Trimox Energy Inc.

Trimox Energy Inc.

February 01, 2007 14:00 ET

Trimox Energy Inc. Announces Promotion, Option Grant and Hedging Activities

CALGARY, ALBERTA--(CCNMatthews - Feb. 1, 2007) - Trimox Energy Inc. ("Trimox" or the "Company") (TSX VENTURE:TRM.A) (TSX VENTURE:TRM.B) is pleased to announce that Mr. Kevin Shaw has been promoted to the position of Vice President Operations of the Company, subject to regulatory approval. Mr. Shaw is a professional member of APEGGA and possesses a BSc. Degree in Mechanical and Petroleum Engineering from the University of Calgary and has increasingly taken responsibility for the Company's operations over the past two years. Prior to joining Trimox, Mr. Shaw held various positions of increasing responsibility with Imperial Oil Resources Ltd., acting as a Facility Engineer, Reservoir / Development Engineer and overall Project Manager on major conventional oil and gas projects within Alberta and British Columbia.

In conjunction with this promotion, the Board of Directors, pursuant to the Company's stock option plan and subject to regulatory approval, has granted Mr. Shaw options to acquire up to 100,000 Class A Shares of the Company. Each of the options is for a five year term, expiring on February 1, 2012 and exercisable as to one third per year, commencing on February 1, 2008, at a price of $1.00 per share.

There are now outstanding options to purchase a total of 1,450,000 of the Company's Class A Shares, or 9.7% of the issued and outstanding Class A Shares.

Trimox also advises that it has entered into a fixed term natural gas contract. For the period from March 1 to October 31, 2007, 2,000 GJ per day of the Company's gas production will receive a fixed AECO price of $7.31 per GJ Canadian. The hedged volume represents approximately 40% of Trimox's current gas production.

Trimox trades on the TSX Venture Exchange under the symbols "TRM.A" and "TRM.B" and has 14,900,000 Class A shares and 450,000 Class B shares outstanding.

This news release contains 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 Trimox'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 and the United States, 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. Trimox'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 Trimox will derive therefrom. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to Trimox 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 Trimox 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.

Natural gas volumes have been converted to barrels of oil equivalent ("boe") using six thousand cubic feet ("mcf") equal to one barrel ("bbl"). This conversion ratio is based on an energy equivalent conversion applicable at the burner tip and does not represent a value equivalency at the wellhead.

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

Contact Information

  • Trimox Energy Inc.
    Steve Dabner
    President & C.E.O.
    (403) 216-1721
    Trimox Energy Inc.
    Thomas Love
    Chairman & C.F.O.
    (403) 216-1722