Fairborne Energy Trust

Fairborne Energy Trust

August 10, 2005 13:43 ET

Fairborne Energy Trust Announces Increase to Exchangeable Ratio Effective August 15, 2005

CALGARY, ALBERTA--(CCNMatthews - Aug. 10, 2005) - Fairborne Energy Trust (TSX:FEL.UN) today announced the increase to the Exchange Ratio of the Exchangeable Shares of Fairborne Energy Ltd. from 1.00996 to 1.01872. This increase will be effective on August 15, 2005.

The increase in the Exchange Ratio is calculated as follows:

Record Date of Fairborne Energy
Trust Distribution: July 31, 2005
Opening Exchange Ratio: 1.00996
Fairborne Energy Trust Distribution per Unit: $0.11
Five-day Weighted Average Trading Price of FEL.UN
(prior to the end of July): $12.68
Increase in Exchange Ratio (1): 0.00876
Effective Date of the Increase in Exchange Ratio: August 15, 2005
Exchange Ratio as of the Effective Date: 1.01872

(1) The increase in the Exchange Ratio is calculated by multiplying
the Fairborne Energy Trust Distribution per Unit by the Opening
Exchange Ratio and dividing by the Five-day Weighted Average
Trading Price of FEL.UN.

Exchangeable Shares of Fairborne Energy Ltd. trade on the Toronto Stock Exchange under the symbol FXL. A holder of Fairborne Energy Ltd. Exchangeable Shares can exchange all or a portion of their holdings into trust units of Fairborne Energy Trust at any time, by giving notice to their investment advisor or Computershare Trust Company of Canada at its principal transfer office at Suite 710, 530 - 8th Ave., SW, Calgary, Alberta T2P 3S8.

Forward Looking Statements - Certain information regarding the Trust set forth in this document, including management's assessment of future plans, contains forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the Trust's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations and the timing of listing of the securities. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Trust disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information

  • Fairborne Energy Trust
    Steven R. VanSickle
    President and Chief Executive Officer
    (403) 290-7759
    (403) 290-7724 (FAX)
    Email: svansickle@fairbornetrust.com
    Fairborne Energy Trust
    Aaron Grandberg
    Vice President, Finance and CFO
    (403) 290-3217
    (403) 290-7724 (FAX)
    Email: agrandberg@fairbornetrust.com