-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
 MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen
 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 O4jEvdgataqWW5w1AjlIoQ9kQKMvXMLfy0LVfNI0YanWMvqKXjatA9jU0jxsz8El
 NmqvGYnh/Q5i7v3XdgpCXw==

<SEC-DOCUMENT>0001130319-09-000059.txt : 20090209
<SEC-HEADER>0001130319-09-000059.hdr.sgml : 20090209
<ACCEPTANCE-DATETIME>20090209092924
ACCESSION NUMBER:		0001130319-09-000059
CONFORMED SUBMISSION TYPE:	SUPPL
PUBLIC DOCUMENT COUNT:		2
FILED AS OF DATE:		20090209
DATE AS OF CHANGE:		20090209
EFFECTIVENESS DATE:		20090209

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PRECISION DRILLING TRUST
		CENTRAL INDEX KEY:			0001013605
		STANDARD INDUSTRIAL CLASSIFICATION:	DRILLING OIL & GAS WELLS [1381]
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			A0
		FISCAL YEAR END:			0430

	FILING VALUES:
		FORM TYPE:		SUPPL
		SEC ACT:		
		SEC FILE NUMBER:	333-156844
		FILM NUMBER:		09579080

	BUSINESS ADDRESS:	
		STREET 1:		150 - 6TH AVENUE S.W.
		STREET 2:		SUITE 4200
		CITY:			CALGARY
		STATE:			A0
		ZIP:			T2P 3Y7
		BUSINESS PHONE:		403-264-0251

	MAIL ADDRESS:	
		STREET 1:		150 - 6TH AVENUE S.W.
		STREET 2:		SUITE 4200
		CITY:			CALGARY
		STATE:			A0
		ZIP:			T2P 3Y7

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	PRECISION DRILLING CORP
		DATE OF NAME CHANGE:	19960506
</SEC-HEADER>
<DOCUMENT>
<TYPE>SUPPL
<SEQUENCE>1
<FILENAME>o53526suppl.htm
<DESCRIPTION>SUPPL
<TEXT>
<HTML>
<HEAD>
<TITLE>suppl</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<TABLE style="color: #FF0000" width="100%" border="1" cellpadding="5"><TR><TD style=text-align:justify>
<FONT style="font-size: 8pt; font-family: Arial, Helvetica; color: #C41E3A">The
information in this preliminary prospectus supplement is not
complete and may be changed. This preliminary prospectus
supplement and the accompanying prospectus are not an offer to
sell these securities and are not soliciting an offer to buy
these securities in any jurisdiction where the offer or sale is
not permitted.<BR>
</FONT>
</TD></TR></TABLE>

<DIV style="margin-top: 1pt; font-size: 1pt">&nbsp;</DIV>
</DIV><!-- END PAGE WIDTH -->
<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<DIV style="margin-top: 8pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="right" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Filed
    pursuant to<BR>
    General Instruction&#160;IIL<BR>
    of
    <FONT style="white-space: nowrap">Form&#160;F-10;</FONT><BR>
    File no:
    <FONT style="white-space: nowrap">333-156844</FONT></FONT></B>
</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B><FONT style="color: #C41E3A">Subject to completion, dated
    February 9, 2009</FONT></B>
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Prospectus Supplement to the Short Form&#160;Base Shelf
    Prospectus Dated February&#160;4, 2009</B>
</DIV>

<DIV style="margin-top: 24pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <IMG src="o53526o5352600.gif" alt="(PRECISION DRILLING LOGO)"><B> </B>
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B><FONT style="font-size: 12pt">US$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;</FONT></B>
</DIV>

<DIV style="margin-top: 9pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B><FONT style="font-size: 13pt">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    Trust&#160;Units</FONT></B>
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<CENTER style="font-size: 1pt; width: 32%; border-bottom: 1pt solid #000000"></CENTER><!-- callerid=999 iwidth=480 length=156 -->

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B><FONT style="font-size: 13pt">US$&#160;&#160;&#160;&#160;&#160;
    per Trust&#160;Unit</FONT></B>
</DIV>

<CENTER style="font-size: 1pt; width: 32%; border-bottom: 1pt solid #000000"></CENTER><!-- callerid=999 iwidth=480 length=156 -->
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Precision Drilling Trust (the &#147;<B>Trust</B>&#148;) is
    hereby qualifying for
    distribution&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    trust units (&#147;<B>Trust&#160;Units</B>&#148;) of the Trust
    at a price of
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; per
    Trust&#160;Unit (the &#147;<B>Offering</B>&#148;). The issued
    and outstanding Trust&#160;Units of the Trust are listed on the
    Toronto Stock Exchange (the&#160;&#147;<B>TSX</B>&#148;) under
    the symbol &#147;PD.UN&#148; and on the New York Stock Exchange
    (the &#147;<B>NYSE</B>&#148;) under the symbol &#147;PDS&#148;.
    On February&#160;6, 2009, the last trading day prior to the
    public announcement of the Offering, the closing price of the
    Trust&#160;Units on the TSX was $4.95 and the closing price of
    the Trust&#160;Units on the NYSE was U.S.$3.98. The Trust has
    applied to list the Trust&#160;Units offered by this Prospectus
    Supplement on each of the TSX and the NYSE. Listing will be
    subject to the Trust fulfilling all of the listing requirements
    of each of the TSX and the NYSE.
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>The Trust is permitted, under a multi-jurisdictional
    disclosure system adopted by the United States and Canada, to
    prepare this Prospectus Supplement and the Prospectus in
    accordance with Canadian disclosure requirements. Prospective
    investors should be aware that such requirements are different
    from those of the United States. The Trust has prepared its
    financial statements in accordance with Canadian GAAP (as
    defined herein) and is subject, in respect of its audited
    consolidated financial statements for the year ended
    December&#160;31, 2005, to Canadian auditing and auditor
    independence standards and, in respect of its audited
    consolidated financial statements for the years ended
    December&#160;31, 2006 and 2007, to the auditing and auditor
    independence standards of the Public Company Accounting
    Oversight Board. Therefore, the Trust&#146;s financial
    statements may not be comparable to the financial statements of
    United States companies in certain respects</B>.
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>It is important for an investor to consider the particular
    risk factors that may affect the industry in which the investor
    is investing. See &#147;Risk Factors&#148;.</B>
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Prospective investors should be aware that the purchase of
    Trust&#160;Units may have tax consequences both in the United
    States and Canada. This Prospectus Supplement and the Prospectus
    do not describe these tax consequences fully. Prospective
    investors should read the tax discussion in this Prospectus
    Supplement and consult with a tax advisor. See &#147;Canadian
    Federal Income Tax Considerations&#148; and &#147;United States
    Federal Income Tax Considerations&#148;.</B>
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>The enforcement by investors of civil liabilities under
    United States federal securities laws may be affected adversely
    by the fact that the Trust has been settled under the laws of
    Canada, that some or all of the trustees of the Trust and the
    directors and officers of Precision Drilling Corporation
    (&#147;Precision&#148;), the administrator of the Trust, are
    residents of Canada, that some or all of the underwriters or
    experts named in the Prospectus, this Prospectus Supplement or
    the documents incorporated by reference therein or herein, as
    applicable, are Canadian residents, and that all or a
    significant portion of the assets of the Trust and said persons
    may be located outside of the United States.</B>
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Neither the United States Securities and Exchange Commission
    (the &#147;SEC&#148;) nor any state or provincial securities
    commission or similar regulatory authority has approved or
    disapproved of these securities, or passed upon the adequacy or
    accuracy of this Prospectus Supplement or the Prospectus. Any
    representation to the contrary is a criminal offence.</B>
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The offering price of the Trust&#160;Units offered under this
    Prospectus Supplement was determined by negotiation among the
    Trust and RBC&#160;Dominion Securities Inc. and Deutsche Bank
    Securities Inc. (the &#147;<B>Underwriters</B>&#148;).
</DIV>

<DIV style="margin-top: 2pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="49%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="16%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="16%">&nbsp;</TD>	<!-- colindex=03 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="16%">&nbsp;</TD>	<!-- colindex=04 type=maindata -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    <B>Price to<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    <B>Underwriters&#146;<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    <B>Net Proceeds to<BR>
    </B>
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
<DIV style="border-bottom: 1px solid #000000; width: 1%; padding-bottom: 1px">
    <B>the Public</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
<DIV style="border-bottom: 1px solid #000000; width: 1%; padding-bottom: 1px">
    <B>Fee</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
<DIV style="border-bottom: 1px solid #000000; width: 1%; padding-bottom: 1px">
    <B>the
    Trust</B><SUP style="font-size: 85%; vertical-align: top">(1)</SUP>

</DIV>
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    Per Trust&#160;Unit
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    U.S.$&#160;&#160;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    U.S.$&#160;&#160;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    U.S.$&#160;&#160;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    Total
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    U.S.$&#160;&#160;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    U.S.$&#160;&#160;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    U.S.$&#160;&#160;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="font-size: 3pt; margin-left: 0%; width: 12%;  align: left; border-bottom: 1pt solid #000000"></DIV><!-- callerid=999 iwidth=480 length=60 -->



<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 8pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Notes:</FONT></B>
</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="4%"></TD>
    <TD width="96%"></TD>
</TR>

<TR valign="top" style="font-size: 8pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    (1)&#160;
</TD>
    <TD align="left">    Before deducting expenses of the Offering, estimated to be
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;.
</TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 8pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    (2)&#160;
</TD>
    <TD align="left">    The Trust has granted to the Underwriters an option (the
    &#147;<B>Over-Allotment Option</B>&#148;) to purchase up to an
    additional&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    Trust&#160;Units, representing up to 15% of the offering of
    Trust&#160;Units, at a price of
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; per
    Trust&#160;Unit on the same terms and conditions as the
    Offering, exercisable in whole or in part, from time to time,
    not later than the 30th day following the closing of the
    Offering to cover over-allotments, if any, and for market
    stabilization purposes. If the Over-Allotment Option is
    exercised in full, the total price to the public,
    Underwriters&#146; fee and net proceeds to the Trust (before
    deducting expenses of&#160;the Offering) will be
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; and
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    respectively. A purchaser who acquires Trust&#160;Units forming
    part of the Underwriters&#146;
    <FONT style="white-space: nowrap">over-allotment</FONT>
    position acquires those Trust&#160;Units under this Prospectus
    Supplement regardless of whether the over-allotment position is
    filled through exercise of the Over-Allotment Option or
    secondary market purchases. This Prospectus Supplement also
    qualifies for distribution the issuance of the additional
    Trust&#160;Units pursuant to the exercise of the Over-Allotment
    Option. See &#147;Plan of Distribution&#148;.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">
&nbsp;
</DIV>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 18pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="49%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="48%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
</TR>
<!-- Table Width Row END -->
<TR valign="bottom">
<TD align="center" valign="top">
<DIV style="text-indent: -18pt; margin-left: 18pt">
    <B>RBC Capital Markets</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD align="center" valign="top">
    <B>Deutsche Bank Securities</B>
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 42pt; font-size: 1pt">&nbsp;</DIV>

<P align="left" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    - ii -
</DIV>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>
</DIV><!-- END PAGE WIDTH -->
<DIV style="width: 92%; margin-left: 4%"><!-- BEGIN PAGE WIDTH -->

<DIV style="margin-top: 16pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="26%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="23%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="23%">&nbsp;</TD>	<!-- colindex=03 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="23%">&nbsp;</TD>	<!-- colindex=04 type=maindata -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    <B>Maximum size or<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Underwriters&#146; Position</B>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>number of securities held</B>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Exercise period</B>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Exercise price</B>
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="center" valign="top">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    Over-Allotment Option
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="top">
    &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Trust Units
</TD>
<TD>
&nbsp;
</TD>
<TD align="center" valign="top">
    Within 30 days following<BR>
    closing of the Offering
</TD>
<TD>
&nbsp;
</TD>
<TD align="center" valign="top">
    U.S.$&#160;&#160;&#160;per Trust Unit
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Underwriters, as principals, conditionally offer the
    Trust&#160;Units, subject to prior sale, if, as and when issued
    by the Trust and accepted by the Underwriters in accordance with
    the conditions contained in the Underwriting Agreement referred
    to under &#147;Plan of Distribution&#148; and subject to
    approval of certain legal matters relating to the Offering on
    behalf of the Trust by Bennett Jones LLP, with respect to
    matters of Canadian law, Felesky Flynn LLP, with respect to
    matters of Canadian federal income tax law, and by Mayer Brown
    LLP, with respect to matters of United States law, and on behalf
    of the Underwriters by Blake, Cassels&#160;&#038; Graydon LLP,
    with respect to matters of Canadian law, and by
    Shearman&#160;&#038; Sterling&#160;LLP, with respect to matters
    of United States law.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust has been advised by the Underwriters that, subject to
    applicable laws, in connection with the Offering, the
    Underwriters may effect transactions that stabilize or maintain
    the market price of the Trust&#160;Units at levels other than
    those that might otherwise prevail in the open market. Such
    transactions, if commenced, may be discontinued at any time. See
    &#147;Plan of Distribution&#148;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The head office and principal place of business of the Trust and
    the head and registered office of Precision is located at 4200,
    150&#160;&#151;
    6<SUP style="font-size: 85%; vertical-align: top">th</SUP>

