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TSX-V Symbol "AEC"
CALGARY, Oct. 1 /CNW/ - Action Energy Inc. ("Action" or the "Company")
announces that it has closed a transaction to sell 3.25 net sections of
undeveloped non-producing Crown mineral rights in southeast Saskatchewan to an
industry partner for proceeds of $10.0 million. In addition, the partner has
agreed to carry Action for 50% working interest of the cost of drilling an
exploratory Bakken test well on lands jointly owned by the two companies.
Proceeds from this transaction will be used immediately to reduce bank
indebtedness of Action.
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements including
expectations of future production, cash flow and earnings. These statements
are based on current expectations that involve a number of risks and
uncertainties, which could cause actual results to differ from those
anticipated. These risks include, but are not limited to: the risks associated
with the oil and gas industry (e.g., operational risks in development,
exploration and production; delays or changes in plans with respect to
exploration or development projects or capital expenditures; the uncertainty
of reserve estimates; the uncertainty of estimates and projections relating to
production, costs and expenses, and health, safety and environmental risks),
commodity price, price and exchange rate fluctuation and uncertainties
resulting from potential delays or changes in plans with respect to
exploration or development projects or capital expenditures. Additional
information on these and other factors that could affect Action's operations
or financial results are included in Action's reports on file with Canadian
securities regulatory authorities.
For further information, the full 2007 Audited Financial Statements,
Management Discussion and Analysis and the Annual Information Form have been
posted on the Company's website: www.action-energy.com or, alternatively, can
be viewed at www.sedar.com.
As at June 30, 2008, the Company had 57,256,792 common shares outstanding
and 4,708,507 options outstanding at an average exercise price of $3.27.
Action Energy Inc. is a publicly traded Calgary, Alberta based junior oil
and natural gas exploration and production company with operations
concentrated in core areas in southern Saskatchewan and central and southern
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information:
For further information: Kelly D. Kerr, Vice-President, Finance and
Chief Financial Officer, Action Energy Inc.; ACTION ENERGY INC.: Suite 800,
350 - 7th Avenue S.W., Calgary, Alberta, T2P 3N9, Phone: (403) 264-1112, Fax:
(403) 264-1116, E-mail: email@example.com, Website: