MW plant coming on line in 2008. A further reassessment of the economies of a 200 MW facility may be undertaken on completion of the proposed confirmation well program.

On the basis of a total cost of US$538.3 million (capital, operating, and interest during construction) for a 150 MW plant, the estimated NPV of the projected after tax cash flows are approximately $US 212 million.

It should be noted that this financial model may be more optimistic than the 100 MW (net) model in the following respects:

-- The probability that 150 MW of recoverable energy capacity is present in the
system has been estimated to be slightly less than 90%, compared with
essentially 100% for 100 MW.

-- The new model has not assumed an increased average production decline rate,
which could potentially result from the increase in well density needed for the
larger development. This could either limit capacity or require that more wells
be drilled.

-- Given that the construction schedule has been extended, some escalation of
plant and gathering system costs during the development period might be
warranted.

Corporate Overview

Crew is a mid-tier diversified international mining company, based in Vancouver, Canada. The company controls five quality development projects and owns, through Metorex, eight profitable mines. Crew is active in Norway, Canada, Greenland, the Philippines and Africa and has a demonstrated ability to discover new grassroots projects, advance projects to the development stage, and operate mines efficiently. The company is profitable and well positioned for further growth. The primary listing for Crew shares is the Toronto Stock Exchange (TSE) and since January 2000 it has been listed on the Oslo Stock Exchange (OSE). The company is also listed in Germany and in the US.

John M. Darch, Chairman and C.E.O.

This News Release was prepared by the Board of Directors on behalf of Crew Development Corp. which is solely responsible for its contents.