High Plains Energy Inc.
TSX VENTURE : HYE

High Plains Energy Inc.
Powermax Energy Inc.
TSX VENTURE : PWR

August 24, 2005 13:34 ET

High Plains Energy Inc. Announces Mailing of Offer to Powermax Energy Inc. Shareholders

CALGARY, ALBERTA--(CCNMatthews - Aug. 24, 2005) - High Plains Energy Inc. (TSX VENTURE:HYE) ("High Plains") and Powermax Energy Inc. (TSX VENTURE:PWR) ("Powermax") are pleased to jointly announce that High Plains has mailed its offer to acquire all of the outstanding common shares of Powermax on the basis of cash in the amount of $0.5067 and 0.333 of a share in the capital of High Plains (the "Offer"). The Offer is open for acceptance until 4:30 pm (Calgary time) on September 26, 2005, unless withdrawn or extended. Included with the Offer is the Directors' Circular of Powermax in which the board of directors of Powermax unanimously recommends that the holders of common shares of Powermax accept the Offer.

High Plains and Powermax are both Calgary-based oil and natural gas exploration and development companies. High Plains' common shares trade on the TSX Venture Exchange under the symbol "HYE". Powermax's common shares trade on the TSX Venture Exchange under the symbol "PWR".

This press release shall not constitute an offer to sell or a solicitation of an offer to buy the securities in any jurisdiction. The common shares of High Plains will not be and have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States, or to a U.S. person, absent registration or applicable exemption therefrom.

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

Contact Information

  • High Plains Energy Inc.
    Ben Anderson
    President and Chief Operating Officer
    (403) 290-0078
    (403) 266-5959 (FAX)
    Email: info@highplainsenergy.ca
    or
    Powermax Energy Inc.
    Johannes Kingma
    President and Chief Executive Officer
    (403) 237-5535
    (403) 266-3734 (FAX)