Canada Energy Partners Inc.

Canada Energy Partners Inc.

March 12, 2007 08:30 ET

Canada Energy Partners Completes Non-Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 12, 2007) - Canada Energy Partners Inc. ("Canada Energy" or the "Corporation") (TSX VENTURE:CE) is pleased to report the completion of the non-brokered private placement previously announced on February 27, 2006. Pursuant to the terms of the private placement, the Company issued 363,636 common shares of the Company on a flow-through basis in accordance with the Income Tax Act (Canada) (the "Flow-Through Shares") at a purchase price of $1.10 per Flow-Through Share for gross proceeds to the Company of $400,000. All Flow-Through Shares issued pursuant to the private placement are subject to a four month hold period expiring on July 10, 2007.

The Company has an 18% working interest in the deep conventional gas rights on the lands covered by the Peace River Coalbed Methane Project located in the Peace River area in northeast British Columbia. The gross proceeds from the Offering will be used to participate in the drilling of the recently permitted Triassic test well. This well will be testing multiple formations below the coal-bearing shallow formation.

On behalf of the Board of Directors of Canada Energy Partners Inc.

John Proust, Director

Forward-looking statements: This document may contain statements about expected or anticipated future events and financial results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the Company's capability to execute and implement its future plans. Actual results may differ materially from those projected by management. For such statements, we claim the safe harbour for forward-looking statements within the meaning of the Private Securities Legislation Act of 1995.

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

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