    Avenue S.W., Calgary, Alberta, T2P&#160;3Y7.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Each of RBC Dominion Securities Inc. and Deutsche Bank
    Securities Inc. is, directly or indirectly, an affiliate of a
    bank or other financial institution which is a lender to
    Precision and to which Precision is presently indebted.
    Consequently, the Trust may be considered to be a connected
    issuer of each of these Underwriters under applicable Canadian
    securities legislation. See &#147;Relationship among the Trust
    and Certain Underwriters&#148;.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A return on an investment in Trust&#160;Units is not comparable
    to the return on an investment in a fixed-income security. The
    recovery of an initial investment in Trust&#160;Units is at
    risk, and the anticipated return on such investment is based on
    many performance assumptions. <B>Although the Trust may make
    distributions of available cash flow to holders of
    Trust&#160;Units (&#147;Unitholders&#148;), cash distributions
    are not guaranteed and may be reduced, suspended or
    eliminated.</B> On February&#160;9, 2009, the Trust announced
    that it had suspended cash distributions for an indefinite
    period commencing February, 2009.  See &#147;Recent
    Developments&#160;&#151; Suspension of Monthly
    Distributions&#148;. Any amounts that may be distributed by the
    Trust in the future will depend on numerous factors including,
    among other things: the financial performance of the
    Trust&#146;s operating subsidiaries, debt obligations, working
    capital requirements, future capital requirements and the
    ability of the Trust to meet certain of the covenants set forth
    under the terms of the Credit Facilities (as defined in the
    Prospectus). See &#147;Material Debt&#148; in the Prospectus. In
    addition, the market value of the Trust&#160;Units may
    deteriorate if the Trust does not reinstate its cash
    distributions or otherwise meet cash distribution expectations
    in the future, and that deterioration may be material. See
    &#147;Risk Factors&#160;&#151; Distributions on the Trust Units
    have been suspended and may not be reinstated&#148;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The after tax return from an investment in Trust&#160;Units to
    Unitholders subject to Canadian income tax can be made up of
    both a return on capital and a return of capital. That
    composition may change over time, thus affecting an
    investor&#146;s after tax return. Subject to certain amendments
    to the <I>Income Tax Act</I> (Canada) (the &#147;<B>Tax
    Act</B>&#148;) made effective on October&#160;31, 2006 (the
    &#147;<B>SIFT Rules</B>&#148;<B>)</B>, returns on capital
    generally are taxed as ordinary income in the hands of a
    Unitholder who is resident in Canada for purposes of the Tax
    Act. Pursuant to the SIFT Rules, commencing January&#160;1, 2011
    (provided the Trust only experiences &#147;normal growth&#148;
    before then) certain distributions from the Trust which
    otherwise would have been taxed as ordinary income generally
    will be characterized as dividends and the Trust will be subject
    to tax at corporate rates on the amount of those distributions.
    Returns of capital generally are not required to be (and under
    the SIFT Rules will continue to not be required to be) included
    in income for Unitholders who are resident in Canada for
    purposes of the Tax Act, but rather reduce the adjusted cost
    base of such Unitholder&#146;s Trust&#160;Unit(s) for purposes
    of the Tax Act. Distributions of income to a Unitholder who is
    not resident in Canada for purposes of the Tax Act, or that is a
    partnership that is not a &#147;Canadian partnership&#148; for
    purposes of the Tax Act, generally will be subject to Canadian
    withholding tax. Prospective investors should consult their own
    tax advisors with respect to the Canadian income tax
    considerations applicable in their own circumstances. See the
    discussion under the headings &#147;Recent
    Developments&#160;&#151; Suspension of Monthly
    Distributions&#148;, &#147;Risk Factors&#148; and &#147;Canadian
    Federal Income Tax Considerations&#148;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Subscriptions for Trust&#160;Units offered under this Prospectus
    Supplement will be received subject to rejection or allotment in
    whole or in part and the right is reserved to close the
    subscription books at any time without notice. It is expected
    that closing will occur on or about February&#160;18, 2009 or
    such other date not later than February&#160;27, 2009 as
    Precision, the Trust and the Underwriters may agree.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Underwriters propose to offer the Trust Units initially at
    the offering price specified above. After a reasonable effort
    has been made to sell all of the Trust Units at the price
    specified, the Underwriters may subsequently reduce the selling
    price to investors from time to time in order to sell any of the
    Trust Units remaining unsold.  Any such reduction will not
    affect the proceeds received by the Trust.  <B>See &#147;Plan of
    Distribution&#148;</B>.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 9pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>The Trust&#160;Units are not &#147;deposits&#148; within the
    meaning of the <I>Canada Deposit Insurance Corporation Act
    </I>(Canada) and are not insured under the provisions of that
    Act or any other legislation. Furthermore, the Trust is not a
    trust company and, accordingly, it is not registered under any
    trust and loan company legislation as it does not carry on or
    intend to carry on the business of a trust company.</B>
</DIV>

<P align="left" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>
<DIV align="left">
<!-- TOC -->
</DIV>

<DIV align="left">
<A name="tocpage"></A>
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">TABLE OF
    CONTENTS</FONT></B>
</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="95%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=quadleft -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=quadright -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
<DIV style="border-bottom: 1px solid #000000; width: 1%; padding-bottom: 1px">
    <B><FONT style="font-size: 10pt">Page</FONT></B>
</DIV>
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
    <A HREF='#101'>IMPORTANT NOTICE ABOUT INFORMATION IN THIS
    PROSPECTUS SUPPLEMENT AND THE&#160;ACCOMPANYING PROSPECTUS</A>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-1
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#102'>EXCHANGE RATE INFORMATION</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-1
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#103'>WHERE YOU CAN FIND MORE INFORMATION</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-2
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#104'>DOCUMENTS FILED AS PART&#160;OF THE REGISTRATION
    STATEMENT</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-2
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#105'>FORWARD-LOOKING STATEMENTS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-2
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#106'>DOCUMENTS INCORPORATED BY REFERENCE</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-3
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#107'>PRECISION DRILLING TRUST</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-5
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#108'>RECENT DEVELOPMENTS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-5
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#135'>Suspension of Monthly Distributions</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-5
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#109'>Proposed Financing Arrangements</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-5
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#110'>PRICE RANGE AND TRADING VOLUME OF THE
    TRUST&#160;UNITS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-6
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#111'>USE OF PROCEEDS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-6
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#112'>PLAN OF DISTRIBUTION</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-6
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#113'>Notice to Prospective Investors in the European
    Economic Area</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-9
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#114'>Notice to Prospective Investors in the United
    Kingdom</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-9
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#115'>RELATIONSHIP AMONG THE TRUST&#160;AND CERTAIN
    UNDERWRITERS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-9
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#116'>INTEREST OF EXPERTS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-10
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#117'>CANADIAN FEDERAL INCOME TAX CONSIDERATIONS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-10
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#118'>Canadian Holders</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-11
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#119'>Non-Canadian Holders</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-12
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#120'>Status of the Trust</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-13
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#121'>Taxation of the Trust</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-14
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#122'>UNITED STATES FEDERAL INCOME TAX
    CONSIDERATIONS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-15
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#123'>Treatment of the Trust and the
    Trust&#160;Units</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-16
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#124'>Distributions with Respect to Trust&#160;Units</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-16
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#125'>Sale or Exchange of Trust&#160;Units</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-17
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#126'>Passive Foreign Investment Company Rules</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-17
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#127'>United States Backup Withholding and Information
    Reporting</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-17
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#128'>RISK FACTORS</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-17
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#129'>Proposed Financing Arrangements</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-17
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#229'>Distributions on the Trust Units have been
    suspended and may not be reinstated</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-18
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 20pt">
    <A HREF='#137'>Precision&#146;s credit rating and the credit
    rating of the oilfield services sector may be downgraded
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-18
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#130'>ENFORCEABILITY OF CIVIL LIABILITIES</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-18
</TD>
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <A HREF='#131'>ELIGIBILITY FOR INVESTMENT</A>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD>&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    S-18
</TD>
<TD>&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>

<DIV align="left">
<!-- /TOC -->
</DIV>

<P align="left" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-1
<A name='101'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">IMPORTANT
    NOTICE ABOUT INFORMATION IN THIS<BR>
    PROSPECTUS SUPPLEMENT AND THE ACCOMPANYING PROSPECTUS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This document is in two parts. The first part is this Prospectus
    Supplement, which describes the specific terms of the
    Trust&#160;Units that are being offered and also adds to and
    updates certain information contained in the Prospectus and the
    documents incorporated by reference into this Prospectus
    Supplement or the Prospectus. The second part, the Prospectus,
    gives more general information.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    You should rely only on the information contained in or
    incorporated by reference into this Prospectus Supplement and
    the Prospectus. The Trust has not, and the Underwriters have
    not, authorized any other person to provide prospective
    investors with different information and any such information
    should not be relied upon. The Trust is not, and the
    Underwriters are not, making an offer to sell the
    Trust&#160;Units in any jurisdiction where the offer or sale is
    not permitted. Readers should assume that the information
    appearing in this Prospectus Supplement and the Prospectus, as
    well as information the Trust has previously filed with the
    securities regulatory authority in each of the provinces of
    Canada and with the SEC that is incorporated by reference into
    this Prospectus Supplement or the Prospectus, is accurate as of
    their respective dates only. The business, financial condition,
    results of operations and prospects of the Trust may have
    changed since those dates.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Unless the context otherwise requires, all references in this
    Prospectus Supplement to the &#147;Trust&#148; means Precision
    Drilling Trust and, where the context requires, includes the
    Trust and all of its consolidated subsidiaries and any
    partnership of which the Trust and its subsidiaries are the
    partners.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Unless otherwise specifically stated, all financial information
    included and incorporated by reference in the Prospectus and
    this Prospectus Supplement is determined using Canadian
    generally accepted accounting principles, referred to as
    &#147;<B>Canadian GAAP</B>&#148;. &#147;<B>U.S. GAAP</B>&#148;
    means generally accepted accounting principles in the United
    States. The Trust prepares its financial statements in
    accordance with Canadian GAAP, which differs from U.S. GAAP.
    Therefore, the Trust&#146;s financial statements included and
    incorporated by reference in this Prospectus Supplement and the
    Prospectus may not be comparable to financial statements
    prepared in accordance with U.S. GAAP. Prospective investors
    should refer to note&#160;16 of the Trust&#146;s consolidated
    financial statements as at and for the year-ended
    December&#160;31, 2007 and the Interim GAAP&#160;Reconciliation
    (as defined herein) for a discussion of the principal
    differences between the Trust&#146;s financial results and
    financial condition determined under Canadian GAAP and under
    U.S. GAAP.
</DIV>
<A name='102'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">EXCHANGE
    RATE INFORMATION</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In this Prospectus Supplement, references to
    &#147;<B>dollars</B>&#148;, &#147;<B>$</B>&#148;, and
    &#147;<B>Cdn.$</B>&#148; are to Canadian dollars, and references
    to &#147;<B>U.S.$</B>&#148; and &#147;<B>U.S. dollars</B>&#148;
    are to United States dollars. The exchange rate between the
    Canadian dollar and the United States dollar used in this
    Prospectus Supplement and the Prospectus varies depending on the
    date of the information contained in this Prospectus Supplement
    and the Prospectus, respectively.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The following table sets forth: (i)&#160;the rates of exchange
    for the Canadian dollar, expressed in U.S. dollars in effect at
    the end of each of the periods indicated; (ii)&#160;the average
    of the exchange rates in effect on the last day of each month
    during such periods; and (iii)&#160;the high and low exchange
    rates during each period, in each case based on the inverse of
    the noon buying rate in New York City for cable transfers
    payable in Canadian dollars as certified for customs purposes by
    the Federal Reserve Bank of New York.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="44%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=08 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=08 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=08 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=08 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="center" valign="bottom">
    <B>Nine Months<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="center" valign="bottom">
    <B>Ended<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="18" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended December 31</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>September 30</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2004</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2005</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2006</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2007</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2008</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2007</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>2008</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    Rate at end of period
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.831
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.858
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.858
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.012
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.817
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.004
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.944
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    Average rate for period
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.768
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.825
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.882
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.927
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.934
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.900
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.982
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    High for period
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.849
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.869
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.910
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.091
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.029
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.004
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.029
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    Low for period
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.716
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.787
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.853
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.844
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.771
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.844
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.926
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 9pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    On February&#160;6, 2009, the inverse of the noon buying rate in
    New York City for cable transfers in Canadian dollars as
    certified for customs purposes by the Federal Reserve Bank of
    New York was Cdn.$1.2388 = U.S.$1.00.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-2
<A name='103'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">WHERE YOU
    CAN FIND MORE INFORMATION</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This Prospectus Supplement and the Prospectus form part of a
    registration statement on
    <FONT style="white-space: nowrap">Form&#160;F-10</FONT>
    relating to the Trust&#160;Units that the Trust has filed with
    the SEC (the &#147;<B>Registration Statement</B>&#148;). This
    Prospectus Supplement and the Prospectus do not contain all of
    the information set forth in the Registration Statement, certain
    parts of which are omitted in accordance with the rules and
    regulations of the SEC. United States investors should refer to
    the Registration Statement and the exhibits to the Registration
    Statement for further information with respect to the Trust and
    the Trust&#160;Units.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust files annual and quarterly reports, material change
    reports and other information with the securities commissions or
    similar regulatory authorities in each of the provinces of
    Canada and with the SEC. Under a multi-jurisdictional disclosure
    system adopted by the United States and Canada, these reports
    and other information (including financial information) may be
    prepared in accordance with the disclosure requirements in
    Canada, which differ from those in the United States.
    Prospective investors may read and download any public document
    that the Trust has filed with securities commissions or similar
    regulatory authorities in each of the provinces of Canada on the
    System for Electronic Document Analysis and Retrieval, which is
    commonly known by the acronym SEDAR, and which may be accessed
    at <U>www.sedar.com</U>. Prospective investors may read any
    document that the Trust files with or furnishes to the SEC at
    the SEC&#146;s public reference room at 100 F Street, N.E.,
    Washington, D.C. 20549. Prospective investors may also obtain
    copies of the same documents from the public reference room of
    the SEC at 100 F Street, N.E., Washington, D.C. 20549 by paying
    a fee. Please call the SEC at
    <FONT style="white-space: nowrap">1-800-SEC-0330</FONT>
    or contact it at <U>www.sec.gov</U> for further information on
    the public reference room. The Trust&#146;s filings are also
    electronically available from the SEC&#146;s Electronic Document
    Gathering and Retrieval System, which is commonly known by the
    acronym EDGAR, and which may be accessed at <U>www.sec.gov</U>,
    as well as from commercial document retrieval sources.
</DIV>
<A name='104'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">DOCUMENTS
    FILED AS PART&#160;OF THE REGISTRATION STATEMENT</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The following documents are being or will be filed with the SEC
    as part of the Registration Statement: the documents referred to
    under the heading &#147;Documents Incorporated by
    Reference&#148;; the consents of KPMG LLP; the consent of
    Bennett Jones LLP; the consent of Felesky Flynn LLP; the consent
    of Mayer Brown LLP; the consent of Blake, Cassels&#160;&#038;
    Graydon LLP; and the powers of attorney from the Trust&#146;s
    trustees and Precision&#146;s officers.
</DIV>
<A name='105'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">FORWARD-LOOKING
    STATEMENTS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Certain statements contained in this Prospectus Supplement and
    the Prospectus, and in certain documents incorporated by
    reference into this Prospectus Supplement and the Prospectus,
    including statements that contain words such as
    &#147;could&#148;, &#147;should&#148;, &#147;can&#148;,
    &#147;anticipate&#148;, &#147;estimate&#148;,
    &#147;propose&#148;, &#147;plan&#148;, &#147;expect&#148;,
    &#147;believe&#148;, &#147;will&#148;, &#147;may&#148; and
    similar expressions and statements relating to matters that are
    not historical facts constitute &#147;forward-looking
    information&#148; within the meaning of applicable Canadian
    securities legislation and &#147;forward-looking
    statements&#148; within the meaning of the &#147;safe
    harbor&#148; provisions of the United States Private Securities
    Litigation Reform Act of 1995 (collectively,
    &#147;<B>forward-looking information and statements</B>&#148;).
    In particular, forward-looking information and statements
    include, but are not limited to:  the timing and amount of
    future cash distributions, the impact of reductions in commodity
    prices; the potential impact and benefits of the Acquisition (as
    defined herein); the opportunities stemming from a focus on
    global contract drilling through United States expansion,
    international diversification opportunities and complementary
    product line expansion; that new drilling rigs are expected to
    be contracted with customers before completion; the number of
    rigs under daywork term contracts in Canada, the United States
    and Mexico; the global economic crisis and its impact on
    operations; the decline rate on newly drilled wells; the
    potential rebound in land drilling activity; the integration of
    Precision and Grey Wolf (as defined herein); commodity prices;
    the timing of completion of rigs in Precision&#146;s rig build
    program; the impact of shale gas drilling in Canada and the
    United States; that unconventional drilling applications will
    require high performance drilling rigs; that continental natural
    gas will continue to be part of the long-term energy solution
    for North America; that wells have a steep rate of production
    decline in the first year necessitating additional drilling to
    replace rapidly depleting wells; the timing and results of
    international diversification opportunities; that planned asset
    growth will&#160;generally be financed through existing debt
    facilities or cash retained from continuing operations;
    potential downgrades to credit ratings; and statements
    as&#160;to seasonal and weather conditions affecting the
    Canadian oil and natural gas industry and the demand for
    Precision&#146;s&#160;services.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-3

