Forest Gate Energy Announces Non-Brokered Private Placement

    Shares outstanding:  25 Million
    Symbol & exchange:   FGE-V

MONTREAL, Feb. 2 /CNW Telbec/ - Forest Gate Energy Inc. ("Forest Gate" or the "Company") announces that it will be undertaking a non-brokered private placement whereby the Company intends to raise up to $500,000 at a price of $0.13 per unit (the "Units").

Each Unit consists of one common share ("Share") and one half common share purchase warrant ("Warrant") allowing the holder to subscribe for one Share at a price of $0.25 for a period of two years from the subscription date. The Units will be issued pursuant to applicable prospectus and registration exemptions and will be subject to a four-month hold period.

Forest Gate's management will be participating in this financing. The Company may pay, where appropriate, commissions and finder's fees in connection with this private placement, in accordance with the rules and regulations of the TSX Venture Exchange.

It is anticipated that this financing will be completed on or prior to close of business on February 12, 2010. This financing is subject to the usual regulatory approvals.

Forest Gate intends to utilize the proceeds from the private placement to finance the Company's operations in Utah and for working capital purposes.

About Forest Gate Energy

Forest Gate Energy Inc. is a publicly listed oil & gas exploration and production company trading on the TSX Venture Exchange under the symbol FGE with 25 million shares outstanding. The Company is seeking to increase shareholder value through participation and development of oil & gas exploration and production projects in Canada and internationally.


Certain statements regarding Forest Gate, including management's assessments of future plans and operations and Forest Gate's anticipated financial performance, may constitute forward-looking statements under applicable securities laws and necessarily involve known and unknown risks and uncertainties, most of which are beyond Forest Gate's control. These risks may cause actual financial and operating results, performance, levels of activity and achievements to differ materially from those expressed in, or implied by, such forward-looking statements.

Such factors include, but are not limited to: the impact of general economic conditions in Canada and the United States; industry conditions including changes in laws and regulations including adoption of new environmental laws and regulations, and changes in how they are interpreted and enforced; competition; the lack of availability of qualified personnel; fluctuations in commodity prices; the results of exploration and development drilling and related activities; imprecision in reserve estimates; the production and growth potential of Forest Gate's various assets; fluctuations in foreign exchange or interest rates; the ability to access sufficient capital from internal and external sources; and obtaining required approvals of regulatory authorities.

Neither TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or the accuracy of this release. This transaction is subject to TSX Venture Exchange Approval.

SOURCE Forest Gate Energy Inc.

For further information: For further information: Robert Kramberger, V-P, Investor Relations, 1-866-666-3040,;

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Forest Gate Energy Inc.

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