Salvatore Fuda Announces the Acquisition of an Additional 5,857,143 Common Shares of Echo Energy Canada Inc. (TSX-V: EEI)



    TORONTO, March 7 /CNW/ - Salvatore Fuda announces the acquisition by him
on March 6, 2008 of legal and beneficial ownership and control of
5,857,143 common shares of Echo Energy Canada Inc. (the "Corporation") (TSX-V:
EEI) as part of a private placement (the "Private Placement") by the
Corporation of an aggregate of 7,428,571 common shares. Of the common shares
issued by the Corporation pursuant to the Private Placement, 6,000,000 common
shares were issued at a price of $0.25 per common share and 1,428,571 common
shares were issued on a "flow-through" basis at a price of $0.35 per common
share. Of the common shares of the Corporation acquired by Salvatore Fuda,
5,000,000 common shares were issued to him at a price of $0.25 per common
share for an aggregate consideration of $1,250,000 paid in cash and 857,143
common shares were issued to him on a "flow-through" basis at a price of $0.35
per common share for an aggregate consideration of $300,000.05 paid in cash.
Mr. Fuda is an "accredited investor" as defined in National Instrument 45-106
- Prospectus and Registration Exemptions of the Canadian Securities
Administrators ("NI 45-106") and he purchased the 5,857,143 common shares
pursuant to the Private Placement as principal. As a result, the common shares
issued to Mr. Fuda were issued pursuant to the exemptions from the
registration and prospectus requirements of the Securities Act (Ontario)
applicable to a trade in securities to a purchaser who is an "accredited
investor" purchasing the securities as principal provided for in section 2.3
of NI 45-106. Salvatore Fuda is a director and the Chairman of the
Corporation.
    This press release is being issued in compliance with Section 102.1 of
the Securities Act (Ontario) and similar provisions of the securities
legislation of British Columbia and Alberta and the requirements of National
Instrument 62-103 - The Early Warning System and Related Take-Over Bid and
Insider Reporting Issues of the Canadian Securities Administrators.
    The 5,857,143 common shares of the Corporation acquired by Salvatore Fuda
pursuant to the Private Placement represent approximately 9.73% of the issued
and outstanding common shares of the Corporation following the completion of
the Private Placement.
    Following the completion of the Private Placement, Salvatore Fuda is the
legal and beneficial owner of, and controls, 5,857,143 common shares of the
Corporation representing approximately 9.73% of the issued and outstanding
common shares of the Corporation.
    Salvatore Fuda is also a director of Challenge Gas Holding AB
("Challenge") and an associate of the Fuda 2002 Family Trust (by virtue of
being a trustee of such trust) which indirectly owns and controls 49% of the
issued and outstanding shares of Challenge. A corporation wholly-owned by the
Fuda 2002 Family Trust holds a contractual right to elect 50% of the directors
of Challenge. The Fuda 2002 Family Trust indirectly owns and controls
5,693,970 common shares of the Corporation representing approximately 9.46% of
the issued and outstanding common shares of the Corporation following the
completion of the Private Placement (in addition to the common shares of the
Corporation that are held by Challenge). Challenge is the legal and beneficial
owner of, and controls, 11,016,618 common shares of the Corporation
representing approximately 18.3% of the issued and outstanding common shares
of the Corporation following the completion of the Private Placement.
    Oliver Nepomuceno, a director of the Corporation, is also a director of
Challenge and indirectly owns and controls 51% of the issued and outstanding
shares of Challenge. A corporation indirectly wholly-owned by Oliver
Nepomuceno holds a contractual right to elect 50% of the directors of
Challenge.
    Ontex Resources Limited ("Ontex"), of which Salvatore Fuda is a director
and the Chairman, holds 7,037,436 common shares of the Corporation
representing approximately 11.69% of the issued and outstanding common shares
of the Corporation. However, Salvatore Fuda and the Fuda 2002 Family Trust no
longer beneficially own or exercise control or direction over more than 10% of
the issued and outstanding common shares of Ontex. As a result, Ontex is no
longer an associate of Salvatore Fuda and is no longer deemed to be acting
jointly and in concert with him.
    Leader Capital Corp. ("Leader"), of which Salvatore Fuda is a director
and the Chairman, is the legal and beneficial owner of, and controls,
270,000 common shares of the Corporation representing approximately 0.45% of
the issued and outstanding common shares of the Corporation. The Fuda 2002
Family Trust indirectly owns and controls more than 10% of the issued and
outstanding common shares of Leader.
    Following the completion of the Private Placement, Salvatore Fuda and the