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The forward-looking information and statements contained in this
    Prospectus Supplement and the Prospectus and in certain
    documents incorporated by reference in this Prospectus
    Supplement and the Prospectus are based on certain assumptions
    and analysis made by the Trust in light of its experience and
    its perception of historical trends, current conditions and
    expected future developments as well as other factors it
    believes are appropriate in the circumstances. However, whether
    actual results, performance or achievements will conform to the
    Trust&#146;s expectations and predictions is subject to a number
    of known and unknown risks and uncertainties which could cause
    actual results to differ materially from the Trust&#146;s
    expectations. Such risks and uncertainties include, but are not
    limited to: fluctuations in the price and demand for and supply
    of oil and natural gas; the current global financial crisis and
    the dislocation in the credit markets; fluctuations in the level
    of oil and natural gas exploration and development activities;
    fluctuations in the demand for well servicing, contract drilling
    and ancillary oilfield services; the effects of seasonal and
    weather conditions on operations and facilities; the existence
    of competitive operating risks inherent in well servicing,
    contract drilling and ancillary oilfield services; general
    economic, market or business conditions; changes in laws or
    regulations, including taxation, environmental and currency
    regulations; the lack of availability of qualified personnel or
    management; future capital expenditures and refurbishment,
    repair and upgrade costs; expected completion times for
    refurbishment and upgrade projects; sufficiency of funds for
    required capital expenditures, working capital and debt service;
    liabilities under laws and regulations protecting the
    environment; the impact of purchase accounting; expected
    outcomes of litigation, claims and disputes and their expected
    effects on the Trust&#146;s financial condition and results of
    operations; difficulties and delays in achieving synergies and
    cost savings; the failure to realize anticipated synergies in
    the Acquisition; the Trust&#146;s ability to enter into and the
    terms of future contracts; the adequacy of sources of liquidity;
    the inability to carry out plans and strategies as expected;
    loss of &#147;mutual fund trust&#148; status; the effect of
    Canadian federal government proposals regarding non-resident
    ownership; the conversion of the Trust into a corporate
    structure and other unforeseen conditions which could impact the
    use of services supplied by Precision.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Consequently, all of the forward-looking information and
    statements made in this Prospectus Supplement and the Prospectus
    and in certain documents incorporated by reference in this
    Prospectus Supplement and the Prospectus are qualified by these
    cautionary statements and there can be no assurance that the
    actual results or developments anticipated by the Trust will be
    realized or, even if substantially realized, that they will have
    the expected consequences to or effects on the Trust or its
    business or operations. Readers are therefore cautioned not to
    place undue reliance on such forward-looking information and
    statements. Neither the Trust nor Precision are under any
    obligation to publicly update or revise any forward-looking
    information or statements except as expressly required by
    applicable securities laws.</B>
</DIV>
<A name='106'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">DOCUMENTS
    INCORPORATED BY REFERENCE</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Information has been incorporated by reference in this
    Prospectus Supplement and the Prospectus from documents filed
    with securities commissions and similar regulatory authorities
    in Canada and with the SEC.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This Prospectus Supplement is incorporated by reference into the
    Prospectus as of the date hereof and only for the purposes of
    the distribution of the Trust&#160;Units offered hereby,
    including Trust&#160;Units offered pursuant to the
    Over-Allotment Option granted to the Underwriters. Other
    documents are also incorporated or deemed to be incorporated by
    reference into the Prospectus and reference should be made to
    the Prospectus for full details.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Under applicable securities laws in Canada and the United
    States, the Canadian securities commissions or similar
    regulatory authorities and the SEC allow the Trust to
    incorporate by reference certain information that it files with
    the Canadian securities commissions, the SEC or similar
    authorities, which means that the Trust can disclose important
    information to prospective investors by reference to those
    documents. Information that is incorporated by reference is an
    important part of the Prospectus and this Prospectus Supplement.
    The following documents of the Trust have been filed with the
    various securities commissions or similar regulatory authorities
    in the provinces of Canada and with the SEC and are specifically
    incorporated by reference into and form an integral part of the
    Prospectus and this Prospectus Supplement:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="95%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    1.&#160;
</TD>
    <TD align="left">    the annual information form of the Trust dated March&#160;25,
    2008 for the year ended December&#160;31, 2007 (the
    &#145;&#145;<B>AIF</B>&#148;);
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    2.&#160;
</TD>
    <TD align="left">    the audited comparative consolidated financial statements of the
    Trust as at and for the years ended December&#160;31, 2007 and
    2006, together with the notes thereto, the auditors&#146; report
    thereon and the auditors&#146; report on internal control over
    financial reporting as of December&#160;31, 2007;
</TD>
</TR>

</TABLE>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-4

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="95%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    3.&#160;
</TD>
    <TD align="left">    management&#146;s discussion and analysis of the financial
    condition and results of operations of the Trust for the year
    ended December&#160;31, 2007;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    4.&#160;
</TD>
    <TD align="left">    the unaudited interim consolidated financial statements of the
    Trust for the three and nine month periods ended
    September&#160;30, 2008;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    5.&#160;
</TD>
    <TD align="left">    management&#146;s discussion and analysis of the financial
    condition and results of operations of the Trust for the nine
    month period ended September&#160;30, 2008;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    6.&#160;
</TD>
    <TD align="left">    the supplemental note entitled &#147;Reconciliation of Financial
    Statements to United States Generally Accepted Accounting
    Principles&#148; for the nine month period ended
    September&#160;30, 2008 and 2007 (the &#147;<B>Interim
    GAAP&#160;Reconciliation</B>&#148;);
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    7.&#160;
</TD>
    <TD align="left">    the information circular of the Trust dated March&#160;28, 2008
    relating to the annual meeting of Unitholders held on
    May&#160;7, 2008;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    8.&#160;
</TD>
    <TD align="left">    the material change report of the Trust dated August&#160;28,
    2008 in respect of the agreement and plan of merger dated
    August&#160;24, 2008 among the Trust, Grey Wolf, Inc.
    (&#147;<B>Grey Wolf</B>&#148;), Precision and Precision Lobos
    Corporation (&#147;<B>Lobos</B>&#148;) pursuant to which the
    Trust agreed to indirectly acquire Grey Wolf (the
    &#145;&#145;<B>Acquisition</B>&#148;);
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    9.&#160;
</TD>
    <TD align="left">    the material change report of the Trust dated December&#160;19,
    2008 in respect of the announcement of the expected principal
    terms of the credit facilities with the Trust&#146;s banking
    syndicate, consisting of Royal Bank of Canada, RBC&#160;Capital
    Markets, Deutsche Bank AG Cayman Islands Branch, Deutsche Bank
    Securities Inc., HSBC Bank Canada, HSBC Bank USA, National
    Association and The Toronto-Dominion Bank (collectively, the
    &#147;<B>Commitment Banks</B>&#148;), in conjunction with the
    Acquisition;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    10.&#160;
</TD>
    <TD align="left">    the material change report of the Trust dated December&#160;23,
    2008 in respect of the completion of the Acquisition pursuant to
    the agreement and plan of merger among the Trust, Grey Wolf,
    Precision and Lobos dated August&#160;24, 2008, as amended
    December&#160;2, 2008;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    11.&#160;
</TD>
    <TD align="left">    the amended business acquisition report of the Trust dated
    February 9, 2009 in respect of the Acquisition; and
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    12.&#160;
</TD>
    <TD align="left">    the press release of the Trust dated February 9, 2009 in respect
    of, among other things, the financial results of the Trust for
    the three months and year ended December&#160;31, 2008 and the
    suspension of monthly distributions of the Trust.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Any documents of the type required by National Instrument
    <FONT style="white-space: nowrap">44-101</FONT>
    <I>Short Form&#160;Prospectus Distributions</I> to be
    incorporated by reference in a short form prospectus including
    any material change reports (excluding confidential material
    change reports), comparative interim financial statements,
    comparative annual financial statements and the auditors&#146;
    report thereon, management&#146;s discussion and analysis of
    financial condition and results of operations, information
    circulars, annual information forms and business acquisition
    reports filed by the Trust with the securities commissions or
    similar regulatory authorities in the provinces of Canada
    subsequent to the date of this Prospectus Supplement and prior
    to the termination of this distribution are deemed to be
    incorporated by reference in this Prospectus Supplement. To the
    extent that any document or information incorporated by
    reference into this Prospectus Supplement is included in a
    report that is filed with or furnished to the SEC, such document
    or information shall be deemed to be incorporated by reference
    as an exhibit to the registration statement of which this
    Prospectus Supplement forms a part.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Any statement contained in the Prospectus or this Prospectus
    Supplement or in a document incorporated or deemed to be
    incorporated by reference in the Prospectus or this Prospectus
    Supplement shall be deemed to be modified or superseded for the
    purposes of the Prospectus and this Prospectus Supplement to the
    extent that a statement contained herein or in any other
    subsequently filed document which also is, or is deemed to be,
    incorporated by reference in the Prospectus or this Prospectus
    Supplement modifies or supersedes such statement. The modifying
    or superseding statement need not state that it has modified or
    superseded a prior statement or include any other information
    set forth in the document that it modifies or supersedes. The
    making of a modifying or superseding statement shall not be
    deemed an admission for any purposes that the modified or
    superseded statement, when made, constituted a
    misrepresentation, an untrue statement of a material fact or an
    omission to state a material fact that was required to be stated
    or that was necessary to make a statement not misleading in
    light of the circumstances in which it was made. Any statement
    so modified or superseded shall not be deemed, except as so
    modified or superseded, to constitute a part of this Prospectus
    Supplement or the Prospectus.</B>
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-5

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Upon a new annual information form and corresponding annual
    financial statements and related management&#146;s discussion
    and analysis being filed by the Trust with, and where required,
    accepted by, the applicable securities regulatory authorities
    during the currency of the Prospectus or this Prospectus
    Supplement, as applicable, the previous annual information form
    and all annual financial statements, interim financial
    statements and the related management&#146;s discussion and
    analysis, material change reports, business acquisition reports
    and information circulars filed prior to the commencement of the
    Trust&#146;s financial year in respect of which the new annual
    information form is filed shall be deemed no longer to be
    incorporated by reference into the Prospectus or this Prospectus
    Supplement for purposes of future offers and sales of securities
    of the Trust under the Prospectus. Upon interim consolidated
    financial statements and the related management&#146;s
    discussion and analysis being filed by the Trust with the
    applicable securities regulatory authorities during the currency
    of the Prospectus and this Prospectus Supplement, as applicable,
    all interim consolidated financial statements and the related
    management&#146;s discussion and analysis filed prior to the new
    interim consolidated financial statements shall be deemed no
    longer to be incorporated in the Prospectus or this Prospectus
    Supplement for purposes of future offers and sales of securities
    of the Trust under the Prospectus. Upon a new management
    information circular and proxy statement relating to an annual
    meeting of Unitholders being filed by the Trust with the
    applicable securities regulatory authorities during the currency
    of the Prospectus and this Prospectus Supplement, as applicable,
    the management information circular and proxy statement for the
    preceding annual meeting of Unitholders shall be deemed no
    longer to be incorporated into the Prospectus or this Prospectus
    Supplement for purposes of future offers and sales of securities
    of the Trust under the Prospectus.
</DIV>
<A name='107'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">PRECISION
    DRILLING TRUST</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust is an unincorporated open-ended investment trust
    established under the laws of the Province of Alberta pursuant
    to a declaration of trust dated September&#160;22, 2005 (the
    &#147;<B>Declaration of Trust</B>&#148;). The beneficiaries of
    the Trust are the Unitholders. The Trust&#146;s principal
    undertaking is to issue Trust&#160;Units and to carry on the
    business of the provision of land-based contract drilling
    services to oil and gas exploration and production companies
    through its direct and indirect subsidiaries. This business is
    carried out in two segments consisting of contract drilling
    services and completion and production services. Contract
    drilling services include land drilling services, camp and
    catering services, procurement and distribution of oilfield
    supplies and the manufacture and refurbishment of drilling and
    service rig equipment. Completion and production services
    include service rig well completion and workover services,
    snubbing services, wastewater treatment services and the rental
    of oilfield surface equipment, tubulars and well control
    equipment and wellsite accommodations.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    As of the date of this Prospectus Supplement, management
    believes that the Trust is the second largest land driller in
    North America, based on the number of rigs in its drilling rig
    fleet. The Trust presently operates in most conventional and
    unconventional oil and natural gas basins in Canada and the
    United States and has an emerging presence in Mexico. Management
    believes that the Trust&#146;s high performance drilling rigs,
    supply chain management systems and technology, together with
    its United States customer base, deep drilling capabilities and
    positions in United States basins, provides it with a
    substantial foundation for expansion, both in North America and
    internationally. After giving effect to the Acquisition, as of
    the date of this Prospectus Supplement, the Trust has a high
    quality fleet consisting of 371 drilling rigs and 229 service
    rigs and 28 snubbing units. In addition, Precision presently
    offers its customers a complementary suite of wellsite products
    and services including camp and catering, wastewater treatment,
    snubbing and rental equipment. Most of these operations and the
    service rig business are located in Canada. Costs of
    approximately U.S.$207.7 million (after accounting for
    applicable discounts), including a U.S.$25 million break-up fee
    payable by Grey Wolf to a third party, debt issuance costs,
    professional services fees, severance costs and other costs were
    incurred in respect of the Acquisition.
</DIV>
<A name='108'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">RECENT
    DEVELOPMENTS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>
<A name='135'>
<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Suspension
    of Monthly Distributions</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>On February&#160;9, 2009, the Trust announced that it had
    suspended cash distributions for an indefinite period. This
    measure was taken in response to lower financial operating
    performance at the start of 2009.  Accordingly, Precision will
    not pay a distribution in March 2009 to Unitholders or holders
    of Exchangeable Units (as defined herein) of record on
    February&#160;27, 2009, or for an indefinite period thereafter.
    The previously announced distribution of $0.04 per unit payable
    on February 17, 2009 to Trust and Precision Drilling Limited
    Partnership (&#147;PDLP&#148;) unitholders of record on January
    30, 2009 is unaffected by the suspension.  The Trust will
    continue to monitor its financial situation and evaluate the
    possibility of the reinstatement of monthly cash distributions
    based </B>
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-6

