UTS Energy acknowledges shareholders rejection of Total offer and continues pursuit of alternatives for maximizing shareholder value



    
    /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR DISSEMINATION IN THE
    UNITED STATES/
    

    TSX Trading Symbol: UTS

    CALGARY, April 28 /CNW/ - The UTS Board of Directors is pleased to
confirm that its shareholders have rejected the offer of $1.75 cash per common
share made by Total E&P Canada Ltd.'s (Total) as inadequate and not in the
best interest of UTS. Total has announced that its offer for UTS has
terminated.
    "We thank our shareholders for supporting our position with respect to
the inadequate bid by Total. UTS will continue to focus its efforts on
advancing its projects to deliver long-term value and will also continue
working with our financial advisors to pursue all our options to maximize
shareholder value. The Board directed process will continue." said Dennis
Sharp, Chairman of the Board of Directors. Although discussions are ongoing,
there is no assurance that they will ultimately lead to a transaction.
    "We will continue to focus on delivering the fundamental value we believe
is embedded in our diversified portfolio of oil sands assets and which is
fully funded well into 2011." said William Roach, President and Chief
Executive Officer of UTS.

    UTS Energy Corporation is based in Calgary, Alberta. The Company's common
shares (UTS) are traded on the Toronto Stock Exchange.

    FORWARD-LOOKING INFORMATION: Except for statements of historical fact
relating to UTS, this news release contains "forward-looking information"
within the meaning of applicable securities law. The forward-looking
statements in this news release relate to, but are not limited to, statements
with respect to the shareholder value maximization process and potential
alternative transactions, future plans for UTS' assets, the future value of
UTS, potential capital and operating cost savings and financing requirements
related to the Fort Hills Project, the potential benefits to UTS and the Fort
Hills Project of the proposed merger of Suncor and Petro-Canada, the potential
for UTS to be fully funded for a period of time, the potential for the Lease
421 Area to become a fourth oil sands project, the Company's anticipated mine
plan, drilling results, capital expenditures, drilling plans, estimated
resources, prospective oil sands, rate of recovery and production estimates of
bitumen resources are based on the opinions and estimates of management at the
date the statements are made, and are subject to a variety of risks and
uncertainties and other factors that could cause actual events or results to
differ materially from those anticipated in the forward-looking statements.
These risks and uncertainties include uncertainties around the specific scope
and timing of the Fort Hills Project, the Equinox Project, the Frontier
Project, or the Lease 421 Area; lack of regulatory approvals for certain
aspects of such projects, the uncertainty regarding marketing plans for
production from certain areas, the estimation or improved estimation of
project costs; commodity price fluctuations, in the case of the Fort Hills
Project the acceptance within the Fort Hills Partnership of the updates to the
Fort Hills Project scope, timing, cost estimates and final Board of Directors
approval of each of the partners, whether the proposed Suncor and Petro-Canada
merger is completed and if so whether UTS will realize the anticipated
benefits of such a merger, the inability of UTS to negotiate a transaction as
part of the shareholder value maximization process and those other risks and
contingencies described under "Risk Factors" in UTS' annual information form
available on the UTS website www.uts.ca or under UTS' profile at
www.sedar.com. There are numerous uncertainties inherent in estimating
bitumen, including many factors beyond the Company's control, and no assurance
can be given that the indicated level of bitumen or the recovery thereof will
be realized. In general, estimates of bitumen are based upon a number of
factors and assumptions made as of the date on which the resource estimates
were determined, such as geological and engineering estimates, certain TV:BIP
ratios and pit boundaries, which have inherent uncertainties. There is no
certainty that it will be commercially viable to produce any contingent
resources from any of the Fort Hills Project, the Equinox Project or the
Frontier Project. Forward-looking information is frequently characterized by
words such as "plan", "expect", "project", "intend", "believe", "anticipate",
" potential", "should", "would", "estimate", "likely", "proposed" and other
similar words, or statements that certain events or conditions "may" or "will"
occur. Forward-looking information is based on the opinions and estimates of
management at the date the statements are made, and are subject to a variety
of risks and uncertainties and other factors that could cause actual events or
results to differ materially from those anticipated in the forward-looking
statements. UTS undertakes no obligation to update forward-looking information
if circumstances or management's estimates or opinions should change except as
required by law. The reader is cautioned not to place undue reliance on
forward looking information.





For further information:

For further information: William J. F. Roach, President and Chief
Executive Officer at (403) 538-7030

Organization Profile

UTS ENERGY CORPORATION

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