Canadian Superior Energy Inc.
TSX : SNG
NYSE Amex : SNG

Canadian Superior Energy Inc.

August 11, 2009 08:25 ET

Canadian Superior Energy Inc. Annual and Special Meeting and Settlement Agreement With Palo Alto Investors

CALGARY, ALBERTA--(Marketwire - Aug. 11, 2009) - Canadian Superior Energy Inc. ("Canadian Superior" or the "Company") (TSX:SNG)(NYSE Amex:SNG) announced today that it is finalizing its information circular for forwarding to shareholders in connection with its annual and special meeting of shareholders. The meeting, which had previously been scheduled for September 1, 2009, will now be held on September 9, 2009.

The board of directors of Canadian Superior will be substantially reconstituted at the meeting. The nominees for the board named in the information circular are Kerry R. Brittain, Marvin M. Chronister, Dr. James Funk, Dr. William Roach, Gregory G. Turnbull and Richard Watkins, of whom the first four were proposed by Palo Alto Investors, LLC ("Palo Alto") in the settlement agreement referred to below. All the nominees to the board are independent, as that term is defined in applicable Canadian securities legislation. These nominees have the support of Palo Alto which previously had requisitioned a meeting of shareholders of Canadian Superior to, among other things, elect a replacement board of directors. Canadian Superior has entered into a settlement agreement with Palo Alto which, subject to the approval of the Court of Queen's Bench of Alberta, provides for Canadian Superior to nominate and support the election of the individuals named above as directors of Canadian Superior. The Company has filed an application with the Court requesting the Court's approval of the terms of the settlement agreement. Hardie and Kelly Inc., the Court-appointed Monitor under the CCAA proceedings, has advised the Company that it will recommend approval of the settlement agreement to the Court.

At the meeting, shareholders will also be asked to approve the previously announced proposed plan of arrangement involving Canadian Superior, Challenger Energy Corp. and the shareholders of Challenger Energy Corp.

The Company expects to mail its information circular and form of proxy to shareholders on or about August 14, 2009. Shareholders are urged to review the materials, and to return their duly completed form of proxy (voting in favour of each of the items set out in the Notice of Meeting) as soon as possible and in any event prior to September 4, 2009.

Canadian Superior Energy Inc. is a Calgary, Alberta, Canada based diversified global energy company engaged in the exploration and production of oil and natural gas, and liquefied natural gas ("LNG") projects, with operations offshore Trinidad and Tobago, offshore Nova Scotia, Canada, in Western Canada, in the United States and in North Africa. See Canadian Superior's website at www.cansup.com to review Canadian Superior's operations.

This news release contains forward-looking information, including the reconstitution of the board of directors, settlement with Palo Alto Investors, LLC, holding of an annual and special meeting of shareholders and the implementation of a plan of arrangement with Challenger Energy Corp. Actual results could differ materially due to intervening events, lack of court approval, the result of the shareholder vote and commercial negotiations and therefore, there can be no assurance that any of the foregoing actions by the Company will be completed. Forward-looking information contained in this news release is as of the date of this news release. The Company assumes no obligation to update and/or revise this forward-looking information except as required by law.

Statements contained in this news release relating to future results, events and expectations are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements involve known and unknown risks, uncertainties, scheduling, re-scheduling and other factors which may cause the actual results, performance, estimates, projections, resource potential and/or reserves, interpretations, prognoses, schedules or achievements of the Corporation, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such statements. Such factors include, among others, those described in the Corporation's annual reports on Form 40-F or Form 20-F on file with the U.S. Securities and Exchange Commission.

Contact Information

  • Canadian Superior Energy Inc.
    Investor Relations
    (403) 294-1411
    (403) 216-2374 (FAX)
    or
    Canadian Superior Energy Inc.
    Suite 3200, 500 - 4th Avenue S.W.
    Calgary, Alberta, Canada T2P 2V6
    www.cansup.com