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>on the relevant factors in effect from time to time. See
    &#147;Risk Factors&#160;&#151; Distributions on the Trust Units
    have been suspended and may not be reinstated&#148;.</B>
</DIV>
<A name='109'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Proposed
    Financing Arrangements</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In addition to the Offering by the Trust, Precision is
    investigating alternative new debt financing arrangements, which
    may include the issuance of an aggregate principal amount of
    approximately U.S.$250&#160;million of senior unsecured debt
    (the &#147;<B>Debt</B>&#148;). Such new debt arrangements would
    be structured to further enhance overall corporate liquidity and
    better align Precision&#146;s overall capitalization to meet its
    operating requirements and are expected to be used to repay all
    or a portion of any remaining outstanding indebtedness under,
    and replace, Precision&#146;s U.S.$400&#160;million unsecured
    bridge credit facility (the &#147;<B>Bridge Facility</B>&#148;)
    that was established in order to facilitate the completion of
    the Acquisition.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>The terms and conditions of the proposed debt financing
    arrangements have yet to be finalized.</B> In the event
    Precision is able to successfully complete an offering of Debt,
    Precision anticipates that the Debt would have a six year term
    and pay interest in cash semi-annually in arrears at a rate to
    be determined by Precision and its financial advisors. The Debt
    would constitute general unsecured obligations of Precision and
    rank senior in right of payment to all future obligations of
    Precision that are, by their terms, expressly subordinated in
    right of payment to the Debt and <I>pari passu</I> in right of
    payment with all existing and future obligations of Precision
    that are not so subordinated. Precision also anticipates that
    the Debt would be unconditionally, jointly and severally
    guaranteed, on a senior unsecured basis, by the Trust and
    substantially all of the Canadian and United States subsidiary
    entities of the Trust. The Debt would be able to be redeemed, in
    whole or in part, in certain circumstances by Precision,
    including upon the payment of certain premiums, upon the
    completion of future equity offerings and upon the occurrence of
    a change in control. Finally, Precision expects that the terms
    of the Debt would include limitations on, among other things,
    additional indebtedness, restricted payments (including
    distributions by the Trust), transactions with affiliates, the
    creation of liens, dispositions of assets and mergers.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>There can be no assurance that Precision will be able to
    complete the proposed debt financing arrangements on the general
    terms and conditions described above, or on terms and conditions
    acceptable to Precision or at all. See &#147;Risk
    Factors&#160;&#151; Proposed Financing Arrangements&#148;.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This Prospectus Supplement is not an offer to sell or the
    solicitation of an offer to buy any Debt. No prospectus
    qualifying the distribution of the Debt has been filed with any
    securities regulatory authority in Canada. The distribution of
    any Debt in Canada will be made in reliance on prospectus
    exemptions under applicable Canadian securities legislation. The
    Debt has not been registered under the United States
    <I>Securities Act of 1933</I>, as amended, and may not be
    offered or sold in the United States absent registration or an
    applicable exemption from registration thereunder.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-7
<A name='110'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">PRICE
    RANGE AND TRADING VOLUME OF THE TRUST&#160;UNITS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust&#160;Units trade on the TSX under the trading symbol
    &#147;PD.UN&#148; and on the NYSE under the trading symbol
    &#147;PDS&#148;. The following table sets forth the price range
    and trading volumes for the Trust&#160;Units on each of the TSX
    and NYSE as reported by each of the TSX and NYSE for the periods
    indicated:
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="45%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="7%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="4%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="4%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="7%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 10pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="10" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>TSX</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="10" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>NYSE</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
<DIV style="border-bottom: 1px solid #000000; width: 1%; padding-bottom: 1px">
    <B><FONT style="font-size: 10pt">Period</FONT></B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B><FONT style="font-size: 10pt">High</FONT></B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B><FONT style="font-size: 10pt">Low</FONT></B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B><FONT style="font-size: 10pt">Volume</FONT></B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B><FONT style="font-size: 10pt">High</FONT></B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B><FONT style="font-size: 10pt">Low</FONT></B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B><FONT style="font-size: 10pt">Volume</FONT></B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    ($)
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    ($)
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    (U.S.$)
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    (U.S.$)
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 1pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <B><U>2008</U></B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    January
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    18.01
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11,590,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    17.70
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11,207,500
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    February
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    22.53
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    17.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15,376,500
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    22.91
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    17.10
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12,324,600
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    March
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    24.00
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    19.61
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    9,854,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    23.53
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    19.46
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15,555,500
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    April
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    27.46
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    22.55
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15,213,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    27.25
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    21.89
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    17,651,700
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    May
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    28.39
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    24.50
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    10,294,240
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    28.38
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    24.03
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12,247,600
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    June
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    28.93
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    26.05
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13,593,300
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    28.59
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    25.76
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    17,062,200
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    July
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    28.09
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    21.30
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15,021,570
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    28.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    21.01
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    18,696,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    August
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    23.45
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    20.53
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    19,240,300
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    22.89
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    19.30
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    25,310,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    September
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    22.32
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    16.00
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    20,875,900
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    21.05
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.42
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    31,877,200
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    October
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    17.84
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    9.99
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    22,500,900
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    16.82
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.41
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    42,644,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    November
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.90
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.10
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14,142,500
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.06
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.36
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    34,437,300
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    December
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.77
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14,587,520
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    9.65
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.57
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    44,393,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    <B><U>2009</U></B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    January
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    10.44
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.02
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14,505,500
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.54
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.92
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    37,646,500
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    February (1-6)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.18
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.35
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8,619,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.98
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    3.53
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13,168,400
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    On February&#160;6, 2009, the last trading day prior to the
    public announcement of the Offering, the closing price of the
    Trust&#160;Units on the TSX was $4.95 and the closing price of
    the Trust&#160;Units on the NYSE was U.S.$3.98.
</DIV>
<A name='111'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">USE OF
    PROCEEDS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The estimated net proceeds from the Offering will be
    approximately
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    (U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; if
    the Over-Allotment Option is exercised in full) after deducting
    the fees payable to the Underwriters and expenses of the
    Offering, estimated to be
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;. See
    &#147;Plan of Distribution&#148;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Pursuant to the terms of the convertible notes, of Grey Wolf
    which were assumed by Lobos (which has been subsequently renamed
    as <B>&#147;</B>Precision Drilling Oilfield Services
    Corporation&#148; (&#147;<B>PDOS</B>&#148;)) pursuant to the
    Acquisition, on January&#160;22, 2009, PDOS, as successor to
    Grey Wolf, made a &#147;change of control&#148; offer to the
    holders of the convertible notes to repurchase any or all of the
    outstanding convertible notes at 100% of the principal amount
    thereof, plus accrued but unpaid interest, if any, to the date
    of the repurchase, payable in cash. The Trust anticipates that
    holders of convertible notes will tender their notes to the
    offer and the tendered notes will be repurchased on March 23,
    2009.  The net proceeds from the Offering and, to the extent
    necessary after the use of the net proceeds of the Offering,
    borrowings under the Bridge Facility will be used to pay for the
    convertible notes tendered to the offer. To the extent that the
    net proceeds of the Offering exceed the amount payable for the
    convertible notes tendered to the offer, such proceeds will be
    used to fund capital expenditures and for general corporate
    purposes of Precision. See &#147;Recent Developments&#160;&#151;
    Acquisition of Grey Wolf, Inc.&#148;, &#147;Consolidated
    Capitalization of the Trust&#148; and &#147;Material Debt&#148;
    in the Prospectus and &#147;Relationship Among the Trust and
    Certain Underwriters&#148; in this Prospectus Supplement.
</DIV>
<A name='112'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">PLAN OF
    DISTRIBUTION</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Pursuant to an underwriting agreement (the &#147;<B>Underwriting
    Agreement</B>&#148;) dated as of February&#160;9, 2009 among the
    Trust, Precision and the Underwriters, the Trust has agreed to
    issue and sell an aggregate
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    Trust&#160;Units to the Underwriters, and the Underwriters have
    severally agreed to purchase such Trust&#160;Units at a price of
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; per
    Trust&#160;Unit on February&#160;18, 2009 or such other date not
    later than February&#160;27, 2009 as the Trust and the
    Underwriters may
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-8

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    agree, payable in cash to the Trust against delivery of the
    Trust&#160;Units. The terms of the Offering were determined by
    negotiation among the Trust and the Underwriters.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The obligations of the Underwriters under the Underwriting
    Agreement are several and not joint, and may be terminated at
    their discretion upon the occurrence of certain stated events.
    If an Underwriter fails to purchase the Trust&#160;Units that it
    has agreed to purchase, the other Underwriters may, but are not
    obligated to, purchase the Trust&#160;Units. The Underwriters
    are, however, obligated to take up and pay for all
    Trust&#160;Units if they are purchased under the Underwriting
    Agreement. The Underwriting Agreement also provides that the
    Trust will indemnify the Underwriters and their directors,
    officers, agents, shareholders and employees against certain
    liabilities and expenses.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    It is expected that closing will occur on or about
    February&#160;18, 2009, or such other date not later than
    February&#160;27, 2009 as the Trust and the Underwriters may
    agree.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In addition, the Trust has granted to the Underwriters the
    Over-Allotment Option to purchase up to an
    additional&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    Trust&#160;Units, representing up to 15% of the Offering of
    Trust&#160;Units, at a price of
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; per
    Trust&#160;Unit on the same terms and conditions as the Offering
    of the Trust&#160;Units, exercisable in whole or in part from
    time to time, not later than the 30th day following the closing
    of the Offering to cover over-allotments, if any, and for market
    stabilization purposes. If the Over-Allotment Option is
    exercised in full, the total offering price, Underwriters&#146;
    fee and net proceeds to the Trust (before deducting expenses of
    the Offering) will be
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; and
    U.S.$&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    respectively. This Prospectus Supplement also qualifies for
    distribution the issuance of the additional Trust&#160;Units
    pursuant to the exercise of the Over-Allotment Option.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Pursuant to rules and policy statements of certain securities
    regulators, the Underwriters may not, at any time during the
    period ending on the date the selling process for the
    Trust&#160;Units offered under this Prospectus Supplement ends
    and all stabilization arrangements relating to the
    Trust&#160;Units are terminated, bid for or purchase
    Trust&#160;Units. The foregoing restrictions are subject to
    certain exceptions including: (a)&#160;a bid for or purchase of
    Trust&#160;Units if the bid or purchase is made through the
    facilities of the TSX in accordance with the Universal Market
    Integrity Rules of Market Regulation&#160;Services Inc.;
    (b)&#160;a bid or purchase on behalf of a client, other than
    certain prescribed clients, provided that the client&#146;s
    order was not solicited by the Underwriter, or if the
    client&#146;s order was solicited, the solicitation occurred
    before the period of distribution as prescribed by the rules;
    and (c)&#160;a bid or purchase to cover a short position entered
    into prior to the period of distribution as prescribed by the
    rules. The Underwriters may engage in market stabilization or
    market balancing activities on the TSX where the bid for or
    purchase of the Trust&#160;Units is for the purpose of
    maintaining a fair and orderly market in the Trust&#160;Units,
    subject to price limitations applicable to such bids or
    purchases. Such transactions, if commenced, may be discontinued
    at any time.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust has agreed that, subject to certain exceptions, it
    will not offer or issue, or enter into an agreement to offer or
    issue, Trust&#160;Units or any securities convertible or
    exchangeable into Trust&#160;Units for a period of 90 days
    subsequent to the closing date of the Offering without the
    consent of the Underwriters, which consent may not be
    unreasonably withheld.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Underwriters propose to offer the Trust Units initially at
    the offering price specified above. After a reasonable effort
    has been made to sell all of the Trust Units at the price
    specified, the Underwriters may subsequently reduce the selling
    price to investors from time to time in order to sell any of the
    Trust Units remaining unsold.  In the event the offering price
    of the Trust Units is reduced, the compensation received by the
    Underwriters will be decreased by the amount that the aggregate
    price paid by the purchasers for the Trust Units is less than
    the gross proceeds paid by the Underwriters to the Trust for the
    Trust Units.  Any such reduction will not affect the proceeds
    received by the Trust.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust has been advised by the Underwriters that, subject to
    applicable laws, in connection with the Offering, the
    Underwriters may effect transactions that stabilize or maintain
    the market price of the Trust&#160;Units at levels other than
    those that might otherwise prevail in the open market. Such
    transactions, if commenced, may be discontinued at any time.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust has applied to list the Trust&#160;Units distributed
    under this Prospectus Supplement on each of the TSX and the
    NYSE. Listing will be subject to the Trust fulfilling all of the
    listing requirements of each of the TSX and the NYSE.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Because more than 10% of the proceeds of the Offering, not
    including underwriting compensation, may be received by
    affiliates of the Underwriters, the Offering is being conducted
    in compliance with the Financial Industry Regulatory Authority
    (formerly the National Association of Securities Dealers
    (&#147;<B>NASD</B>&#148;)) Conduct Rule&#160;5110(h). Pursuant
    to that rule, the appointment of a qualified independent
    Underwriter is not necessary in connection with the Offering, as
    the Offering is of a class of equity securities for which a
    &#147;bona fide independent market&#148;, as defined by the NASD
    rules, exists as of the date of the filing of the Trust&#146;s
    registration statement and as of the effective date thereof.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-9
<A name='113'>
<DIV style="margin-top: 8pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Notice to
    Prospective Investors in the European Economic Area</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In relation to each member state of the European Economic Area
    that has implemented the Prospectus Directive (each, a
    &#147;<B>relevant member state</B>&#148;), an offer to the
    public of any Trust&#160;Units which are the subject of the
    offering contemplated by this Prospectus Supplement may not be
    made in that relevant member state prior to the publication of a
    prospectus in relation to such Trust&#160;Units that has been
    approved by the competent authority in that relevant member
    state or, where appropriate, approved in another relevant member
    state and notified to the competent authority in that relevant
    member state, all in accordance with the Prospectus Directive,
    except that an offer to the public in that relevant member state
    of Trust&#160;Units may be made at any time under the following
    exemptions under the Prospectus Directive, if they have been
    implemented in that relevant member state:
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="3%"></TD>
    <TD width="97%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    to legal entities which are authorized or regulated to operate
    in the financial markets or, if not so authorized or regulated,
    whose corporate purpose is solely to invest in securities;
</TD>
</TR>


