Trading Symbol: BEY - TSX: V
CALGARY, May 17 /CNW/ - Blacksteel Energy Inc. ("Blacksteel" or the
"Company") reports that on April 30, 2011 it entered into a letter of
intent ("LOI") with a third party that contemplated a corporate
transaction. The shares of Blacksteel were halted in accordance with
TSX Venture Exchange Policy 5.2. Upon preliminary due diligence and
further consideration of the terms of the proposed transaction,
Blacksteel's board has determined that it will not proceed with the
proposed transaction. The LOI expired on May 16, 2011 and was not
extended by Blacksteel. The Company expects that its shares will
resume trading today.
The Company is pleased to make note of more licensing activity near its
land position in the Southern Alberta Bakken. Jacques Soroka,
President and CEO said: "Yet another well has been licensed by a major
oil company within less than 2 miles of our land position. This brings
the total licensed and/or drilled wells within 6 miles of our lands to
10 since the Alberta Bakken play emerged early in 2010."
Blacksteel is a junior oil and gas company. Its principal business
activity is the exploration, exploitation, development and production
of petroleum and natural gas resources in Alberta. The Company has a
100% working interest in 22 sections of Crown oil sands leases in the
Peace River area of northern Alberta, a working interest in a natural
gas producing property in the Grassland area of Alberta, has a working
interest in an oil well in the Devon area of central Alberta and has a
100% working interest in a 4 section P&NG lease in the Del Bonita Area
of Southern Alberta.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
This news release may contain forward-looking statements that are not
statements of fact. Although the Company believes that the expectations
reflected in such forward-looking statements are reasonable, it cannot
give any assurance that such expectations will prove to be correct.
Results of the Company may be affected by a variety of variables and
risks associated with oil and gas exploration, production and
transportation and, as a consequence, actual results could differ
materially from those anticipated or implied in the forward-looking
The Company's forward-looking statements, including without limitation,
its expectations regarding the timing for its shares to resume trading,
are expressly qualified in their entirety by this cautionary statement
and are made as of the date of this news release. The resumption of
trading of the Company's shares is subject to regulatory policy and
procedures which are not necessarily in the control of the Company.
Unless otherwise required by applicable securities laws, the Company
does not intend nor does it undertake any obligation to update or
review any forward-looking statements to reflect subsequent
information, event, results or circumstances or otherwise.
SOURCE Blacksteel Energy Inc.
For further information:
President, CEO and Director
Blacksteel Energy Inc.