Grand Banks Energy Corporation

Grand Banks Energy Corporation

April 05, 2007 23:38 ET

Grand Banks Announces New Chief Financial Officer

CALGARY, ALBERTA--(CCNMatthews - April 5, 2007) -


Grand Banks Energy Corporation (TSX VENTURE:GBE) is pleased to announce that Mr. Shawn McDonald has been appointed Chief Financial Officer ("C.F.O.") of the Corporation, effective today. Shawn McDonald will replace Mary Kennedy, who served briefly with the Corporation as C.F.O. and V.P. Finance but resigned for personal reasons. She had replaced David Blain, who had acted as a part time C.F.O. since 2004, but wished to reduce his work load in preparation for his retirement.

Shawn McDonald is a lawyer with extensive experience in corporate governance issues and securities regulations. Shawn is also a member of the Canadian Association of Petroleum Landmen and has extensive experience in land contracts, administration and negotiations. He has served in a number of executive roles at Grand Banks, including Director, Corporate Secretary, and, most recently, Vice President Land. Mr. McDonald graduated from the University of Calgary in 1982 with a Bachelor of Commerce degree (major in finance), and earned a Bachelor of Laws degree in 1985. He has been a member of the Law Society of Alberta since 1987.

Mr. Edward McFeely, President and C.E.O. of Grand Banks stated: "Although Mr. McDonald had recently handed off his V.P. Land position to Mr. Dave Eskesen, he continues to be an integral part of our company. Shawn possesses a very broad set of skills and competencies, and has served a number of important roles for Grand Banks. He is familiar and current with our history and business and I am delighted that he has agreed to join us as our Chief Financial Officer."

Mr. McFeely further stated "We are excited about the prospects of our Corporation as we move forward. 2006 was a pivotal year in which we greatly increased our reserves at finding costs of $15.56 per boe, on a proved plus probable basis including future capital. Our 2006 operating netbacks were over $36.00 per barrel. These metrics put us near the top of all public junior oil and gas companies. We expect our production levels to reflect our reserve increases once our Tower Creek gas discovery commences production, expected around June of this year. Once that well is on, we expect our Corporate production levels to increase to the 1,100 boe/d range, and we have targeted a 2007 exit rate of 1,400 boe/d. We have grown Grand Banks with the drill bit and we have a large inventory of light oil development locations on 100% lands. Our future has never looked brighter, and it is our goal to increase our production to the 4,000 to 5,000 boe/d level in 3 to 4 years while prudently balancing debt and equity to optimize the growth in our share value."

Grand Banks expects to release its 2006 year-end financial results on or about April 16, 2007.


This press release contains forward-looking statements including expectations of future production. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated.

BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

Netback is the average per unit of volume for oil and gas revenues less royalties and production costs incurred. Netback is expressed in terms of dollars per boe and is calculated in accordance with National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities.

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

Contact Information

  • Grand Banks Energy Corporation
    E.C. (Ted) McFeely
    Chairman, President and Chief Executive Officer
    (403) 262-8666
    (403) 262-8796 (FAX)
    Grand Banks Energy Corporation
    1600, 444 - 5th Avenue S.W.
    Calgary, Alberta T2P 2T8