Paramount Energy Trust Confirms April 2009 Distribution and Updates Hedging


    CALGARY, April 20 /CNW/ - Paramount Energy Trust ("PET" or the
"Trust")(TSX:PMT.UN) is pleased to confirm that its distribution to be paid on
May 15, 2009 in respect of income received by PET for the month of April 2009,
for Unitholders of record on April 30, 2009, will be $0.05 per Trust Unit. The
ex-distribution date is April 28, 2009. The April distribution brings
cumulative distributions paid since the inception of the Trust to $13.364 per
Trust Unit.
    The Trust also confirms that there will continue to be no Trust Units
available under its Distribution Reinvestment and Optional Trust Unit Purchase
Plan ("DRIP") for the April 2009 distribution and until further notice.
Unitholders that had elected to participate in the DRIP in the past and were
currently enrolled will receive cash distributions on the payment date. Should
the Trust elect to reinstate the DRIP, Unitholders that were enrolled at
suspension and remain enrolled at reinstatement will automatically resume
participation in the DRIP. PET's distribution policy remains unchanged.
    Natural gas prices continue to be highly volatile. PET closely monitors
the market drivers with respect to natural gas prices and will continue to
proactively manage the Trust's forward price exposure to mitigate risk.
Financial and physical forward sales arrangements (net of related financial
and physical fixed-price natural gas purchase contracts) at the AECO and NYMEX
trading hubs as at April 17, 2009 are as follows:

                             % of 2009        Forward
                  Volumes     Budgeted  Price   Price
    Type of       at AECO   Production  ($/GJ)  ($/GJ)
    Contract       (GJ/d)           (3)    (1)     (2)                Term
    Financial     107,500                7.13           May - October 2009
    Period Total  107,500           52   7.13    3.60   May - October 2009
                                                             November 2009 -
    Financial     105,000                8.01                   March 2010
                                                             November 2009 -
    Period Total  105,000           51   8.01    5.49           March 2010
    Financial     102,500                7.31         April - October 2010
    Period Total  102,500           50   7.31    5.70 April - October 2010
                                                             November 2010 -
    Physical       10,000                7.75                   March 2011
                                                             November 2010 -
    Financial     100,000                7.83                   March 2011
                                                             November 2010 -
    Period Total  110,000           54   7.82    6.79           March 2011

                         % of 2009   Strike  Forward
               Volumes    Budgeted    Price    Price
    Type of    at AECO  Production    ($/GJ)   ($/GJ)
    Contract     (GJ/d)         (3)      (1)      (2)                 Term
    Sold Call    5,000          3%     8.50     6.60         November 2009 -
                                                                March 2010
    Sold Call    5,000          3%     7.75     6.59  April - October 2010
    Sold Call   12,500          6%     9.00     7.71         November 2010 -
                                                                March 2011

    (1) Weighted average prices are calculated by netting the volumes of the
        lowest-priced financial and physical sold/bought contracts together
        and measuring the net volume at the weighted average "sold" price for
        the remaining financial and physical contracts.

    (2) Average AECO forward price for May through December 2009 as at April
        17 is $4.07 per GJ.

    (3) Calculated using 194 MMcf/d and includes actual and gas over bitumen
        deemed projected production volumes.

    At current AECO forward prices of $4.07 per GJ for the remainder of 2009,
the Trust's current monthly distribution level and capital expenditure program
can be funded completely through funds flow. Incorporating PET's current
hedging portfolio and forward natural gas prices into the Trust's production,
operations and funds flow projections, the current level of distribution
represents a payout ratio of approximately 39 percent for 2009. PET reviews
distributions on a monthly basis. The Trust continues to focus on what we
believe is a sustainable distribution model that balances short term cash
returns to our Unitholders and long term value creation through capital
reinvestment. PET reviews distributions on a monthly basis. Future
distributions are subject to change as dictated by commodity price markets,
operations and future business development opportunities.

    Forward-Looking Information

    Certain information regarding PET in this news release, including
management's assessment of operations, cash flows, capital spending plans and
payout ratios, may constitute forward-looking statements under applicable
securities laws and necessarily involve risks including, without limitation,
risks associated with gas exploration, development, exploitation, production,
marketing and transportation, changes to the proposed royalty regime prior to
implementation and thereafter, loss of markets, volatility of commodity
prices, currency fluctuations, imprecision of reserve estimates, environmental
risks, competition from other producers, inability to retain drilling rigs and
other services, capital expenditure costs, including drilling, completion and
facilities costs, unexpected decline rates in wells, delays in projects and/or
operations resulting from surface conditions, wells not performing as
expected, delays resulting from or inability to obtain required regulatory
approvals and ability to access sufficient capital from internal and external
sources. As a consequence, actual results may differ materially from those
anticipated in the forward-looking statements. Readers are cautioned that the
foregoing list of factors is not exhaustive. Additional information on these
and other factors that could affect PET's operations and financial results are
included in reports on file with Canadian securities regulatory authorities
and may be accessed through the SEDAR website ( and at PET's
website ( Furthermore, the forward-looking statements
contained in this news release are made as at the date of this news release
and PET does not undertake any obligation to update publicly or to revise any
of the forward-looking statements, whether as a result of new information,
future events or otherwise, except as may be required by applicable securities

    Non-GAAP Measures

    This news release contains financial measures that may not be calculated
in accordance with generally accepted accounting principles in Canada
("GAAP"). Readers are referred to advisories and further discussion on
non-GAAP measures contained in the "Significant Accounting Policies and
non-GAAP Measures" section of management's discussion and analysis.

    PET 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" and "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, Susan L. Riddell Rose,
President and Chief Executive Officer, (403) 269-4400; or Paramount Energy
Trust, Cameron R. Sebastian, Vice President, Finance and Chief Financial
Officer (403) 269-4400; or Paramount Energy Trust, Sue M. Showers, Investor
Relations and Communications Advisor, (403) 269-4400, (403) 269-4444 (FAX); or
Paramount Energy Operating Corp, Administrator of Paramount Energy Trust,
Suite 3200, 605 - 5 Avenue SW, Calgary, Alberta, T2P 3H5, Email:, Website:

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