CORP / Fortune Energy Inc. Receives Verbal Proposal
TSE SYMBOL: FEY
SEPTEMBER 18, 1998
CALGARY, ALBERTA--Fortune Energy Inc. ("Fortune") announces that
it has entered into negotiations with Fortune Equity Inc.
("Fortune Equity"), a corporation which directly owns, together
with its associates and affiliates, approximately 80 percent of
the outstanding common shares of Fortune, which could lead to a
"going private" transaction of Fortune, whereby Fortune Equity
would acquire for cash all of the outstanding Fortune shares which
it does not presently own.
The Fortune Board of Directors has established an independent
Special Committee of the Board, which is in the process of
engaging legal and financial advisors, to consider and negotiate
the terms of any such transaction. Mr. J. Rene Rosales, President
of Fortune, has been appointed as the Chairman of the Special
Committee. Mr. Rosales has stated that "Fortune will be
communicating with its shareholders promptly as further
information becomes available".
Fortune is an independent Canadian oil and gas exploration,
development and production company with common shares trading on
The Toronto Stock Exchange under the symbol FEY.
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