persons and entities with which he is, or is deemed to be, acting jointly and
in concert, beneficially own or control an aggregate of 22,837,731 common
shares of the Corporation representing approximately 37.93% of the issued and
outstanding common shares of the Corporation.
    The calculations of the percentages of the issued and outstanding common
shares of the Corporation set forth in this press release are based upon the
number of issued and outstanding common shares of the Corporation shown in its
unaudited consolidated financial statements for the nine months ended
September 30, 2007, being 52,779,515, plus the 7,428,571 common shares issued
pursuant to the Private Placement.
    On November 22, 2007, Challenge and Salvatore Fuda requisitioned a
meeting of shareholders of the Corporation for the purposes of considering
and, if thought fit, approving a resolution removing Robert Moore and
Salvatore Pacifico as directors of the Corporation and electing Thomas M.
Sheppard and Brian Monrad as directors of the Corporation to fill the
vacancies created by the removal of Robert Moore and Salvatore Pacifico as
directors of the Corporation. Salvatore Fuda understands that the Corporation
intends to call a shareholders meeting to be held on April 22, 2008 in order
to comply with this requisition.
    On December 18, 2007, as a result of a claim (the "Oppression Claim")
filed by Challenge, Exclusive Asset Management Inc., the corporation through
which the Fuda 2002 Family Trust indirectly owns and controls 5,693,970 common
shares of the Corporation, and Salvatore Fuda (collectively, the "Plaintiffs")
on November 26, 2007 in the Ontario Superior Court of Justice against the
Corporation, Gary Conn, Michael Hunter, Robert Moore, David Johnstone and Sal
Pacifico (collectively, the "Defendants"), Mr. Justice Morawetz issued an
interlocutory injunction (the "Injunction") enjoining the Defendants from
proceeding with the Private Placement unless it was made on a basis which
allowed Mr. Fuda to subscribe for 52% or all of the shares issued pursuant to
the Private Placement. On January 30, 2008, Mr. Justice Morawetz clarified his
endorsement made on December 18, 2007 by stating that the endorsement required
Salvatore Fuda to acquire any shares to be issued pursuant to the Private
Placement as purportedly approved by the board of directors of the Corporation
on November 20, 2007 which were not subscribed for by other purchasers. Mr.
Fuda acquired the common shares pursuant to the Private Placement in order to
comply with this order.
    The common shares of the Corporation acquired by Salvatore Fuda pursuant
to the Private Placement were acquired. Salvatore Fuda and/or the persons and
entities with which he is, or is deemed to be, acting jointly and in concert,
may acquire additional securities of the Corporation for investment purposes
from time to time or Salvatore Fuda and/or the persons and entities with which
he is, or is deemed to be, acting jointly and in concert may sell all or part
of their respective holdings of securities of the Corporation at any time.
However, neither Salvatore Fuda nor to Salvatore Fuda's knowledge, any of the
persons and entities with which he is, or is deemed to be, acting jointly and
in concert, has any present intention to acquire or sell any securities of the
Corporation.
    In connection with the Oppression Claim and the requisitioned meeting of
shareholders, Salvatore Fuda and Challenge approached approximately 22 other
registered and beneficial shareholders of the Corporation holding
approximately 10,786,947 common shares of the Corporation to determine whether
at that time those shareholders supported the changes in the directors of the
Corporation proposed by Challenge and Salvatore Fuda. Challenge and Fuda
received from each of these shareholders a letter indicating that they each
supported the action of requisitioning a meeting of shareholders of the
Corporation for the above-mentioned purposes and expressing their non-binding
intention to vote, or cause to be voted, their shares of the Corporation to
such effect at the requisitioned meeting. The issuance of this news release is
not an admission that Salvatore Fuda and/or Challenge is acting jointly and in
concert with any of these 22 shareholders and Salvatore Fuda and Challenge
Fuda expressly deny that they are acting jointly and in concert with any of
these shareholders.

    No securities commission or regulatory authority has approved or
    disapproved the contents of this press release.

    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this press release.





For further information:

For further information: Salvatore Fuda, 777 Bay Street, Suite 1910,
Toronto, Ontario, M5G 2C8, Phone: (416) 360-4032, Facsimile: (416) 360-4034,
e-mail: sfuda@micromeminc.com

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SALVATORE FUDA

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