<TR style="line-height: 2pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    to any legal entity which has two or more of: (1)&#160;an
    average of at least 250 employees during the last financial
    year; (2)&#160;a total balance sheet of more than
    &#128;43,000,000; and (3)&#160;an annual net turnover of more
    than &#128;50,000,000, as shown in its last annual or
    consolidated accounts; and
</TD>
</TR>


<TR style="line-height: 2pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    in any other circumstances falling within Article&#160;3(2) of
    the Prospectus Directive,
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    provided that no such offer of Trust&#160;Units shall result in
    a requirement for the publication by the Trust or any
    underwriter of a prospectus pursuant to Article&#160;3 of the
    Prospectus Directive.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    For purposes of this notice, the expression an &#147;offer to
    the public&#148; in relation to any Trust&#160;Units in any
    relevant member state means the communication in any form and by
    any means of sufficient information on the terms of the offer
    and any Trust&#160;Units to be offered so as to enable an
    investor to decide to purchase or subscribe for any
    Trust&#160;Units, as the expression may be varied in that member
    state by any measure implementing the Prospectus Directive in
    that member state, and the expression &#147;Prospectus
    Directive&#148; means Directive 2003/71/EC and includes any
    relevant implementing measure in each relevant member state.
</DIV>

<DIV style="margin-top: 4pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Each purchaser of Trust&#160;Units described in this Prospectus
    Supplement located within a relevant member state will be deemed
    to have represented, acknowledged and agreed that it is a
    &#147;qualified investor&#148; within the meaning of
    Article&#160;2(1)(e) of the Prospectus Directive.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The sellers of the Trust&#160;Units have not authorized and do
    not authorize the making of any offer of the Trust&#160;Units
    through any financial intermediary on their behalf, other than
    offers made by the Underwriters and their respective affiliates
    with a view to the final placement of the Trust&#160;Units as
    contemplated in this Prospectus Supplement. Accordingly, no
    purchaser of the Trust&#160;Units, other than the Underwriters
    and their respective affiliates, is authorized to make any
    further offer of the Trust&#160;Units on behalf of the sellers
    or the Underwriters.
</DIV>
<A name='114'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Notice to
    Prospective Investors in the United Kingdom</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This Prospectus Supplement and the Prospectus are only being
    distributed to, and is only directed at persons who:
    (i)&#160;have professional experience in matters relating to
    investments falling within Article&#160;19(5) of the Financial
    Services and Markets Act 2000 (Financial Promotion) Order 2005
    (as amended, the &#147;<B>financial promotion order</B>&#148;);
    (ii)&#160;are persons falling within Article&#160;49(2)(a) to
    (d)&#160;of the financial promotion order; (iii)&#160;are
    outside the United Kingdom; or (iv)&#160;are persons to whom an
    invitation or inducement to engage in investment activity
    (within the meaning of section&#160;21 of the Financial Services
    and Markets Act 2000, as amended) in connection with the issue
    or sale of any securities may otherwise lawfully be communicated
    or caused to be communicated (all such persons together being
    referred to as &#147;<B>relevant persons</B>&#148;); this
    document is directed only at relevant persons and must not be
    acted on or relied on by persons who are not relevant persons;
    and any investment or investment activity to which this document
    relates is available only to relevant persons and will be
    engaged in only with relevant persons.
</DIV>

<DIV style="margin-top: 24pt; font-size: 1pt">&nbsp;</DIV>
<A name='115'>
<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">RELATIONSHIP
    AMONG THE TRUST&#160;AND CERTAIN UNDERWRITERS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Each of RBC Dominion Securities Inc. and Deutsche Bank
    Securities Inc. is, directly or indirectly, an affiliate of a
    bank or other financial institution that is a lender to
    Precision and to which Precision is presently indebted.
    Consequently, the Trust may be considered to be a connected
    issuer of each of these Underwriters under applicable Canadian
    securities legislation.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    As at December&#160;31, 2008, an aggregate of approximately
    $1,576.6 million was outstanding under the Bridge Facility and
    the U.S.$1.2&#160;billion senior secured credit facility with
    the Commitment Banks and certain other lenders (the
    &#147;<B>Secured </B>
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-10

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>Facility</B>&#148; and, together with the Bridge Facility,
    the &#147;<B>Credit Facilities</B>&#148;). The Trust has
    complied with the terms of the agreements governing the Credit
    Facilities and none of the lenders thereunder have waived any
    breach by the Trust of such agreements since their execution.
    Neither the financial position of the Trust nor the value of the
    security under the Credit Facilities has changed substantially
    since the indebtedness thereunder was incurred.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The decision to distribute the Trust&#160;Units offered
    hereunder and the determination of the terms of the Offering
    were made through negotiations among the Trust and the
    Underwriters. The lenders to the Trust did not have any
    involvement in such decision or determination, but have been
    advised of the issuance and the terms thereof. As a consequence
    of the Offering, each of RBC Dominion Securities Inc. and
    Deutsche Bank Securities Inc. will receive their respective
    share of the Underwriters&#146; fee.
</DIV>

<DIV style="margin-top: 15pt; font-size: 1pt">&nbsp;</DIV>
<A name='116'>
<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">INTEREST
    OF EXPERTS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Certain legal matters relating to the Offering will be passed
    upon on behalf of the Trust by Bennett Jones LLP, with respect
    to matters of Canadian law, Felesky Flynn LLP, with respect to
    matters of Canadian federal income tax law, and by Mayer Brown
    LLP, with respect to matters of United States law, and on behalf
    of the Underwriters by Blake, Cassels&#160;&#038; Graydon LLP,
    with respect to matters of Canadian law, and by
    Shearman&#160;&#038; Sterling LLP, with respect to matters of
    United States law. As at the date hereof, the partners and
    associates of each of Bennett Jones LLP, Felesky Flynn LLP,
    Mayer Brown LLP and Blake, Cassels&#160;&#038; Graydon LLP, as a
    group, each owned, directly or indirectly, less than 1% of the
    outstanding Trust&#160;Units.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">EXPERTS</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The audited comparative consolidated financial statements of the
    Trust as at December&#160;31, 2007 and for each of the years in
    the three year-period ended December&#160;31, 2007, together
    with the notes thereto, the auditors&#146; report thereon and
    the auditors&#146; report on internal control over financial
    reporting as of December&#160;31, 2007, have been incorporated
    by reference in the short form base shelf prospectus and in the
    registration statement and listed in the short form prospectus
    supplement in reliance upon the reports of KPMG LLP, Chartered
    Accountants and upon the authority of said firm as experts in
    accounting and auditing.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The consolidated financial statements and related financial
    statement schedule of Grey Wolf, Inc. as of December 31, 2007
    and 2006, and for each of the years in the three-year period
    ended December 31, 2007, have been incorporated by reference
    herein in reliance upon the report of KPMG LLP, independent
    registered public accounting firm, incorporated by reference
    herein, and upon the authority of said firm as experts in
    accounting and auditing. The audit report covering the December
    31, 2007 consolidated financial statements refers to a change in
    the method of accounting for income taxes as of January 1, 2007,
    accounting for stock-based compensation plans as of January 1,
    2006 and differences in accounting principles generally accepted
    in Canada and the United States.
</DIV>

<DIV style="margin-top: 15pt; font-size: 1pt">&nbsp;</DIV>
<A name='117'>
<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">CANADIAN
    FEDERAL INCOME TAX CONSIDERATIONS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In the opinions of Felesky Flynn LLP, Canadian federal income
    tax counsel to the Trust, and Blake, Cassels&#160;&#038; Graydon
    LLP, Canadian federal income tax counsel to the Underwriters
    (collectively, &#147;<B>Canadian Tax Counsel</B>&#148;) the
    following summary fairly describes the material Canadian federal
    income tax considerations under the Tax Act to subscribers who
    acquire Trust&#160;Units pursuant to the Offering and who hold
    such Trust&#160;Units as capital property, deal with the Trust
    at arm&#146;s length and are not affiliated with the Trust, all
    for purposes of the Tax Act. The considerations under the Tax
    Act will be different for Unitholders who are resident in Canada
    (&#147;<B>Canadian Holders</B>&#148;) and those who are not
    resident in Canada (&#147;<B>Non-Canadian Holders</B>&#148;) for
    purposes of the Tax Act.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Generally, Trust&#160;Units should be considered capital
    property to a Unitholder provided the Unitholder does not use or
    hold such Trust&#160;Units in the course of carrying on a
    business of buying or selling securities and provided the holder
    does not acquire them in one or more transactions considered to
    be an adventure or concern in the nature of trade. A Canadian
    Holder who might not otherwise be considered to hold
    Trust&#160;Units as capital property may, in certain
    circumstances, be entitled to have those units and all other
    &#147;Canadian securities&#148; owned by the holder, as that
    expression is defined in the Tax Act, treated as capital
    property by making an irrevocable election under subsection
    39(4) of the Tax Act. Subscribers considering making the
    election under subsection 39(4) of the Tax Act should consult
    their tax advisors.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-11

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This summary is not applicable to a &#147;financial
    institution&#148; a &#147;specified financial institution&#148;
    nor is it applicable to a subscriber an interest in which would
    be a &#147;tax shelter investment&#148; all as defined in the
    Tax Act, or a subscriber to which the functional currency
    reporting rules in subsection 261(4) of the Tax Act apply.
    Subscribers should consult their own tax advisors with respect
    to an investment in Trust&#160;Units.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This summary is based upon the facts set out in this Prospectus
    Supplement and the Prospectus, a certificate as to certain
    factual matters provided to Canadian Tax Counsel by the Trust,
    the provisions of the Tax Act and accompanying regulations in
    force as of the date of this Prospectus Supplement, relevant
    specific proposals to amend the Tax Act that have been publicly
    announced by the Minister of Finance (Canada) prior to the date
    of this Prospectus Supplement (&#147;<B>Proposed
    Amendments</B>&#148;) and Canadian Tax Counsel&#146;s
    understanding of the current published administrative and
    assessing practices and policies of the Canada Revenue Agency
    (&#147;<B>CRA</B>&#148;). This summary is not exhaustive of all
    possible Canadian federal income tax consequences and, except
    for the Proposed Amendments, does not take into account or
    anticipate any changes in the law, whether by legislative,
    governmental or judicial actions, or changes in the
    administrative or assessing practice or policies of the CRA.
    This summary does not take into account provincial, territorial
    or foreign tax considerations, which may differ significantly
    from those discussed herein. No assurances can be given that
    Proposed Amendments will be enacted as currently proposed or at
    all.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <B>This summary is of a general nature and is not intended to
    be, nor should it be construed to be, legal or tax advice or
    representations to any particular subscriber of
    Trust&#160;Units. Prospective subscribers of Trust&#160;Units
    should consult their own tax advisors in respect of the
    consequences to them of their acquisition, holding and
    disposition of Trust&#160;Units, having regard to their
    particular circumstances.</B>
</DIV>
<A name='118'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Canadian
    Holders</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This portion of the summary is applicable to holders of
    Trust&#160;Units who, for purposes of the Tax Act, at all
    relevant times are resident in or deemed to be resident in
    Canada.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Taxation
    of Trust&#160;Unit Distributions to Canadian
    Holders</FONT></I></B>
</DIV>

<DIV style="margin-top: 9pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <U><FONT style="font-family: 'Times New Roman', Times">Distributions
    on Trust&#160;Units Prior to Application of SIFT Rules</FONT></U>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This portion of the summary describes the taxation of
    distributions on Trust&#160;Units prior to the application of
    the SIFT Rules. For a discussion of how distributions should be
    taxed after the SIFT Rules commence to apply to the Trust, see
    below under the heading &#147;Distributions on Trust&#160;Units
    After Application of SIFT Rules&#148;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A Canadian Holder generally will be required to include in
    computing income for a particular taxation year the portion of
    the net income of the Trust for a taxation year, including
    taxable dividends and net realized taxable capital gains, that
    is paid or payable to the Canadian Holder in that particular
    taxation year, whether such amount is payable in cash or in
    kind, including Trust Units. Income of a Canadian Holder from
    Trust&#160;Units should be considered to be income from property
    for the purposes of the Tax Act. Any loss of the Trust for the
    purposes of the Tax Act cannot be treated as a loss of a
    Canadian Holder.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Provided that appropriate designations are made by the Trust,
    such portions of its net taxable capital gains and taxable
    dividends as are paid or payable to a Canadian Holder will
    effectively retain their character and be treated as such in the
    hands of the Canadian Holder for purposes of the Tax Act. The
    non-taxable portion of such net realized capital gains of the
    Trust that is paid or payable to a Canadian Holder in a year
    will not be included in computing the holder&#146;s income for
    the year and will not reduce the adjusted cost base of the
    holder&#146;s Trust&#160;Units. Any other amount in excess of
    the net income of the Trust that is paid or payable by the Trust
    to a Canadian Holder in a year generally will not be included in
    the Canadian Holder&#146;s income for the year. However, such
    amounts, other than proceeds of disposition of a
    Trust&#160;Unit, generally will reduce the adjusted cost base of
    Trust&#160;Units held by such Canadian Holder. If such adjusted
    cost base becomes a negative amount at any time, that holder
    will be deemed at that time to have realized a capital gain from
    the disposition of Trust&#160;Units equal to such negative
    amount, and such adjusted cost base shall immediately thereafter
    be nil.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Trust Units issued to a Canadian Holder in lieu of a cash
    distribution will have a cost equal to the fair market value of
    such units and will be averaged with the adjusted cost base of
    all other Trust Units held by the Canadian Holder at that time
    as capital property in order to determine the adjusted cost base
    of each Trust Unit.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-12

