/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES OF AMERICA./
CALGARY, June 27 /CNW/ - Fairmount Energy Inc. ("Fairmount" or the
"Company") (TSX-V - FMT) is pleased to announce it has renewed its revolving
operating demand loan with a Canadian chartered bank providing an increased
line for up to $10,000,000 in funds for general corporate purposes, including
In addition to the operating demand loan, Fairmount has also renewed with
the same Canadian chartered bank, an increase in its non-revolving acquisition
and development demand loan for up to $4,000,000. This facility is available
to Fairmount for the acquisition of producing petroleum and natural gas
reserves and/or the development of proved non-producing or undeveloped
petroleum and natural gas reserves. Based on prior engineering review,
$3,150,000 of this facility has been made available to the Company for
Security for the loans includes a General Assignment of Book Debts and
floating charge over all of the assets of the Company with the bank having the
option to receive fixed charges on producing properties upon request. Both
loans are subject to an interim review by October 1, 2007 and an annual review
by August 31, 2008.
Fairmount is an emerging junior oil and gas exploration, development and
production company with oil and gas properties located in Alberta, Canada.
Additional information regarding Fairmount can be found at their website
www.fairmountenergy.com and on sedar at www.sedar.com.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information:
For further information: Joseph S. Durante, President and CEO,
JDurante@Fairmountenergy.com or Ryan A. Michaluk, VP Finance and CFO,
RMichaluk@Fairmountenergy.com; Fairmount Energy Inc., 2200, 520 - 5th Avenue
SW, Calgary, Alberta, T2P 3R7, Phone: (403) 355-0440, Fax: (403) 355-0465;
Visit us at our website www.fairmountenergy.com