Magnus Energy Inc.
TSX VENTURE : MEI.A
TSX VENTURE : MEI.B

Magnus Energy Inc.

September 30, 2005 18:13 ET

Magnus Operational Update

CALGARY, ALBERTA--(CCNMatthews - Sept. 30, 2005) - Magnus Energy Inc. (TSX VENTURE:MEI.A) (TSX VENTURE:MEI.B) ("Magnus") is pleased to announce that it has drilled and cased the first three wells in its operated drilling program in the Paradise Valley area. The fourth well in the program will be spudded during the first week of October, 2005. Completion operations on the Colony gas and McLaren oil zones within the first three wells will commence immediately.

"I am excited by our progress to date on our first operated drilling program. The Paradise Valley Farmin and Rolling Option Agreement gives Magnus exposure to the multi-zone oil and gas potential of East Central Alberta," remarked Murray Stewart, President & CEO of Magnus. "This area is characterized by shallow, high deliverability Mannville targets and year round surface access and is part of the balanced business strategy of Magnus," said Stewart.

Following the rig release of the second test well, the company's commitments pursuant to the Farmin and Rolling Option Agreement have been fulfilled. Management believes that the success of these earning wells will lead to the development of additional well locations in the area.

Magnus is also pleased to announce that due to its rapid growth, the Company has signed a five year lease and has relocated to:



Suite 1650, AMEC Place
801 - 6th Avenue S.W.
Calgary, Alberta T2P 3W2
Telephone: (403) 265-9990
Facsimile: (403) 262-9920


About Magnus Energy Inc.

Magnus Energy Inc. is a junior oil and gas company focused on the acquisition, exploration, exploitation, and development of oil and natural gas in Western Canada.

ADVISORY: Certain information regarding Magnus Energy Inc. including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with oil and gas exploration, production, marketing and transportation such as loss of market, volatility of prices, currency fluctuations, imprecision of reserve estimates, environment risks, competition from other producers and ability to assess sufficient capital from internal and external source. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements.

15,415,000 Class A Shares

1,044,000 Class B Shares

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

Contact Information

  • Magnus Energy Inc.
    Murray M. Stewart
    President and Chief Executive Officer
    (403) 262-9990 ext. 1003
    (403) 262-9920 (FAX)
    Email: Stewartm@magnusenergy.ca
    or
    Magnus Energy Inc.
    Stewart Larsen
    Chief Financial Officer
    (403) 262-9990 ext. 1002
    (403) 262-9920 (FAX)
    Email: Larsens@magnusenergy.ca
    or
    Magnus Energy Inc.
    Suite 1650, AMEC Place
    801 - 6th Avenue S.W.
    Calgary, Alberta T2P 3W2