MONTREAL, Aug. 5 /CNW Telbec/ - Gale Force Petroleum Inc. (TSX-V: GFP,
the "Corporation") announced today that it has granted an "Option to Purchase"
its Woodnorth property in Manitoba to Kripa Energy Inc., a private Canadian
corporation, expiring on September 5, 2008. For the Option to Purchase, Kripa
Energy has made a non-refundable payment of $300,000 to the Corporation. The
purchase price of the Manitoban Properties will be determined and announced
should Kripa Energy exercise its Option to Purchase.
Of the $300,000 paid for the Option to Purchase, $10,000 was paid in cash
and the balance was paid by the surrender for cancellation of debentures of
the Corporation with face values totalling $290,000, subject to the
transaction being approved by the TSX Venture Exchange.
"The sale of our Manitoban properties, if consummated, will strengthen
our balance sheet and focus the Corporation on the development of larger
properties with greater long-term growth prospects" said Michael McLellan,
President and Chief Executive Officer of the Corporation. "Revenues currently
being generated by the Manitoban properties will be replaced and increased by
production coming online from our interests in Alberta and Kentucky".
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