Paramount Energy Trust acquires special warrants in Profound Energy Inc.

    CALGARY, April 14 /CNW/ - (TSX - PMT.UN) Paramount Energy Trust ("PET" or
the "Trust") announces that it has acquired by private placement ownership of
9,224,310 special warrants ("Special Warrants") in the capital of Profound
Energy Inc. ("Profound"). The Special Warrants were acquired at a price of
$0.75 per Special Warrant for a total purchase price of approximately $6.9
million. Under the terms of the Special Warrants the purchase price will be
held in trust until such time as the Special Warrants are converted into
common shares of the Profound ("Common Shares") on a one-for-one basis.
Conversion is automatic in certain events and otherwise at the option of PET.
The Special Warrants are redeemable by PET and Profound at their subscription
price in certain circumstances.
    The Trust holds 100% of the Special Warrants issued by Profound which,
assuming conversion by the Trust, would result in the Trust holding 9,224,310
Common Shares in the aggregate, representing approximately 19.9% percent of
the issued and outstanding Common Shares, on a pro forma basis.
    The Special Warrants were acquired by PET based on the "accredited
investor" exemption contained in National Instrument 45-106 of the Canadian
Securities Administrators and were acquired for investment purposes. PET will
evaluate its ownership position in Profound from time to time and anticipates
acquiring additional securities of Profound in the future pursuant to its
previously announced proposed offer to acquire all of the Common Shares of
    PET will be filing a report (as contemplated by National Instrument 62
103 The Early Warning System and Related Takeover Bid and Insider Reporting
Issues) in connection with the acquisition of Special Warrants as noted above
in this Release. To obtain a copy of such report, please contact Ms. Sue M.
Showers at the number provided below.

    Paramount Energy Trust is a natural gas-focused Canadian energy trust.
PET's Trust Units and Convertible Debentures are listed on the Toronto Stock
Exchange under the symbol "PMT.UN", "PMT.DB", "PMT.DB.A", "PMT.DB.B" and
"PMT.DB.C", respectively. Further information with respect to PET can be found
at its website at

    The Toronto Stock Exchange has neither approved nor disapproved the
    information contained herein.

For further information:

For further information: Paramount Energy Trust and Paramount Energy
Operating Corp., Administrator of the Trust, Suite 3200, 605 - 5 Avenue SW,
Calgary, Alberta, Canada, T2P 3H5, Telephone: (403) 269-4400, Fax: (403)
269-4444, Email:; Susan L. Riddell Rose, President
and Chief Executive Officer; Cameron R. Sebastian, Vice President, Finance and
Chief Financial Officer; Sue M. Showers, Investor Relations and Communications

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