FairWest Energy Corporation
TSX VENTURE : FEC

FairWest Energy Corporation

April 01, 2011 09:30 ET

FairWest Energy Closes Private Placements

CALGARY, ALBERTA--(Marketwire - April 1, 2011) - FairWest Energy Corporation (TSX VENTURE:FEC) ("FairWest" or the "Company") announces that it closed the first tranche of the private placement offerings announced on March 14, 2011 to issue 10 million common shares and 10 million flow-through common shares. On March 31, 2011, the Company issued 8,072,000 flow-through common shares at $0.25 per flow-through common share for aggregate proceeds of $2,018,000. The Company also issued 3,285,000 common shares at $0.20 per common share for aggregate proceeds of $657,000. The Shares were issued with a four month hold period pursuant to securities rules. The proceeds will be expended in 2011 and 2012 on exploration and development projects designed to increase production from FairWest's lands. The Company anticipates closing the balance of the private placement offerings on or before April 20, 2011.

About FairWest Energy

FairWest (TSX VENTURE:FEC) is a Calgary, Alberta based junior oil and gas company engaged in the acquisition, exploration, development and production of crude oil, natural gas and natural gas liquids in the provinces of Alberta and Saskatchewan.

READER ADVISORY

This news release may contain certain forward-looking statements, including management's assessment of future plans and operations, and capital expenditures and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada, the United States and overseas, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, stock market volatility and market valuations of companies with respect to announced transactions and the final valuations thereof, and obtaining required approvals of regulatory authorities. The Company's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits, including the amount of proceeds, that the Company will derive there from. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

222,701,144 Common Shares Issued

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • FairWest Energy Corporation
    Vern Fauth
    Chief Executive Officer
    (403) 264-4949
    (403) 269-1761 (FAX)
    vfauth@fairwestenergy.com
    or
    FairWest Energy Corporation
    Douglas O. McNichol
    President and Chief Operating Officer
    (403) 264-4949
    (403) 269-1761 (FAX)
    dmcnichol@fairwestenergy.com
    or
    FairWest Energy Corporation
    Marion D. Mackie
    Chief Financial Officer
    (403) 264-4949
    (403) 269-1761 (FAX)
    mmackie@fairwestenergy.com