Dalmac Energy Inc.

Dalmac Energy Inc.

October 10, 2007 09:15 ET

Dalmac Purchases Business of KD Trucking (1989) Ltd.

EDMONTON, ALBERTA--(Marketwire - Oct. 10, 2007) - John Babic, President and CEO of Dalmac Energy Inc. ("Dalmac") (TSX VENTURE:DAL) reports Dalmac has closed its acquisition of the business and assets of KD Trucking (1989) Ltd. ("KD") of Wetaskawin Alberta. KD is an 18 year old private oilfield services company with 31 service units similar to those currently operated by Dalmac.

Pursuant to the terms of the letter of intent announced July 5, 2007 the purchase price was $3.5million paid by $2.7 million cash, $500,000 in vendor take back financing and $300,000 in Dalmac shares. The share consideration consists of $200,000 of common shares priced at a 30 day weighted trading average of approximately $0.47 per share and $100,000 of common shares priced at $0.60 per share for a total of 590,597 shares.

The founder of KD, Mr. Doug Tabler, has agreed to enter into a management contract with Dalmac and will be awarded 126,847 Dalmac share options priced at $0.60.

The KD employees will remain with the Company and operations will continue to be based out of Wetaskawin, Alberta. This acquisition is expected by management to be very accretive to Dalmac's operations and increases the current number of service units from 105 to 136. In addition to an immediate increase to existing revenue, earnings and cash flows, Dalmac also expects to benefit from the opportunity to deploy its existing products and services into a new geographic market area.

Statements throughout this report that are not historical facts may be considered "forward looking statements". Such statements are based on current expectations that involve risks and uncertainties, which could cause actual results to differ from those anticipated. Important factors that can cause anticipated outcomes to differ materially from actual outcomes include the impact of general economic conditions, industry conditions, competition from other industry participants, volatility of petroleum prices, the ability to attract and retain qualified personnel, changes in laws or regulations, currency fluctuations, continued ability to access capital from available facilities and environmental risks.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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