Zargon Oil & Gas Ltd.

Zargon Oil & Gas Ltd.

May 15, 2006 16:47 ET

Zargon Energy Trust Confirms May 2006 Cash Distribution and Announces Executive Appointment

CALGARY, ALBERTA--(CCNMatthews - May 15, 2006) - Zargon Energy Trust (TSX:ZAR.UN) (TSX:ZOG.B) ("Zargon") confirms that the monthly cash distribution for the month of May in the amount of Cdn. $0.18 per trust unit will be paid on June 15, 2006 to unitholders of record on May 31, 2006. The ex-distribution date is May 29, 2006.

Zargon is also pleased to announce the appointment of Hank Baird as Vice President, Exploitation effective June 1, 2006. Mr. Baird has a Bachelors Degree in Geology, a Masters Degree in Petroleum Engineering and over 25 years experience in domestic and international reservoir engineering and acquisitions. He will be responsible for developing the exploitation strategies for Zargon's existing properties, for managing the reserves evaluation and reporting function of the company and for assisting with Zargon's acquisition initiatives.

Based in Calgary, Alberta, Zargon's securities trade on the Toronto Stock Exchange and there are currently 16.509 million trust units (ZAR.UN) and 2.341 million exchangeable shares (ZOG.B) outstanding. After giving effect to the conversion privilege of the exchangeable shares and the May 15, 2006 revised exchange ratio there would be a total of 19.192 million trust units outstanding.

In order to learn more about Zargon, we encourage you to visit Zargon's website at where you will find a current shareholder presentation, financial reports and historical news releases.

Contact Information

  • Zargon Energy Trust
    C.H. Hansen
    President and Chief Executive Officer
    (403) 264-9992
    Zargon Energy Trust
    B.C. Heagy
    Vice President, Finance and Chief Financial Officer
    (403) 264-9992