Longford Energy Inc.

Longford Energy Inc.

January 03, 2008 11:17 ET

RETRANSMISSION: Longford Energy Inc. (Formerly Longford Corporation)-Disposition of Assets, Share Consolidation and Name Change

CALGARY, ALBERTA--(Marketwire - Jan. 3, 2008) - Longford Energy Inc. ("Longford" or the "Company") (TSX VENTURE:LFD) is pleased to announce that it has successfully divested its non-producing Coal Bed Methane (CBM) Barrhead property to an industry partner for gross proceeds of $1,214,400 CAD. This asset sale is as a result of the strategic review process initiated by the Board of Directors and previously announced on August 23, 2007.

The Company also announces that it has received approval from the TSX Venture Exchange to consolidate its share capital and change the name of the corporation. Both of these items were also approved by the Company's shareholders at the most recently completed Annual General Meeting held on December 18, 2007. The consolidation of the Company's shares will be completed on the basis of ten old common shares for each new common share. In connection with the consolidation of its shares, the Company has changed its name to Longford Energy Inc. ("Longford") and its common shares will continue trading on a consolidated basis on the TSX Venture Exchange under the symbol "LFD" effective Monday December 24, 2007.

Following the share consolidation, the Company will have 5,340,904 common shares issued and outstanding.

Effective December 21, 2007, the Company has terminated its business relationship with Mr. Nick Topolnyski, Vice President of Exploration. Longford would like to thank him for his valued contributions.

The Company is optimistic and continues to investigate its strategic alternatives. These alternatives may include, among other things, revisions to the Company's strategic plan, asset divestitures, operating partnerships or identifying additional capital sources. The Company does not intend to comment on developments regarding the evaluation of alternatives until such time as
the Board of Directors has approved a specific course of action or such a decision regarding a specific course of action is probable. There is no assurance that this process will result in any changes to the Company's current strategic direction.

Statements in this release that are not historical facts are "forward-looking information" within the meaning of applicable securities law. Certain information in this news release including the board's assessment of future plans and operations, the ability of the Company to complete the dispositions, and the proposed use of proceeds may constitute forward-looking information. Such information necessarily involves risks including, without limitation, risks associated with inability to attract required financing at attractive prices, oil and gas development, production, competition for assets, inability to retain drilling rigs and other services, and delays resulting from or inability to obtain required regulatory approvals. Readers are cautioned that any such statements are not guarantees of future performance and those actual developments or results may vary materially from those in these "forward-looking information".


Contact Information

  • Longford Energy Inc.
    Ahmed Said
    President & Chief Executive Officer
    (403) 263-3000
    (403) 263-3041 (FAX)