CANADA ENERGY PARTNERS INC.
TO COMMENCE NORMAL COURSE ISSUER BID
May 26, 2009
Canada Energy Partners Inc. (“Canada Energy” or the “Company”) (TSX VENTURE: CE) has received approval from the TSX Venture Exchange (the “Exchange”) to commence a normal course issuer bid (the “Bid”) to purchase up to 4,117,814 of its common shares (“Shares”), representing 5% of the Company’s 82,356,284 issued and outstanding Shares, as at May 12, 2009.
Under the Exchange’s policies, the Bid will commence on May 29, 2009 and will end on the earlier of May 28, 2010, or at such time as the Bid has been completed or the Bid is terminated at the Company’s discretion. The Company has not previously repurchased any of its Shares.
Canada Energy is of the opinion that due to the volatility in global equity markets, the recent trading price of the Company’s shares does not fully reflect the strong working capital position of the Company, the value of its 50% ownership interest in the Peace River CBM Project (currently in commercial production), the Peace River gas plant and associated facilities, the current and planned spending by its joint venture partner to drill and complete wells in the Montney formation and the value of its material land position in northeastern British Columbia. The Company believes that a repurchase of its common shares will add shareholder value.
Shares will be purchased on the open market through the facilities of the Exchange by GMP Securities LP and the purchase and payment for the acquired Shares will be made by the Company in accordance with the requirements of the Exchange. The price paid by the Company for any acquired Shares will be the market price at the time of acquisition. All Shares purchased by the Company under the Bid will be cancelled. Funding for the Bid will be from the Company’s working capital. Share purchases under the bid will be made at management’s discretion based on market conditions. The Company has no obligation to make any purchases under the bid.
On behalf of the Board of Directors of
Canada Energy Partners Inc.
“ John Proust”
CANADA ENERGY PARTNERS INC.
1500 – 885 West Georgia St.
Vancouver, BC V6C 3E8
Main Phone: (604) 909-1154
Facsimile: (604) 488-0319
Attention: John Proust, Director
Email: [email protected]
Direct Phone: (604) 696.9020
The TSX Venture Exchange has neither approved or disapproved of the contents of this press release. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Forward Looking Statements: This press release contains forward looking statements relating to expected or anticipated future events and operations, number of wells to be drilled, timing of projects and anticipated results that are forward looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the company's capability to execute and implement future plans. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. There is no representation by the company that actual results achieved during the forecast period will be the same in whole or in part as that forecast.