CALGARY, Sept. 17 /CNW/ - Cas H. Morel, President and Chief Executive
Officer of Terra Energy Corp. ("Terra Energy" or the "Company") is pleased to
announce that the Company has engaged the services of Scotia Waterous Inc.
("Scotia Waterous") to assist the Company in unlocking the undervalued
potential of the Company's shares. The Board of Directors of the Company have
unanimously determined that the present circumstances provide the right
environment to investigate such opportunities, which include a corporate
combination transaction with a view towards a combined production level in
excess of 10,000 BOED, the sale of some or all of the assets of Terra Energy,
or the sale of all of the shares of Terra Energy.
The Company is maintaining its target exit rate for 2008 of 5,700 BOED of
production and has had a number of recent operational successes that will be
more fully detailed in an update anticipated within the next two weeks. The
sale of the Company's Montney rights in British Columbia earlier this year
eliminated the Company's debt and positioned it for growth. The increasing
production base of the Company, combined with the Company's strong balance
sheet, will allow Terra Energy to consider all options to unlock shareholder
All inquiries should be directed to a Scotia Waterous representative as
Mr. Derek Wheatley 403-218-3259
Mr. Paul Walmsley 403-218-6789
A BOE conversion ratio of six thousand cubic feet per barrel (6mcf/bbl)
of natural gas to barrels of oil equivalence is based upon an energy
equivalency conversion method primarily applicable at the burner tip and
does not represent a value equivalency for the individual products at the
wellhead. Such disclosure of BOE's may be misleading, particularly if
used in isolation.
This media release contains forward-looking statements including
expectations of future production and a possible transaction or
transactions that are intended to realize what management perceives to be
an undervalued share price. There is no assurance that future expected
production will be met or that a strategic transaction will be identified
Terra Energy is a junior oil and gas company engaged in the exploration
for, and development and production of, natural gas and oil in Western Canada.
Terra Energy's common shares trade on the TSX Venture Exchange under the
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE
ADEQUACY OR ACCURACY OF THIS MEDIA RELEASE.
For further information:
For further information: Mr. Bud Love, Vice President of Finance and
Chief Financial Officer, Tel: (403) 699-7777