Candax Energy Inc.

Candax Energy Inc.

March 01, 2005 09:00 ET

Candax Acquires Centurion Energy International's Tunisian Operations


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: CANDAX ENERGY INC.

MARCH 1, 2005 - 09:00 ET

Candax Acquires Centurion Energy International's
Tunisian Operations

TORONTO, ONTARIO--(CCNMatthews - March 1, 2005) - Candax Energy Inc.
("Candax") is pleased to announce that it has entered into an agreement
with Centurion Energy International Inc. ("Centurion") for the purchase
of Centurion's current Tunisian operations for a base purchase price of
$41.2 million (Canadian funds) plus working capital adjustments
effective January 1, 2005.

Specifically, Candax has agreed to purchase Centurion's 'operated'
affiliates Ecumed Petroleum Grombalia Ltd., Ecumed Petroleum Zarzis
Ltd., Ecumed Petroleum Tunisia Ltd. and Centurion's 50% interest in the
SEEB power plant which represent all of Centurion's current production
from the Ezzaouia (31.4% WI), El Bibane (73.8% WI), Robanna (80% WI) and
Al Manzah (75% WI) fields approximating 1,200 bopd of oil and 4.8 mmscf
per day of natural gas. Centurion will retain the right to participate
for up to 50% of Candax's resultant working interest in any Deep
Triassic exploration well at either or both of Ezzaouia and El Bibane.
Excluded from the sale transaction is Centurion's ownership in the
Mellita permit and the accompanying PetroCanada farm-out agreement.

The transaction is anticipated to close by April 30, 2005 subject to
certain conditions including financing and the receipt of various third
party and government consents.

Michael Wood, Candax's President & CEO said of the acquisition "It
represents an important first step to building Candax's oil and gas
portfolio in North Africa, and Tunisia in particular. Candax has strong
financial backing, and anticipates that additional similar high quality
deals will be announced in the coming months".

Candax Energy Inc. is an independent, privately-owned, international
energy company. The Company was formed through the combination of a
highly experienced executive management team with successful Canadian
founders and financiers, to develop an international upstream oil and
gas project portfolio. Candax is initially focusing its growth
activities on production and development projects in the Middle East and
North Africa, where the group has strong political and partner
relationships as well as extensive management experience.

Not for distribution to United States newswire services or for
dissemination in the United States.

Certain statements in this News Release constitute forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Such forward-looking statements involve risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Corporation to be materially
different from any future results, performance or achievements expressed
or implied by such forward looking statements.



Head Office: 512, 120 Adelaide Street West, Toronto, Ontario, Canada
M5H 1T1
T: 416.368.9137 F: 416.364.5400
UK Office: Hirzel Court C3, St. Peter Port, Guernsey, Channel
Islands
T: 011.44.1481.238971 F: 011.44.1481.238911
UAE Office: Level 41, Emirates Towers, PO Box 31303, Sheikh Zayek
Road, Dubai, UAE
T: 011.971.4.319.7663 F: 011.971.4.330.3365



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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Candax Energy Inc.
    John Clarke
    Executive Vice President, Corporate
    (416) 368-9137
    (416) 364-5400 (FAX)
    jclarke@candax.com
    www.candax.com