CORP / Loon Energy Inc. lists on The Alberta Stock Exchange
MARCH 13, 1998
CALGARY, ALBERTA--The common shares of Loon Energy Inc. ("Loon")
will be listed for trading on The Alberta Stock Exchange ("ASE")
on Tuesday, March 17, 1998 under the trading symbol "LEY".
The officers of Loon are: Norman W. Holton, P. Geol., President &
Chief Executive Officer; Gordon K. Case, CA, Vice President
Finance & Chief Financial Officer; Thomas H. Field, P. Eng., Vice
President Production; Jeffrey M. Boissonneault, P. Geol., Vice
President Exploration; and, Brian W. Mainwaring, Secretary.
Mssrs. Holton and Case are senior officers of TUSK Energy Inc..
Mr. Mainwaring is a partner in the law firm Code Hunter
Wittmann. Mr. Boissonneault, a geologist, graduated from the
University of Saskatchewan in 1988 and has 10 years of
exploration experience in the Western Canadian Sedimentary Basin.
Mr. Field, an engineer, has 14 years diversified experience in
production, operations, exploitation and acquisitions since his
graduation from the University of Alberta in 1984. Prior to
their appointments as officers of Loon, both Mr. Boissonneault
and Mr. Field were employed by Stampeder Exploration Ltd. as
Senior Explorationist and Manager of Engineering, respectively.
The directors of Loon are Mr. Holton, James E. Lawson, Robert R.
Hobbs, Ian T. Brown and Edwin A. Beaman. Mr. Lawson is also a
director of TUSK and Bow Valley Brewing Company; Mr. Beaman is
Vice President Production of TUSK; Mr. Hobbs, a financial
consultant, is a director of Plexus Energy Ltd., Peregrine Oil
and Gas Ltd., Niko Resources Ltd. and Jerez Energy International
Inc.; and, Mr. Brown is Vice President Exploration of Midas
Resources Ltd., a public oil and gas company.
The company has entered into agreements with TUSK for the farm-in
by the company on certain TUSK prospects, for participation
by TUSK and reciprocal participation by Loon in each others
projects if desired by both parties and for provision of
management services and office space.
Since its startup as an oil and gas exploration company in the
third quarter of 1997, Loon has purchased exploratory lands on oil
and gas prospects in both Alberta and Saskatchewan,
evaluated and bid on more than 30 production purchases, shot
seismic on two properties in southern Alberta and participated for
20 percent in two exploratory wells.
At the present time, Loon is participating in the drilling of the
3-22-38-9 W5M well at Strachan, Alberta. Under the terms of the
farmout agreement, Loon will initially earn in a 4 section block
(10 percent BPO, 5 percent APO), with options to earn on similar
terms in an additional 10.5 sections by participating in the
drilling of additional wells. The Strachan well spudded in
mid-February and is currently drilling at a depth of 3,100
metres. The prospect is defined by both 2-D and 3-D seismic.
Primary objective is the Leduc Formation of Devonian age. Total
projected depth is 4,300 metres. The well is expected to reach
total depth approximately May 1.
Loon was originally incorporated as Titan Diversified Holdings
Ltd. and was listed on the ASE as a junior capital pool company
in 1987. In 1991 the common shares were consolidated on a 6 for 1
basis and the name of the company was changed to Titan Diversified
Ventures Ltd.. In 1993, the name of the company was changed to
Trident Systems Inc.. In July, 1994 the common shares of the
company were suspended from trading by the ASE and in July, 1995
the common shares of the company were delisted by the ASE.
In August, 1997, the common shares of the company were
consolidated on a 4:1 basis, the company was recapitalized and
the name of the company was changed to Loon Energy Inc.. In
September, 1997 Loon raised $200,000 by selling 2,000,000 Class A
flow-through special warrants at $0.10 per warrant. In December,
1997 Loon raised an additional $777,900 by selling 1,944,750
Class B flow-through special warrants at $0.40 per warrant. At
the present time, Loon has 3,442,874 common shares issued and
outstanding and 3,944,750 special warrants outstanding. Each of
the special warrants is convertible, at the option of the holder,
into one common share of Loon at no additional cost. Officers,
directors and insiders of Loon own approximately 2.1 million (61
percent) of the issued common shares and 1,650,000 (42 percent) of
the special warrants. The largest single shareholder is TUSK
Energy Inc. ("TUSK"), an oil and gas company whose common
shares are listed for trading on the Alberta and Toronto Stock
Exchanges.
On January 13, 1998 Loon filed a preliminary prospectus with the
securities commissions in Alberta, British Columbia and
Ontario which will clear for trading the common shares issuable
upon exercise of special warrants and an issue of additional
common shares. McDermid St. Lawrence Securities Inc. acted as
agent for the sale of the Class B special warrants and will act
as agent for the sale of the additional common shares. The
number of additional common shares to be issued and the price of
the additional common shares has not yet been determined by Loon
and the agent. |