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A Canadian Holder that throughout the relevant taxation year is
    a &#147;Canadian-controlled private corporation&#148;, as
    defined in the Tax Act, may be liable to pay an additional
    refundable tax of
    6<FONT style="vertical-align: text-top; font-size: 70%;">2</FONT>/<FONT style="font-size: 70%;">3</FONT>%
    on certain investment income, including taxable capital gains
    and certain income of the Trust that is required to be included
    in the holder&#146;s income.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <U><FONT style="font-family: 'Times New Roman', Times">Distributions
    on Trust&#160;Units After Application of SIFT Rules</FONT></U>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Under the SIFT Rules (which are not expected to apply to the
    Trust until January&#160;1, 2011 provided the Trust does not
    exceed &#147;normal growth&#148; before then), distributions to
    Canadian Holders by the Trust of &#147;non-portfolio
    income&#148; for purposes of the Tax Act (which is expected to
    comprise all or substantially all of the income of the Trust)
    would be treated as taxable dividends from a taxable Canadian
    corporation. In the case of a Canadian Holder who is an
    individual, such distributions should qualify for the enhanced
    <FONT style="white-space: nowrap">gross-up</FONT> and
    dividend tax credit applicable to eligible dividends received
    from taxable Canadian corporations. In the case of a Canadian
    Holder that is a corporation, such distributions generally
    should be treated as eligible dividends and be eligible for the
    inter-corporate dividend deduction in computing taxable income.
    A Canadian Holder that is a &#147;private corporation&#148; or a
    &#147;subject corporation&#148; (as defined in the Tax Act)
    generally should be required to pay a
    33<FONT style="vertical-align: text-top; font-size: 70%;">1</FONT>/<FONT style="font-size: 70%;">3</FONT>%
    refundable tax on such distributions under Part&#160;IV of the
    Tax Act to the extent such distributions were deductible in
    computing its taxable income.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Amounts distributed in excess of the income of the Trust are not
    affected by the SIFT Rules. See the above discussion under the
    heading &#147;Distributions on Trust&#160;Units Prior to
    Application of SIFT Rules&#148;.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Disposition
    of Trust&#160;Units held by Canadian Holders</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Where a Canadian Holder disposes of a Trust&#160;Unit, or is
    deemed to dispose of a Trust&#160;Unit, the holder will realize
    a capital gain (or sustain a capital loss) to the extent the
    proceeds of disposition for the Trust&#160;Unit exceed (or are
    less than) the aggregate of the adjusted cost base to the holder
    of the Trust&#160;Unit and reasonable disposition costs. The
    initial cost to a Canadian Holder of a Trust&#160;Unit issued
    hereunder will be equal to the subscription price paid for such
    Trust&#160;Unit. This initial cost will be averaged with the
    adjusted cost base of all other Trust&#160;Units held by that
    Unitholder as capital property to determine the respective
    adjusted cost base of each such Trust&#160;Unit.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Taxation
    of Capital Gains and Capital Losses of Canadian
    Holders</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Under the Tax Act, one half of any capital gain realized by a
    Canadian Holder and the amount of any taxable capital gains
    designated by the Trust in respect of a Canadian Holder will be
    included in such holder&#146;s income as a taxable capital gain.
    Subject to certain specific rules in the Tax Act, one half of
    any capital loss realized by a Canadian Holder generally is
    deducted from any taxable capital gains realized by such holder
    in the year of disposition and any excess may be deducted from
    taxable capital gains realized in the three preceding taxation
    years or in any subsequent taxation year.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A Canadian Holder that throughout the relevant taxation year is
    a &#147;Canadian-controlled private corporation&#148;, as
    defined in the Tax Act, may be liable to pay an additional
    refundable tax of
    6<FONT style="vertical-align: text-top; font-size: 70%;">2</FONT>/<FONT style="font-size: 70%;">3</FONT>%
    on certain investment income, including taxable capital gains.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A capital loss realized on the disposition of a Trust&#160;Unit
    by a Canadian Holder that is a corporation or a trust (other
    than a &#147;mutual fund trust&#148;), whether directly or
    indirectly or as a member of a partnership, may be reduced in
    respect of certain distributions to the Canadian Holder out of
    dividends received by the Trust directly or through a
    partnership of which it is a member and designated by the Trust
    in respect of the Canadian Holder to the extent and under the
    circumstances described in the Tax Act. Canadian Holders to
    which these rules may apply should consult their own tax
    advisors.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Minimum
    Tax</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Capital gains realized on the disposition of capital property
    such as a Trust&#160;Unit may increase a Canadian Holder&#146;s
    liability for minimum tax if such holder is an individual.
</DIV>
<A name='119'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Non-Canadian
    Holders</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This portion of the summary is applicable to holders of
    Trust&#160;Units who, for purposes of the Tax Act, at all
    relevant times are not resident in nor deemed to be resident in
    Canada.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-13

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Taxation
    of Trust&#160;Unit Distributions to Non-Canadian
    Holders</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Until the SIFT Rules begin to apply to the Trust, all income of
    the Trust determined in accordance with the Tax Act (except
    taxable capital gains) paid or credited by the Trust in a
    taxation year to a Non-Canadian Holder generally will be subject
    to Canadian withholding tax at a rate of 25%, subject to a
    reduction in such rate under an applicable tax treaty or
    convention, whether such income is paid or credited in cash or
    in Trust&#160;Units. The rate of Canadian withholding tax
    generally is reduced to 15% in respect of amounts that are paid
    or credited by the Trust to a Non-Canadian Holder that is a
    resident of&#160;the United States for the purposes of the
    <I><FONT style="white-space: nowrap">Canada-United</FONT>
    States Income Tax Convention</I> (1980), as amended
    (the&#160;&#147;<B><FONT style="white-space: nowrap">Canada-United</FONT>
    States Tax Convention</B>&#148;). Under the SIFT Rules,
    commencing January&#160;1, 2011 (provided the Trust does not
    exceed &#147;normal growth&#148; before then), such
    distributions should be characterized as taxable dividends and
    similarly should be subject to Canadian withholding tax at a
    rate of 25%, unless such rate is reduced under the provisions of
    an applicable treaty or convention. A Non-Canadian Holder that
    is a resident of the United States who is entitled to claim the
    benefit of the
    <FONT style="white-space: nowrap">Canada-United</FONT>
    States Tax Convention generally will be entitled to have the
    rate of withholding tax reduced to 15% or nil for certain tax
    exempt holders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust is required to maintain a notional &#147;TCP gains
    balance&#148; (as defined in the Tax Act) to which it must add
    its capital gains from dispositions after March&#160;22, 2004 of
    &#147;taxable Canadian property&#148; (as defined in the Tax
    Act), and from which it must deduct its capital losses from
    dispositions of such property and the amount of all &#147;TCP
    gains distributions&#148; (as defined in the Tax Act) made by it
    in previous taxation years. If the Trust pays an amount to a
    Non-Canadian Holder, makes a designation to treat that amount as
    a taxable capital gain of the Non-Canadian Holder, and the total
    of all such amounts designated by the Trust in a taxation year
    to Non-Canadian Holders and any partnerships which are not
    &#147;Canadian partnerships&#148; for the purposes of the Tax
    Act exceeds 5% of all such designated amounts, such portion of
    that amount as does not exceed the Non-Canadian Holder&#146;s
    pro rata portion of the Trust&#146;s &#147;TCP gains
    balance&#148; (as defined in the Tax Act) for the taxation year
    effectively will be subject to the same Canadian withholding tax
    as described above for distributions of income (other than
    taxable capital gains).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Based in part on representations of the Trust as to certain
    factual matters, a Trust&#160;Unit should not be a
    &#147;Canadian property mutual fund investment&#148; as defined
    in the Tax Act.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Disposition
    of Trust&#160;Units held by Non-Canadian Holders</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A Non-Canadian Holder will be subject to taxation in Canada in
    respect of a capital gain realized on the disposition of
    Trust&#160;Units only if such units constitute &#147;taxable
    Canadian property&#148; as defined in the Tax Act, and the
    Non-Canadian Holder is not afforded relief under an applicable
    income tax treaty or convention. Trust&#160;Units normally
    should not be &#147;taxable Canadian property&#148; at the time
    of the disposition provided that: (i)&#160;the Non-Canadian
    Holder, persons with whom the Non-Canadian Holder does not deal
    at arm&#146;s length (within the meaning of the Tax Act), or the
    Non-Canadian Holder together with such persons, did not own 25%
    or more of the issued Trust&#160;Units at any time during the
    <FONT style="white-space: nowrap">60-month</FONT>
    period preceding the time of the disposition; (ii)&#160;the
    Trust is a &#147;mutual fund trust&#148; at the time of the
    disposition; and (iii)&#160;Trust&#160;Units are not otherwise
    deemed to be &#147;taxable Canadian property&#148;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    A Non-Canadian Holder whose Trust&#160;Units constitute
    &#147;taxable Canadian property&#148; generally will realize a
    capital gain (or capital loss) on the redemption or disposition
    of such units equal to the amount by which the proceeds of
    disposition exceed (or are less than) the aggregate of:
    (i)&#160;such Non-Canadian Holder&#146;s adjusted cost base of
    its Trust&#160;Units so disposed of, determined immediately
    before the redemption or disposition; and (ii)&#160;any
    reasonable costs of disposition, and generally will be subject
    to tax under the Tax Act in respect of any such capital gain in
    the same manner as a Canadian Holder (see above under
    <I>&#147;Taxation of Capital Gains and Capital Losses of
    Canadian Holders&#148;</I>).
</DIV>
<A name='120'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Status of
    the Trust</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    To qualify as a &#147;mutual fund trust&#148; for purposes of
    the Tax Act the Trust must continuously satisfy certain
    requirements as to the nature of its undertakings (primarily
    that it must restrict its activities to the investment of
    funds), its ability to distribute Trust&#160;Units to the
    public, the dispersal of ownership of its Trust&#160;Units and
    the requirement that, unless it meets certain exceptions, it
    must not be reasonable to consider that it was established or is
    maintained primarily for the benefit of Non-Canadian Holders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    As noted above, the Tax Act provides that a trust will not be
    considered to be a &#147;mutual fund trust&#148; for purposes of
    the Tax Act if it is established or is maintained primarily for
    the benefit of non-residents of Canada. However, this
    disqualification
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-14

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    rule does not apply if all or substantially all of the
    trust&#146;s property is property other than &#147;taxable
    Canadian property&#148; as defined in the Tax Act. Although no
    assurances can be provided, all or substantially all of the
    assets of the Trust should be property other than &#147;taxable
    Canadian property&#148; as defined in the Tax Act.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Proposed Amendments provide that a trust will lose its status as
    a &#147;mutual fund trust&#148; if the aggregate fair market
    value of all trust units issued by the Trust and held by one or
    more non-residents of Canada or partnerships that are not
    &#147;Canadian partnerships&#148; (as defined in the Tax Act) is
    more than 50% of the aggregate fair market value of all of the
    Trust&#160;Units issued by the Trust and if more than 10% (based
    on fair market value) of the Trust&#146;s property consists of
    certain types of &#147;taxable Canadian property&#148;,
    &#147;Canadian resource property&#148; or &#147;timber resource
    property&#148;, all as defined in the Tax Act. Since no more
    than 10% of the Trust&#146;s property should be &#147;taxable
    Canadian property&#148;, &#147;Canadian resource property&#148;
    or &#147;timber resource property&#148; these Proposed
    Amendments should not adversely affect the Trust&#146;s status
    as a &#147;mutual fund trust&#148;. However, no assurances can
    be provided that no more than 10% of the Trust&#146;s property
    will be &#147;taxable Canadian property&#148;, &#147;Canadian
    resource property&#148; or &#147;timber resource property&#148;
    and, therefore, that, if enacted, these Proposed Amendments
    would not adversely affect the Trust&#146;s status as a
    &#147;mutual fund trust&#148; under the Tax Act.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Provided the Trust satisfies the foregoing requirements it
    should be a &#147;mutual fund trust&#148; for purposes of the
    Act. If the Trust ceased to qualify as a &#147;mutual fund
    trust&#148; under Tax Act, certain Canadian federal income tax
    considerations would be materially and adversely different in
    certain respects than those described herein.
</DIV>
<A name='121'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Taxation
    of the Trust</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 9pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Taxation
    of the Trust&#160;Prior to Application of SIFT
    Rules</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This portion of the summary describes the taxation of the Trust
    prior to the time it becomes subject to the SIFT Rules.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust is required to include in its income for each taxation
    year all net realized taxable capital gains, dividends, accrued
    interest and amounts of income allocated to it by partnerships
    of which it is a partner. The Trust generally may deduct in
    respect of each taxation year an amount not exceeding 20% of the
    total issue expenses of the Offering and other offerings of its
    Trust&#160;Units or debt obligations (subject to proration for a
    short taxation year) to the extent that those expenses were not
    otherwise deductible in a preceding year, and also generally may
    deduct reasonable management and administration fees incurred by
    it in the year.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    To the extent that the Trust has any income for a taxation year
    after the inclusions and deductions outlined above, the Trust
    will be permitted to deduct all amounts of income which are paid
    or become payable by it to Unitholders in the year. An amount
    will be considered payable to a Unitholder in a taxation year
    only if it is paid in the year by the Trust, or the Unitholder
    is entitled in the year to enforce payment of the amount.
    Canadian Tax Counsel is advised that the Trust intends to
    deduct, in computing its income, the full amount available for
    deduction in each year to the extent of its taxable income for
    the year otherwise determined. As a result of such deductions
    from income, it is expected that the Trust will not be liable
    for any material amount of tax under the Tax Act; however no
    assurances can be given in this regard.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Taxation
    of the Trust under the SIFT Rules</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The SIFT Rules apply to trusts that are resident in Canada for
    purposes of the Tax Act, that hold one or more
    &#147;non-portfolio properties&#148;, and the trust units of
    which are listed on a stock exchange or other public market (a
    &#147;<B>SIFT Trust</B>&#148;). A SIFT Trust effectively is
    subject to tax on its income from non-portfolio properties and
    taxable capital gains from dispositions of non-portfolio
    properties paid, or made payable, to unitholders at a rate
    comparable to the combined federal and provincial corporate
    income tax rate.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In general terms, a trust that existed on October&#160;31, 2006
    and to which the SIFT Rules otherwise would apply (i.e., the
    Trust), should not become a SIFT Trust until the earlier of
    January&#160;1, 2011 or the first day after December&#160;15,
    2006 that the trust exceeds &#147;normal growth&#148; determined
    by reference to guidelines first issued on December&#160;15,
    2006 by the Minister of Finance (Canada) and amended on
    December&#160;4, 2008 (the &#147;<B>Guidelines</B>&#148;). The
    Guidelines provide that a trust should not be considered to
    exceed &#147;normal growth&#148; if the trust does not issue new
    equity (including convertible debentures or other equity
    substitutes) that exceeds the greater of $50&#160;million per
    year or certain specified &#147;safe harbour&#148; amounts based
    on the market capitalization of the trust on October&#160;31,
    2006.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Provided that the Trust does not issue new equity (including
    debt that is convertible into equity) in an amount greater than
    the &#147;safe-harbour&#148; determined by reference to the
    market capitalization of the Trust on October&#160;31, 2006,
    (understood by
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-15

