- $1 Million of Proceeds from Sale Used to Pay Down Debt -
MONTREAL, Sept. 11 /CNW Telbec/ - Gale Force Petroleum Inc. (TSX-V: GFP,
the "Corporation") today announced today that it has sold both its Manitoba
Properties, for total proceeds to the Corporation of $1.75 million from the
sale of these properties.
The Corporation sold its Woodnorth Property near Virden, Manitoba to
Kripa Energy Inc., a private, arms-length Canadian corporation for
$1.2 million cash consideration in addition to $300,000 already received on
August 5, 2008 for the option to purchase the property.
The Corporation sold its non-producing Maples Property, also near Virden,
Manitoba for $250,000 to another arms-length private Canadian corporation.
The Corporation will use $1 million of the proceeds from the sale of the
Manitoban properties to pay down debt held by Primatlantis Capital Inc. The
remaining proceeds will go towards the development of its oil and gas
"The sale of our Manitoban properties has strengthened our balance sheet
and the focus of the Corporation is now on the development of properties with
greater growth prospects such as our Appalachian Shale Gas Property in
Kentucky" said Michael McLellan, President and Chief Executive Officer of the
Corporation. "Production generated by the Manitoban properties is being
replaced and increased by production coming online from our Alberta and
ABOUT GALE FORCE PETROLEUM INC. - www.GaleForcePetroleum.com
Gale Force Petroleum is a public oil and gas corporation focused on
acquiring and developing oil and gas properties in North America, building
shareholder value through growth.
Forward looking statements:
Statements included herein, including those that express management's
expectations or estimates of our future performance, constitute
"forward-looking statements" within the meaning of applicable securities laws.
Forward-looking statements - especially but not limited to any geological or
reservoir information not supported by a NI 51-101 report - are based on
assumptions and estimates that are subject to various risks and uncertainties
including but not limited to geological risk, engineering risks, market risk
and the risks disclosed under the heading "Business Risks" in the
Corporation's periodic filings with Canadian securities regulators, including
most recently in its Management Discussion and Analysis for the exercise ended
June 30, 2007 available on SEDAR. Such information contained herein represents
management's best judgment as of the date hereof based on information
currently available. The Company does not assume the obligation to update any
"The TSX Venture Exchange has not reviewed this release and therefore
does not accept responsibility for its adequacy or accuracy."
For further information:
For further information: Michael McLellan, President and CEO, Gale Force
Petroleum Inc., (514) 333-9292