Fairborne Energy Ltd.

Fairborne Energy Ltd.

October 13, 2010 17:48 ET

Fairborne Energy Ltd. Reports Increase in Borrowing Base to $325 Million

CALGARY, ALBERTA--(Marketwire - Oct. 13, 2010) - Fairborne Energy Ltd. (TSX:FEL) ("Fairborne" or the "Company") is pleased to announce that the Company has received approval for an increase in the borrowing base under its bank credit facility from $285 million to $325 million. The increase was unanimously approved by the existing lending syndicate led by the Royal Bank of Canada and including Alberta Treasury Branch, Canadian Imperial Bank of Commerce, National Bank of Canada and Union Bank. The increase in the borrowing base is driven by the Company's recent operational growth and the previously announced McLeod River/Carrot Creek acquisition which closed on September 9th, 2010. Fairborne's borrowing base will be formally reviewed again in early 2011 in conjunction with the Company's release of its year end reserve report. 

Fairborne is a crude oil and natural gas exploration, development and production company headquartered in Calgary, Alberta, Canada. Its common shares trade on the Toronto Stock Exchange under the symbol "FEL".

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