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Canadian Tax Counsel to be approximately $4&#160;billion) the
    Trust should not be considered to exceed &#147;normal
    growth&#148; as set forth in the Guidelines. The Trust has
    advised Canadian Tax Counsel that it has not exceeded the
    &#147;safe-harbour&#148; amounts and that the offering and
    issuance of Trust&#160;Units under this Prospectus Supplement
    should not result in the Trust exceeding the
    &#147;safe-harbour&#148; amounts. No assurances can be provided
    that the Trust will not otherwise become a SIFT Trust prior to
    January&#160;1, 2011.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    As part of its ongoing strategic planning, the Trust will
    continue to examine and evaluate its various strategic
    alternatives, including its ability to reorganize its legal and
    tax structure to mitigate the expected impact of the SIFT Rules.
    While no assurances can be provided regarding the strategic
    alternatives, if any, that may be available, the strategic
    alternatives considered will recognize that the federal
    government first released Proposed Amendments to facilitate the
    conversion of a SIFT Trust to a taxable Canadian corporation
    without undue tax consequences on July&#160;14, 2008 and were
    reintroduced with some modifications on February 6, 2009 in Bill
    C-10 which included certain provisions of the budget tabled in
    the House of Commons on January&#160;27, 2009 and related fiscal
    measures.
</DIV>
<A name='122'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">UNITED
    STATES FEDERAL INCOME TAX CONSIDERATIONS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The following is a general discussion of certain United States
    federal income tax considerations relevant to a U.S. Holder (as
    defined below) who acquires Trust&#160;Units pursuant to the
    Offering. This discussion is based on the provisions of the
    United States Internal Revenue Code of 1986, as amended,
    Treasury regulations, judicial authorities, published positions
    of the United States Internal Revenue Service
    (&#147;<B>IRS</B>&#148;), and other applicable authorities, all
    as currently in effect and all of which are subject to change or
    differing interpretations (possibly with retroactive effect).
    This discussion is limited to U.S. Holders that hold the
    Trust&#160;Units as capital assets for United States federal
    income tax purposes (generally, assets held for investment).
    This discussion does not address all of the tax consequences
    that may be relevant to a particular U.S.&#160;Holder or to U.S.
    Holders that are subject to special treatment under United
    States federal income tax laws, such as:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="3%"></TD>
    <TD width="97%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    financial institutions;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    insurance companies;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    tax-exempt organizations;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    dealers in securities or currencies;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    persons whose functional currency is not the U.S. dollar;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    traders in securities that elect to use a mark to market method
    of accounting;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    United States expatriates;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    persons that hold Trust&#160;Units as part of a straddle, hedge,
    constructive sale or conversion transaction; and
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    United States persons who actually or constructively own
    10&#160;percent or more of the total combined voting power of
    the&#160;Trust.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    If a partnership or other entity treated as a partnership for
    United States federal income tax purposes holds
    Trust&#160;Units, the tax treatment of a partner in the
    partnership generally will depend upon the status of the partner
    and the activities of the partnership. Partnerships and partners
    in such a partnership should consult their tax advisers about
    the tax consequences of owning Trust&#160;Units.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    This discussion does not address the tax consequences of owning
    Trust&#160;Units under state, local or foreign tax laws. No
    assurance can be given that the IRS would not assert, or that a
    court would not sustain, a position contrary to any of the tax
    consequences set forth below.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Holders of Trust&#160;Units should consult with their own tax
    advisors as to the tax consequences of owning Trust&#160;Units
    in their particular circumstances, including the applicability
    and effect of the alternative minimum tax and any state, local
    or foreign and other tax laws and of changes in those laws.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    For purposes of this section, the term &#147;U.S. Holder&#148;
    means a beneficial owner of Trust&#160;Units that for United
    States federal income tax purposes is:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="3%"></TD>
    <TD width="97%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;</TD>
    <TD align="left">
    an individual citizen or resident of the United States;
</TD>
</TR>

</TABLE>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-16

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="3%"></TD>
    <TD width="97%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    a corporation or other entity treated as a corporation for
    United States federal income tax purposes, created or organized
    in or under the laws of the United States or any State or the
    District of Columbia;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    an estate that is subject to United States federal income tax on
    its income regardless of is source; or
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    <TD>    &#149;&#160;
</TD>
    <TD align="left">    a trust, the substantial decisions of which are controlled by
    one or more United States persons and which is subject to the
    primary supervision of a United States court, or a trust that
    validly has elected under applicable Treasury regulations to be
    treated as a United States person for United States federal
    income tax purposes.
</TD>
</TR>

</TABLE>
<A name='123'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Treatment
    of the Trust and the Trust&#160;Units</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust has elected to be classified as a corporation for
    United States federal income tax purposes. For United States
    federal income tax purposes, the Trust&#160;Units will represent
    equity interests in a corporation.
</DIV>
<A name='124'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Distributions
    with Respect to Trust&#160;Units</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Subject to the passive foreign investment company rules
    discussed below, U.S. Holders will include in gross income the
    gross amount of any distributions paid, before reduction for
    Canadian withholding taxes, by the Trust out of its current or
    accumulated earnings and profits, as determined for United
    States federal income tax purposes, as dividend income when the
    dividend is actually or constructively received by the U.S.
    Holder. Distributions in excess of current and accumulated
    earnings and profits, as determined for United States federal
    income tax purposes, will be treated as a return of capital to
    the extent of the U.S. Holder&#146;s basis in its
    Trust&#160;Units and thereafter as capital gain.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Currently, dividends paid by a &#147;qualified foreign
    corporation&#148; to non-corporate U.S. Holders (including
    individual U.S.&#160;Holders) who also meet certain holding
    period requirements will be taxable at a maximum tax rate of 15%
    (5% for non-corporate U.S. Holders in lower tax brackets). The
    Trust expects that it will constitute a qualified foreign
    corporation for United States federal income tax purposes and
    that distributions it makes to non-corporate U.S. Holders that
    are treated as dividends for United States federal income tax
    purposes will be treated as qualified dividend income eligible
    for such reduced maximum rates, provided the applicable holding
    period requirements are met. If dividend distributions by the
    Trust do not qualify for this reduced maximum rate, U.S. Holders
    will be subject to tax on such dividends at ordinary income
    rates (currently at a maximum rate of 35%). In addition, under
    current law, the preferential tax rate for qualified dividend
    income will not be available for taxable years beginning after
    December&#160;31, 2010.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Distributions by the Trust that are treated as dividends for
    United States federal income tax purposes generally will not be
    eligible for the dividends-received deduction generally allowed
    to United States corporations in respect of dividends received
    from certain other United States corporations. The amount of
    such distributions included in income of a U.S.&#160;Holder will
    be the U.S. dollar value of the Canadian dollar payments made,
    determined at the spot Canadian dollar/U.S. dollar exchange rate
    on the date such dividend distribution is included in the income
    of the U.S. Holder, regardless of whether the payment is in fact
    converted into U.S. dollars on such date. Generally, any gain or
    loss resulting from currency exchange fluctuations during the
    period from the date the dividend distribution is included in
    income to the date such dividend distribution is converted into
    U.S. dollars will be treated as ordinary income or loss and will
    not be eligible for the special tax rate applicable to qualified
    dividend income. Such gain or loss will generally be income from
    sources within the United States for foreign tax credit
    limitation purposes.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Distributions by the Trust that are treated as dividends for
    United States federal income tax purposes will be income from
    sources outside the United States for foreign tax credit
    limitation purposes. Depending on the U.S. Holder&#146;s
    circumstances, such dividends may be &#147;passive
    category&#148; or &#147;general category&#148; income for
    foreign tax credit limitation purposes. Subject to certain
    limitations, Canadian tax withheld with respect to distributions
    by the Trust to a U.S. Holder and paid over to Canada will
    generally be creditable against the U.S. Holder&#146;s United
    States federal income tax liability. As discussed above in
    &#147;Canadian Federal Income Tax Considerations&#160;&#151;
    Non-Canadian Holders&#160;&#151; Taxation of Trust&#160;Unit
    Distributions to Non-Canadian Holders&#148;, withholding of
    Canadian tax is imposed at a 25% rate (reduced to 15% for
    recipients that are residents of the United States eligible for
    benefits under the
    <FONT style="white-space: nowrap">Canada-United</FONT>
    States Tax Convention) both on cash and non-cash distributions
    by the Trust to persons that are not Canadian residents.
    However, as certain non-cash distributions by the Trust
    generally will not be included in income for United States
    federal income tax purposes, such Canadian withholding tax may
    exceed a U.S. Holder&#146;s allowable foreign tax credit for the
    taxable year of the distribution. To the extent a refund of the
    tax withheld is available to a U.S. Holder under the laws of
    Canada or under the
    <FONT style="white-space: nowrap">Canada-United</FONT>
    States Tax Convention, the amount of tax withheld that is
    refundable will not be eligible for credit
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-17

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    against the U.S. Holder&#146;s United States federal income tax
    liability, whether or not the refund is actually obtained. The
    foreign tax credit limitation rules are complex and dependent on
    the specific factual circumstances particular to each
    U.S.&#160;Holder. Consequently, each U.S. Holder should consult
    its tax advisor as to the United States federal income tax
    consequences relevant to such U.S. Holder.
</DIV>
<A name='125'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Sale or
    Exchange of Trust&#160;Units</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Subject to the passive foreign investment company rules
    discussed below, a U.S. Holder that sells, exchanges or
    otherwise disposes of Trust&#160;Units generally will recognize
    capital gain or loss for United States federal income tax
    purposes equal to the difference between the U.S. dollar value
    of the amount realized and the U.S. Holder&#146;s tax basis,
    determined in U.S.&#160;dollars, in the Trust&#160;Units. Any
    capital gain or loss generally will be long-term capital gain or
    loss if the U.S. Holder had a holding period for the
    Trust&#160;Units of more than one year at the time of the sale
    or other disposition. Long-term capital gain recognized by a
    non-corporate U.S.&#160;Holder (including an individual
    U.S.&#160;Holder) generally is subject to a maximum United
    States federal income tax rate of 15%. Other capital gains
    generally are currently subject to a maximum United States
    federal income tax rate of 35%. The deductibility of capital
    losses is subject to limitations. Gain realized by a U.S. Holder
    from a sale or other disposition of Trust&#160;Units will
    generally be treated as income from United States sources for
    foreign tax credit limitation purposes.
</DIV>
<A name='126'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Passive
    Foreign Investment Company Rules</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust believes that it is not currently, and does not expect
    to be, treated as a passive foreign investment company for
    United States federal income tax purposes, but this conclusion
    is a factual determination made annually and thus may be subject
    to change. In general, the Trust would be a passive foreign
    investment company with respect to a U.S. Holder if, for any
    taxable year in which the U.S. Holder held Trust&#160;Units, at
    least 75% of the gross income of the Trust for the taxable year
    is passive income or at least 50% of the value, determined on
    the basis of a quarterly average, of the Trust&#146;s assets is
    attributable to assets that produce or are held for the
    production of passive income. If the Trust were to be treated as
    a passive foreign investment company, then unless a U.S. Holder
    makes a
    <FONT style="white-space: nowrap">mark-to-market</FONT>
    election, gain realized on the sale or other disposition of
    Trust&#160;Units would in general not be treated as capital
    gain. Instead, a U.S. Holder would be treated as if the holder
    had realized such gain and certain &#147;excess
    distributions&#148; ratably over the holder&#146;s holding
    period for the Trust&#160;Units and would be taxed at the
    highest tax rate in effect for each such year to which the gain
    was allocated, together with an interest charge in respect of
    the tax attributable to each such year.
</DIV>
<A name='127'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">United
    States Backup Withholding and Information Reporting</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    United States backup withholding and information reporting
    requirements apply to certain payments to certain non-corporate
    U.S. Holders. Information reporting generally will apply to
    payments of distributions on, and proceeds from the sale or
    redemption of, Trust&#160;Units made within the United States to
    a U.S. Holder (other than an &#147;exempt recipient&#148; such
    as a corporation). The payor will be required to withhold on any
    payments within the United States on a Trust&#160;Unit to a
    U.S.&#160;Holder, other than an exempt recipient, such as a
    corporation, if the U.S.&#160;Holder fails to furnish its
    correct taxpayer identification number or otherwise fails to
    comply with, or establish an exemption from, the backup
    withholding requirements. The backup withholding rate is
    currently 28%. Any amount withheld from payments to a
    U.S.&#160;Holder under the backup withholding rules is not an
    additional tax and will be allowed as a refund or
    credit&#160;against the U.S.&#160;Holder&#146;s United States
    federal income tax liability, provided the required information
    is timely furnished to the IRS.
</DIV>
<A name='128'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">RISK
    FACTORS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    An investment in the Trust&#160;Units is subject to certain
    risks. Investors should carefully review and consider all of the
    information contained and incorporated by reference in this
    Prospectus Supplement and the Prospectus, including without
    limitation, the risks described under the heading &#147;Risk
    Factors&#148; in the Prospectus and the risks set out below
    before making an investment decision and consult their own
    experts where necessary.
</DIV>
<A name='129'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Proposed
    Financing Arrangements</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In addition to the Offering by the Trust, Precision is
    investigating alternative new debt financing arrangements, which
    may include the issuance of an aggregate principal amount of
    approximately U.S.$250&#160;million of Debt. The proposed debt
    arrangements are only at the preliminary stage and are subject
    to normal commercial risks that the financing arrangements
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-18

