Destiny Resource Services Corp. Working Capital Financing & Management Change.

Business Editors

CALGARY, Alberta--(BUSINESS WIRE)--Dec. 18, 2000

Destiny Resource Services Corp. (TSE:DSC.) ("Destiny" or the "Company") announced today that to increase its working capital borrowing capacity to finance increased activity it has reached agreement in principal with First Reserve Fund VIII L.P. to convert $1.8 million of interest under its 8% Convertible Debenture to common shares.

Interest currently due will be converted at $0.25 per share and interest accruing due until June 30, 2001 will be converted on a monthly basis based on the trading prices during the last 10 trading days of each month. The transaction is subject to formal documentation and regulatory approval.

Destiny also announced that it has received and accepted the resignations of Adrian Erickson as CEO and John Newman as CFO and as a director of the Company. Mr. Erickson remains a director. Both Messers, Erickson and Newman resigned for personal reasons but have advised of their intentions to remain as shareholders and to support the Company, its management and the Board of Directors. Both have also agreed to provide consulting services to Destiny to ensure an effective transition of their duties.

Bruce R. Libin, Chairman of the Board of Directors, has been appointed by the Board as Managing Director of the Company and will perform the duties of the CEO and CFO until the Board identifies appropriate candidates to fill those positions. Mr. Libin has served on the Board of Directors of Destiny since 1994 and is fully familiar with Destiny's business and operations. Mr. Libin stated that he "is excited about Destiny's prospects and looks forward to working with the management team to deliver the high quality services that Destiny's customers have always enjoyed and to build shareholder value".

Destiny is the only "full service" company in Canada providing survey, line clearing and shothole drilling services from a single source, offering their clients greater convenience and accountability in a complete front-end package. With over 25 years of operating experience in front-end services, together with a strategic presence in oilfield construction and maintenance, Destiny has provided essential, integrated services to the seismic, exploration and production industries in Canada and internationally.