XGEN Ventures Inc.

June 12, 2009 17:18 ET

XGEN Provides Update on Lawsuit Against Scott Henderson and Trojan Energy Inc.

TORONTO, ONTARIO--(Marketwire - June 12, 2009) - The Board of Directors of XGEN Ventures Inc. (the "Company" or "XGEN") (NEX BOARD:XGN.H) is providing the following update with respect to certain litigation.

In March 2008, XGEN filed a Statement of Claim in Alberta Court of Queen's Bench (the "Action") against Scott Henderson and Trojan Energy Inc., (the "Defendants") citing "fraudulent misrepresentation," "breach of contract" and "breach of fiduciary duty" with resultant voiding of a management agreement dated June 1, 2006 and cancellation of a net profit interest royalty agreement.

In the Action, the Company asserted that the Defendants fraudulently misrepresented its education, competency, and certification as a Professional Reservoir and/or Professional Petroleum Engineer. XGEN further asserted that these professional credentials were either never earned or not maintained in good standing.

On April 2, 2009, the Defendants filed a statement of defense and counterclaim for specific performance of the Management Agreement claiming an earned net profit entitlement. The Company has responded by filing a Reply to Statement of Defence and Defence to Counterclaim on April 24, 2009.

The Company views the Counterclaim as frivolous and without merit. XGEN will vigorously defend its position.

The Company will provide updates as matters proceed.

Forward-Looking Statements

Information provided herein contains forward-looking statements. The reader is cautioned that assumptions used in the preparation of such information, which are considered reasonable by the Company at the time of preparation, may prove to be incorrect. Actual results achieved may vary from the information provided and the variations may be material. There is no representation by the Company that actual results achieved will be the same in whole or in part as those indicated in the forward-looking statements.

Neither 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.

Contact Information

  • XGEN Ventures Inc.
    Rod J. MacKenzie
    Managing Director