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    may not be completed on the terms currently contemplated and
    described herein or at all. These risks include, but are not
    limited to, risks relating to market conditions, pricing and
    receipt of all necessary corporate approvals. These risks may,
    individually or in the aggregate, cause Precision to have to
    modify, defer or abandon its current plans with respect to
    the&#160;debt financing arrangements. If any of these events
    occur, it may have a material adverse effect on the business,
    financial&#160;condition and results of operations of Precision
    and the Trust and the value of the Trust&#160;Units. See
    &#147;Recent Developments&#160;&#151; Proposed Financing
    Arrangements&#148;.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Distributions
    on the Trust Units have been suspended and may not be
    reinstated.</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    On February&#160;9, 2009, the Trust announced that it had
    suspended cash distributions for an indefinite period. The
    Trust&#146;s ability to resume making cash distributions in the
    future and the actual cash flow available for distribution to
    Unitholders, if any, is a function of numerous factors
    including, among other things, the Trust&#146;s,
    Precision&#146;s and PDLP&#146;s financial performance; debt
    covenants and obligations; working capital requirements; future
    upgrade capital expenditures and future expansion capital
    expenditure requirements for the purchase of property, plant and
    equipment; tax obligations; the impact of interest rates
    <FONT style="white-space: nowrap">and/or</FONT>
    foreign exchange rates; the growth of the general economy; the
    price of crude oil and natural gas; weather; and number of Trust
    Units and Class&#160;B limited partnership units of PDLP
    (&#147;<B>Exchangeable Units</B>&#148;) issued and outstanding.
    Cash distributions may or may not be reinstated, may be
    reinstated at amounts different than historical or recent
    amounts (and subsequently increased or reduced) or may be
    eliminated entirely depending on the Trust&#146;s operations and
    the performance of its assets. The market value of the Trust
    Units may deteriorate if the Trust is unable to reinstate its
    cash distributions or otherwise meet cash distribution
    expectations in the future, and that deterioration may be
    material.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Precision&#146;s
    credit rating and the credit rating of the oilfield sector may
    be downgraded.</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Precision has been informed by Moody&#146;s Investors Service
    that it is considering a downgrade of the outlook for the
    oilfield services sector and by Standard &#038; Poor&#146;s
    Rating Service that it is reviewing individual companies for
    possible downgrading. There can be no assurance that any credit
    rating assigned to Precision or the oilfield services sector
    will not be lowered or withdrawn entirely. In such event,
    Precision&#146;s cost of capital may be adversely affected which
    may adversely affect the trading price or value of the Trust
    Units.
</DIV>
<A name='130'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">ENFORCEABILITY
    OF CIVIL LIABILITIES</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    The Trust is an unincorporated open-ended investment trust
    established under the laws of the Province of Alberta pursuant
    to the Declaration of Trust. Some of the Trust&#146;s trustees
    and its subsidiaries&#146; directors and officers and some of
    the Underwriters and experts named in the Prospectus and this
    Prospectus Supplement, as applicable, are residents of Canada or
    otherwise reside outside the United States, and a substantial
    portion of their assets, and a substantial portion of the
    Trust&#146;s assets, are located outside the United States. The
    Trust has appointed an agent for service of process in the
    United States, but it may be difficult for holders of
    Trust&#160;Units who reside in the United States to effect
    service within the United States upon those trustees, directors,
    officers, Underwriters and experts who are not residents of the
    United States. It may also be difficult for holders of
    Trust&#160;Units who reside in the United States to realize in
    the United States upon judgments of courts of the United States
    predicated upon the civil liability of the Trust and the civil
    liability of the trustees, directors, officers and experts under
    the United States federal securities laws. The Trust has filed
    with the SEC, concurrently with the Registration Statement, an
    appointment of agent for service of process on
    <FONT style="white-space: nowrap">Form&#160;F-X.</FONT>
    Under the
    <FONT style="white-space: nowrap">Form&#160;F-X,</FONT>
    the Trust&#160;appointed Precision Lobos Corporation, which has
    changed its name to PDOS, as its agent for service of process in
    the United States in connection with any investigation or
    administrative proceeding conducted by the SEC, and any
    civil&#160;suit or action brought against or involving the Trust
    in a United States court arising out of or related to or
    concerning the&#160;Offering.
</DIV>

<DIV style="margin-top: 15pt; font-size: 1pt">&nbsp;</DIV>
<A name='131'>
<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">ELIGIBILITY
    FOR INVESTMENT</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    In the opinion of counsel to the Trust and counsel to the
    Underwriters, provided the Trust qualifies as a &#147;mutual
    fund trust&#148; under the Tax Act, the Trust&#160;Units will,
    at the date of issue, be qualified investments for trusts
    governed by &#147;registered retirement savings plans&#148;,
    &#147;registered retirement income funds&#148;, &#147;registered
    education savings plans&#148;, &#147;tax-free savings
    accounts&#148; and &#147;deferred profit sharing plans&#148;
    under the Tax Act and the regulations thereunder.
</DIV>
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="width: 89%; margin-left: 5%"><!-- BEGIN PAGE WIDTH -->

<P align="center" style="font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    S-19

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: 'Times New Roman', Times; color: #000000; background: #FFFFFF">
    Notwithstanding the foregoing, if the Trust&#160;Units being
    offered pursuant to this Prospectus Supplement are
    &#147;prohibited investments&#148; for the purposes of a
    &#147;tax-free savings account&#148;, a holder of the
    &#147;tax-free savings account&#148; will be subject to a
    penalty tax as set out in the Tax Act. A &#147;prohibited
    investment&#148; includes an interest in a trust which does not
    deal at arm&#146;s length with the holder, or an interest in a
    trust (or a corporation, partnership or trust with which the
    trust does not deal at arm&#146;s length) in which the holder,
    either alone or together with persons with whom the holder does
    not deal at arm&#146;s length, has a significant interest
    (within the meaning of the Tax Act). Subscribers are advised to
    consult their own tax advisors in this regard.
</DIV>
</DIV><!-- END PAGE WIDTH -->
</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>2
<FILENAME>o53526o5352600.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 o53526o5352600.gif
M1TE&.#EA^0`]`-4``,#`P$!`0("`@%Z)4?#P\.#@X*"@H!`0$&!@8-#0T,K8
MQC5K)O+V\7F<;J_$J9"0D"`@(%!04%!_0["PL#`P,+S.M^7LXW!P<,G7Q4-U
M-)2PB]?BU(:F?:&ZFFN38#5J)5V(4;O-MGB<;I.PBT)T-&N27^3KXO'U\*[#
MJ*"YF=;ATU!^0H:F?"AA%P```/___P``````````````````````````````
M`````````````````````````````````"'Y!```````+`````#Y`#T```;_
MP)=P2"0J&IF6<LE4+CP=2W%*K5JOV*QVR^UZO^"P>,KH))OHM*3#&+O?\+A\
M3@<[%NF\OK$95YH>=8*#A(5U#`-Z2Q(-&A4*D`H:&@-G2@-]8`U-#H:>GZ"A
M1!MX>AX5;5@6#@VE#5)>I4NIHK6VMV$.>@L:L%8;M$,5F[Q=?TR!N,K+S$7'
M:1Z^5PRL#5%$#!H9$IE9FTR=S>+CH:1Y'5\6'`L9'-TO#AGH6`RR2L'D^?IQ
M#!)I"^^\9$O2SE>'!OB*Z$*VKZ'#,1S^!0S3H=2`<&6N>.#TL*/'+!;R5)"3
M;4F&<%88-%GPL:5+(M^::*AC(9&2DU86+FGPLJ?'_Y!H)!"JN$@!E8U,1OI<
MND]#&J.$+/A;PB&82B8LF6HE-Y7)@#$,(HD="ZEK"PF/(#EEPG.KVV5`.=JQ
MI*AN&J5O\];2N22K0)MV`Z_42UC46K9@(@I>O+.P8T](P:5C3+D%WL>8Z0!>
M`K6+XD4.)FIYYN2%!@D#T&9>[6:S$C!T)23D$E-)`U8#/"C(((VU[RVN6WPA
MW:(S&'LM-@SHI^'VS-_0M;C.\*7V5S'$DR_?IJ#"\^C@J[@6&DNRF-I*UC1P
MUT!"[_#P3:,IHGR`_?OXS9[%S]\^A_=#(*>$!AQ(4"!*\27(UVM$?%;9+J)E
MYX0%87D$0`)77.A&`@!TV/\A`5D4(`@!'I;H81P;H"$-70_F0=T4Z"$&AP$N
MU&AC!""^08`+"%A1@`L7N'&`C38:8,6./0+@P@,O!.#""TB&02.11`8@!W*=
MI=BB7<8)(2`3`'YQ`94U6OF&DDQ6H:218OP(00!P0E`C`&HN^8(`+M!Y@)5H
M2@EG`'*^"6>:<*#WG8-;YM&EA#*ZX2012C[9DI("$!$!CU60""("+A`0I:9O
M7$HG'`4`D"-QU[U`UP=3?,!$"5>4T$27Z.FWP&Q>'`!!$11("B4`(@K!X:A$
M)/"``3F^P.$0$P@@`(;"$IN`LX3>V2$"$4PP!9[:#O&CF4*4&JT0%.S:Y[(D
M%E#_P`,/)/M"`<X6L.P4<N:8[@,"$%!JL@*P2<`#$2#`9I,N!*MJ$VUHN80(
M18301`I7C(!P$<B98UZ;+D10Q`$'O(#``;UV2H"3-5)@[Z4U'A!LN5"&7&.W
M$%`@Q)@VFOFCRWD6<:G!0KC0\8XA]\CR"RY8B2>=+"N)LL\YXIDR!+L6L6/4
M+]`XI`L&C$ELT<I>7>,#``@P9+]"'*9$)XB&4`0+3:APA0A,D"=,$T*AEXP8
ME!(Q`:8D4R`TCP;T6ND+ET8`P*6#<SVF`&%G#*7C#[A`P003#(EAI`\4@'@1
M$'1<!->1=DXGZ"Y4RBF(7#M]@0%#TKGWY%-J7(320XQY_\`%5CXJ1-X!'*`M
MC7`2.7@]7AV\!*M%D-`$%LI3501ZZ'0PV!AX,MZAV"Y@6".TU0NQ(Y^.OTMZ
MI7L.$4"0E!+`<8Z15]K]"WD3P341W[\0N94B)E!ZU2YHF_3^G$K3T=1W@!PM
M;EO[$X*3!@:R(41.6_,CG`&,!:0BF,TR36`8$4[0!.15P01-"`ARI*``-(B&
M"TLCDI'T)[L70(T(;R)<P9B%(1I!L'0\BQP`:$2HO.U,"`^$5`7U5D%.$<N&
M+QB3]JR$1`IX+HG9H]'@[M2_*8AJ""Z@VH]Z)`1.B:A&"""6_;!6!`:PJ`EJ
M(P(&T$`"$+CQC6]<01/XHQ^YH?]A'F'HW)\"$$8AT(A-^B.3E1HX!242K$S0
M\J(7A_#'%PS-8S-T(!F),"9M]8X(>,+0H_17*4-&\%&+%`*>>$:N3H4+4T+8
MVQ1[I4`;0:!;1IP"HUK@P2&L,5&*P",:.#"&"!8ADWZ4W!X#\`#]!6D*NB.`
M`.3$M"9U3'<SRQ[16@C-:(KQ!1SK&;@()H3R(7&3"21:[GQ%N"?*CVI[(]31
ML`@N`RQ-1-4D0F0R2`57X3(/OF!1JKZ@I&,BTU?KG%TXF]5-,T$+`'(:G95>
M.(3.P2^<ON0F$2(7)$X2H7Q;A"*&O%E%\?4HBT.HGT!;&%`9YFAOZ`M6`1)*
M-*J5\8S_+4AC$21VSZ`0P37[]$+D!K8QF8ERD@0K50()\,*,1G!GQG2D*<=8
M*20J:XA8]&DP"_B"O0TLHWUZ5$8-654[]2I'G/*G)*=836@N,*.MU%=$1X&<
M6L[4GC55`AY?@)R<=D%K5(A2*B6W*4S]2&4$X)21^I30?W'-JI`,8^2H.J9@
MI9,(;G(6`D+6+6#NSD[K+%]6`9HS3E'`G37B:1=SUDV7.ND"AYL3T0Y@``!P
M*DD^:^$4I,<$#5H!`[C-K6YQVSRYDF4LP4"#7;D0SR'$3PC,+%F.4LC%=3I-
MN53$4`*\!@%H0;.D7:42!(A5S75>RJ-4U!.X+@6B`E!7FKQ:_^J.9/O</4F*
M9F4JKXVLD+8Q@+`O7;A*\<+`1S4)@&<%0,"@DJ7,`&3+N/GR(P(0T*YQA<M9
MR!I"`J#UKFN&#<(:(L*"(95@`U0*7G0*FR@'YF%O&2!S3J2"L[SUK")X.'/S
MJJJS**RLUEK!'F[]`DV5P$LNE'".";I%!*2J/RXN@SBV!<,)X)J<+ERP!<,-
MLB&<E*_*H7<9Z)$I&&1E$B_HIP7?D3(H]J9"<2!GMVA.,VY1,(+>RK4+<4F*
MF&L!@`M$X+_BF.4];^7D-(1ISN")45Q;@*`L$(]N@)[SE_9\&2T\&<R)EC)Q
M,M`?^RRBTOSA@`-P904+?.G/D?8->LP*/00%)&(!C8[#EUO0EE#'!SF<AD<2
M/!#KZN#3U?$ASMV<081X+(#481!T"WJ,Z_",N@H6N$VON0,686>@UL5^#*RO
M4`$);'H(#K!/E[:P@54KX831SHRN#;T./@QA`PW0#1=*H@=@AWLUQ]9"LEN0
M`0UTPP$:</<0U+'HL[T[/-/VL4V>T`$%,(`![PG+:>J"ZG^#9]SIB%%_^CU'
M4#O<,?$&0QE@NAB<7#PZ^IW%&S90(,I8^^/A6="NWV"!"G!@`(O.`!0LCO+'
$!`$`.S\_
`
end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----
