Burmis Energy Inc.

Burmis Energy Inc.

February 25, 2005 08:45 ET

Burmis Energy Inc. Announces Equity Financing


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: BURMIS ENERGY INC.

TSX SYMBOL: BME

FEBRUARY 25, 2005 - 08:45 ET

Burmis Energy Inc. Announces Equity Financing

CALGARY, ALBERTA--(CCNMatthews - Feb. 25, 2005) - Burmis Energy Inc.
(TSX:BME) ("Burmis" or the "Company") announced today that it has
entered into a bought deal financing agreement with a syndicate of
underwriters led by FirstEnergy Capital Corp. and including Acumen
Capital Finance Partners Limited, First Associates Investments Inc. and
Clarus Securities Inc. (collectively, the "Underwriters") to issue 3.0
million common shares on a private placement basis at a price of $2.70
per common share for gross proceeds of approximately $8.1 million. The
Company has granted the Underwriters an option to purchase an additional
1.0 million common shares at the same price and terms and conditions. If
this option is exercised in full, total gross proceeds from the
financing will be approximately $10.8 million. In addition, certain
insiders of Burmis will subscribe for up to 165,000 common shares at a
price of $2.70 per common share under this financing. Completion of this
transaction is subject to receipt of all necessary regulatory approvals.
This transaction is expected to close in March 2005.

Proceeds from this offering will be used to fund Burmis' ongoing
exploration and development activities and for general corporate
purposes.

This news release shall not constitute an offer to sell or the
solicitation of any offer to buy securities in any jurisdiction. The
Burmis common shares have not been nor will be registered under the
United States Securities Act of 1933, and they may not be offered or
sold in the United States absent registration or an exemption from
registration.

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES

ADVISORY - Certain information regarding Burmis set forth in this
document, including management's assessment of the Company's future
plans and operations, may constitute forward-looking statements under
applicable securities law and necessarily involve risks associated with
oil and gas exploration, production, marketing, and transportation such
as loss of market, volatility of prices, currency fluctuations,
imprecision of reserves estimates, environmental risks, competition from
other producers and ability to access sufficient capital from internal
and external sources. As a consequence, actual results may differ
materially from those anticipated in the forward-looking statements.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Burmis Energy Inc.
    Mr. Aidan M. Walsh, P.Eng., MBA
    President and Chief Executive Officer
    (403) 781-7284
    or
    Burmis Energy Inc.
    Mr. Scott R. Dyck, CA
    Chief Financial Officer
    (403) 781-7284
    or
    1000, 736 - 6 Avenue S.W.
    Calgary, Alberta
    T2P 3T7
    (403) 781-7230
    (403) 261-9028 (FAX)
    Email: ir@burmisenergy.ca
    Website: www.burmisenergy.ca