DENVER, CO, Aug. 13 /CNW Telbec/ - Galaxy Energy Corporation (Amex: GAX)
has received a notice from the American Stock Exchange (Amex) indicating that
Amex has accepted Galaxy's plan to regain compliance with the exchange's
continued listing standards.
On August 6, 2007, Amex notified Galaxy that the company had made a
reasonable demonstration of its ability to regain compliance with the
exchange's continued listing standards. Amex has accepted Galaxy's plan based
on the expectation that Galaxy will complete its Purchase and Sale Agreement
with PetroHunter Energy Corporation, a related party, and has continued
Galaxy's listing pursuant to an extension until September 30, 2007, by which
time Galaxy must regain compliance with the continued listing standards.
Galaxy will be subject to periodic review by Amex staff during the extension
period. Failure to make progress consistent with the plan or to regain
compliance with the continued listing standards by the end of the extension
period could result in Galaxy being delisted from Amex.
Galaxy announced on May 25, 2007, that it had received notice from Amex
of Galaxy's failure to satisfy Section 1003(a)(iii) of the Amex Company Guide
for continued listing. Specifically, Galaxy's stockholders' equity as reported
on Form 10-Q for the quarter ended February 28, 2007, did not meet the minimum
stockholders' equity standard of $6 million with losses from continuing
operations and/or net losses in its five most recent fiscal years.
On June 22, 2007, Galaxy submitted a plan to Amex, to advise the exchange
of action the company has taken, or will take, to bring Galaxy into compliance
with all of Amex's continued listing standards. These actions include the
proposed sale of Galaxy's oil and gas assets in the Powder River Basin to
PetroHunter Energy Corporation, a related party.
The August 6, 2007, Amex notice also indicated that Galaxy is not in
compliance with Section 1003(a)(i) and Section 1003(a)(ii) of the Company
Guide based on a review of the company's Form 10-Q for the period ended
May 31, 2007. Specifically, Galaxy reported stockholders' equity of less than
$2 million and losses from continuing operations and/or net losses in its two
out of its three most recent fiscal years, and stockholders' equity of less
than $4 million and losses from continuing operations and/or net losses in its
three out of its four most recent fiscal years, respectively.
About Galaxy Energy
Galaxy Energy Corporation, a development stage oil and gas exploration
and production company, focuses its operations in the Powder River Basin of
Wyoming and the Piceance Basin of Colorado, in addition to exploration
activities in Germany and Romania. Galaxy conducts its exploration activities
through two wholly owned subsidiaries, Dolphin Energy Corporation and
Pannonian International, Ltd.
Forward Looking Statement
This press release consists of forward looking statements regarding the
intent, belief or current expectations of Galaxy and its management.
Prospective investors are cautioned that any such forward looking statements
are not guarantees of future performance and involve a number of risks and
uncertainties, and actual results could differ materially from those indicated
by such forward looking statements. Galaxy assumes no obligation to update the
information contained in this press release, whether as a result of new
information, future events or otherwise. Please refer to Galaxy's filings with
the United States Securities and Exchange Commission for discussions of risks
and uncertainties found in Forms 10-K (annual report), 10-Q (quarterly report)
and other filings.
Additional information may be found at the Galaxy Energy Corporation Web
site, www.galaxyenergy.com or by calling Brad Long, Investor Relations/Galaxy
Energy at (800) 574-4294, Bevo Beaven or Warren Laird of CTA Integrated
Communications at (303) 665-4200
For further information:
For further information: Renmark Financial Communications Inc.: Neil
Murray-Lyon, email@example.com; Dan Symons,
firstname.lastname@example.org; (514) 939-3989, Fax: (514) 939-3717,