Loon Energy Inc.

Loon Energy Inc.

March 16, 2005 12:34 ET

Loon Energy Inc.: Block Trade Related to Private Placement


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: LOON ENERGY INC.

TSX VENTURE SYMBOL: LEY

MARCH 16, 2005 - 12:34 ET

Loon Energy Inc.: Block Trade Related to Private
Placement

CALGARY, ALBERTA--(CCNMatthews - March 16, 2005) -

Not for distribution to United States newswire services or for
dissemination in the United States

Loon Energy Inc. ("Loon") (TSX VENTURE:LEY) announces that, further to
the news release issued earlier today, a director of Loon has sold
3,000,000 common shares at a price of $0.95 per common share through the
facilities of the TSX Venture Exchange. The director will use the
proceeds from this sale to acquire 3,000,000 common shares at $0.95 as a
subscriber to the private placement announced earlier today.

Forward Looking Statements - Some of the statements contained in this
release may be forward-looking statements. Forward-looking statements
may include, but are not limited to, statements concerning estimates of
recoverable hydrocarbons, expected hydrocarbon prices, expected costs,
statements relating to the continued advancement of the Company's
projects and other statements which are not historical facts. When used
in this document, and in other published information of the Company, the
words such as "could," "estimate," "expect," "intend," "may,"
"potential," "should," and similar expressions are indicative of a
forward-looking statement. Although the Company believes that its
expectations reflected in the forward-looking statements are reasonable,
the potential results suggested by such statements involve risk and
uncertainties and no assurance can be given that actual results will be
consistent with these forward-looking statements. Various factors, which
could cause actual results to differ from these forward-looking
statements, include the potential that the Company's projects will
experience technical and mechanical problems, geological conditions in
the reservoir which may negatively impact levels of oil and gas
production and changes in product prices and other risks not anticipated
by the Company or disclosed in the Company's published material. Since
forward-looking statements address future events and conditions, by
their very nature, they involve inherent risks and
uncertainties.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Loon Energy Inc. (Calgary)
    Norm Holton
    (403) 264-8877
    or
    Loon Energy Inc. (Dubai)
    Timothy M. Elliott
    +971-4-339-5212
    The TSX Venture Exchange neither approves nor disapproves of the
    information contained herein.