Cygam Energy Inc.

Cygam Energy Inc.

April 02, 2007 10:59 ET

Cygam Energy Inc. Announces the Closing of the Purchase of a Free Carried Interest in Three Exploration Permits in Italy

CALGARY, ALBERTA--(CCNMatthews - April 2, 2007) - Cygam Energy Inc. (TSX VENTURE:CYG) (the "Corporation" or "Cygam") is pleased to announce that it has closed the acquisition of a 12.5% free carried interest inclusive of all exploration costs to casing point in the first wells to be drilled in the B.R268.RG and Civitaquana permits and a 5% free carried interest in the first well to be drilled in the Montalbano permit (the "Permits") with Vittorito Petroleum S.r.l., a private company based in Rome, Italy.

The securities issued pursuant to the acquisition of the Permits are subject to restrictions on resale for a period of four months from closing. The acquisition of the Permits was approved by the independent members of the board of directors of the Corporation, but is exempt from the minority approval and valuation requirements applicable to related party transactions as the value of the transaction is below 25 percent of the Corporation's market capitalization.

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

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