Longford Corporation

February 25, 2005 16:10 ET

Longford Corporation's Filing Statement Available On SEDAR


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: LONGFORD CORPORATION

TSX VENTURE SYMBOL: LFD.P

FEBRUARY 25, 2005 - 16:10 ET

Longford Corporation's Filing Statement Available On
SEDAR

TORONTO, ONTARIO--(CCNMatthews - Feb. 25, 2005) - Longford Corporation
(TSX VENTURE:LFD.P) has received conditional approval from the TSX
Venture Exchange for its previously announced qualifying transaction
(see Press Release dated December 6, 2004). The Company's Filing
Statement, setting out, among other things, the terms of the qualifying
transaction is available on SEDAR. Under the agreement with Canyon Creek
Resources Ltd., the Company has the right to purchase a 100% interest in
the land, wells, facilities and petroleum and natural gas rights
associated with the Alder Flats Property in Alberta, approximately 100
kilometers southwest of Edmonton. To acquire the Alder Flats Property,
Longford will make a cash payment of $400,000 and issue 218,750 common
shares at a price of $0.20 per share to Canyon Creek upon receiving
regulatory approval for the transaction and issue $175,000 worth of
common shares of Longford on November 1, 2005 (with 875,000 common
shares being the maximum number of shares to be issued on that date).
The number of Longford shares to be issued to Canyon Creek on November
1, 2005 will be based on the average closing price of the Longford
shares on the Exchange during the month of October 2005, subject to a
minimum average price of $0.20.

The Alder Flats property consists of one Viking and three Cardium
oilwells. Solution gas is conserved and sold into the Alberta spot
market. Current production totals 21.5 bbl/d of oil and 52.5 mcf/d of
sales gas. Ralph Sanford and Stephen Trimble, both "qualified reserves
evaluators" as such term as defined under National Instrument 51-101
Standards of Disclosure for Oil and Gas Activities, of Trimble
Engineering Associates Ltd. have assigned 102 mstb and 290 mmcf of
remaining proved plus probable reserves as of October 31, 2004,
according to NI 51-101.

The reserve and present worth appraisal prepared by Trimble Engineering
Associates Ltd., and a copy of the Filing Statement is available on
SEDAR (www.sedar.com).

Investors are cautioned that the completion of this transaction remains
subject to final approval from the TSX Venture Exchange. Trading in the
securities of a capital pool company should be considered highly
speculative. There can be no assurance that the transaction will be
completed as proposed or at all.

Longford Corporation is a capital pool company listed on the TSX Venture
Exchange under the symbol "LFD.P" and if the proposed qualifying
transaction is granted final approval by the TSX Venture Exchange will
continue its business in the oil and gas sector.

Statements in this release that are not historical facts are
"forward-looking statements" within the meaning of the U.S. Private
Securities Litigation Reform Act of 1995. Readers are cautioned that any
such statements are not guarantees of future performance and that actual
developments or results may vary materially from those in these
"forward-looking statements".

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Longford Corporation
    Donald Parker
    President & C.E.O.
    (403) 519-0522
    THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY
    OR ACCURACY OF THIS RELEASE.