Forent Energy Ltd.

Forent Energy Ltd.

November 05, 2009 13:00 ET

Forent Energy Ltd. Executes Oil Farm-In Agreement

CALGARY, ALBERTA--(Marketwire - Nov. 5, 2009) - Forent Energy Ltd. (TSX VENTURE:FEN)

Forent Energy Ltd. ("Forent" or the "Company") is pleased to announce that it has entered into a farm-in agreement with a major western Canadian oil and gas producer that provides the Company with a rolling option to carry out a multi-well drilling program in Central Alberta. Over the past several months Forent has been working with several major Western Canadian land holders in an effort to identify and secure drilling opportunities on undeveloped lands.

This most recent farm-in, covers 15 3/4 net sections of oil prone lands. Under the terms of the farm-in, Forent will elect to drill a test well and pay 100% of the drilling costs in order to earn a 100% working interest in the section until payout, at which time the Farmor can elect to either maintain its 10% royalty or convert to a 35% working interest. Subsequent development will be by election on a rolling option basis, with Forent having the option to either shoot seismic or drill wells to continue earning on the farm-in lands. The Company believes that the lands are well situated for potential oil discoveries with Mannville oil production in the vicinity.

Funding for the drill program will come from Forent's recently announced $3.2 million financing which closed on October 28, 2009. Forent's focus is to strengthen its financial position by developing low risk Western Canadian oil prospects in order to generate sufficient cash flow to move forward with the development of its Nova Scotia reef oil and shale gas assets.

Shares of Forent trade on the TSX Venture Exchange under the symbol "FEN.V".

Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements such as the estimates of reserves, the references to Forent's exploration program and drilling program and capital expenditures relating to, and timing of, such programs are based on the opinions and estimates at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements. There are uncertainties inherent in forward-looking information, including factors beyond Forent's control, and no assurance can be given that the programs will be completed on time, on budget or at all. In addition, there are numerous uncertainties inherent in estimating reserves, including many factors beyond Forent's control, and no assurance can be given that the indicated level of reserves or the recovery thereof will be realized. Forent undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements. Additional information identifying risks and uncertainties that could affect financial results is contained in Forent's filings with Canadian securities regulators, which filings are available at

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.

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