CGX Energy Inc.
TSX VENTURE : OYL.U

CGX Energy Inc.

April 02, 2007 08:16 ET

CGX Energy Inc. Announces a US $8 Million Private Placement

TORONTO, ONTARIO--(CCNMatthews - April 2, 2007) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

CGX ENERGY INC. ("CGX" or the Corporation") (TSX VENTURE:OYL.U) is pleased to announced that it has set the terms of its previously announced private placement financing. Pursuant to the private placement, CGX will issue up to 10,000,000 common shares at a price of US$0.80 per share for gross proceeds of up to US $8 million. The Corporation has entered into an agreement with a syndicate of Agents led by Cormark Securities Inc. (formerly Sprott Securites Inc.) and including Fraser Mackenzie Limited (the "Agents") pursuant to which the Agents are appointed exclusive agents to act for the Corporation for the private placement on a best efforts basis.

Net proceeds of the offering will be used to continue the exploration on the company's three offshore Guyana Licenses and for general corporate purposes.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.

CGX Energy is a Canadian-based oil and gas exploration company focused on exploration for oil in Guyana, South America. CGX is managed by a team of experienced oil and gas and finance professionals from Canada, U.S.A. and the UK. CGX is financed internationally and has thousands of shareholders worldwide.

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

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