FairWest Energy Corporation
TSX VENTURE : FEC

FairWest Energy Corporation

December 29, 2009 17:49 ET

FairWest Energy Announces Listing and Trading of Shares on the TSXV, Delisting From the TSX, Private Placement and Senior Management Changes

CALGARY, ALBERTA--(Marketwire - Dec. 29, 2009) - FairWest Energy Corporation ("FairWest" or the "Company") (TSX VENTURE:FEC) announces that the TSX Venture Exchange (the "TSXV") issued a bulletin today granting approval for the listing of the Company's Common Shares for trading on the TSXV commencing at the opening of market on December 30, 2009. The Company also announces that in conjunction with the listing of the Company's shares on the TSXV, that its Common Shares were delisted from the Toronto Stock Exchange effective as of the close of market today. The Company will trade on the TSXV under the name FairWest Energy Corporation and the trading symbol "FEC". The Company has 129,839,879 Common Shares issued and outstanding.

The Company also announces that, subject to regulatory and final TSXV approval, it is proceeding with a private placement (the "Private Placement") of up to $4,000,000 of Series 2, 14% Secured, Subordinated, Convertible, Redeemable Debentures (the "Debentures"). Each Debenture will be priced at $1,000 and will be convertible into Common Shares of the Company at a price of $0.15 per share until December 31, 2011. The proceeds from the sale of the Debentures will be used for payment of secured and unsecured debt, optimization of the Company's oil and gas properties and other general corporate purposes. The Company may pay Finder's Fees of up to 7% cash and 7% broker warrants (the "Warrants") with each Warrant being exercisable into one (1) Common Share of the Company at a price of $0.15 per share for one year from the date of issue. The first closing of the Private Placement is scheduled for December 30, 2009 with a subsequent closing to be held on or before January 31, 2010.

The Company also announces that Jim Gettis has resigned as President and Chief Executive Officer and from the Board of Directors of the Company for personal reasons. The Company would like to thank Mr. Gettis for his contributions to the Company as a founder, director and President and CEO and wishes him success in his future endeavors.

Effective immediately, the Company is pleased to announce the appointment of Vern Fauth, current Chairman of the Board of Directors, as Executive Chairman and Chief Executive Officer. The Company also announces that Douglas O. McNichol has been appointed as Chief Operating Officer. Mr. Fauth and Mr. McNichol will be working closely with the directors and management of the Company to complete operational and financial initiatives currently underway that are designed to position the Company for future growth.

Since 1991, Mr. Fauth has been the founder and President of Fauth Financial Group Ltd., a financial and estate planning company. From 1968 to the present, Mr. Fauth has had a successful history in the financial services industry. Mr. Fauth has earned the professional designations of Certified Financial Planner (CFP), Chartered Life Underwriter (CLU) and is a Registered Trust and Estate Practitioner (TEP).

Mr. McNichol brings 30 years of industry management and operations experience with major and junior oil and gas companies. His most recent position with the Company was General Manager Engineering, Production and Exploitation. Immediately prior to his position with the Company, Mr. McNichol was the President, CEO and Director of Regal Energy Ltd. and prior thereto the President, CEO and Director of Lexxor Energy Inc. Mr. McNichol graduated with a Bachelor of Science Degree in Mechanical Engineering from the University of Calgary in 1980. He is a Professional Engineer and a member of APEGGA.

The Company is currently conducting a full internal review of its oil and gas operations and, amongst other things, is focused on various optimization and development activities on its existing production base. Subject to the availability of capital, the Company will fully implement its development initiatives in the first half of 2010. The Company is also proceeding with the divestiture of certain minor assets that are not considered to be core to its future plans.

About FairWest Energy

FairWest (TSX VENTURE:FEC) is a Calgary, Alberta based junior oil and gas company engaged in the acquisition, exploration, development and production of crude oil and natural gas in the provinces of Alberta and Saskatchewan.

READER ADVISORY

This news release may contain certain forward-looking statements, including management's assessment of future plans and operations, and capital expenditures and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada, the United States and overseas, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, stock market volatility and market valuations of companies with respect to announced transactions and the final valuations thereof, and obtaining required approvals of regulatory authorities. The Company's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits, including the amount of proceeds, that the Company will derive there from. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

129,839,879 Common Shares Issued

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 release.

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