Masters Energy Inc.
TSX : MSY

Masters Energy Inc.

April 16, 2009 16:01 ET

Masters Energy Inc. Reaffirms Recommendation to Support Zargon Arrangement

CALGARY, ALBERTA--(Marketwire - April 16, 2009) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Masters Energy Inc. ("Masters") (TSX:MSY) announces that it has been notified by Sun Century Petroleum Corporation ("Sun Century") of their intention to commence a public offer to acquire all the outstanding Masters common shares for cash at a price of $1.85 per share. Sun Century publicly announced its intention in an April 15, 2009 press release.

At this time the Board of Directors of Masters with advice from its financial advisor, FirstEnergy Capital Corp. and its legal counsel, Borden Ladner Gervais LLP, reaffirms and maintains its unanimous determination that the previously announced arrangement (the "Zargon Arrangement") whereby Zargon Energy Trust would acquire Masters for a combination of cash and trust units of Zargon Energy Trust is in the best interests of Masters and the Masters shareholders and further reaffirms its unanimous recommendation that Masters shareholders vote in favour of the Zargon Arrangement.

Full details of the Zargon Arrangement are contained in Masters Notice of Annual and Special Meeting of Shareholders, Notice of Petition to the Court of Queen's Bench of Alberta and Management Information Circular and Proxy Statement dated March 27, 2009, which has been mailed to Masters shareholders and is available at www.sedar.com.

Forward-looking Statements

Certain information regarding Masters, including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities law and necessarily involve risks associated with oil and natural gas exploration, production, marketing and transportation such as loss of market, volatility of commodity prices, currency fluctuations, uncertainties of reserve estimates, environmental risks, competition from other producers and ability to access sufficient capital from internal and external sources; as a consequence, actual results may differ materially from those anticipated. Masters assumes no obligation to update the forward-looking statements contained herein or to update the reasons why actual results could differ from those contemplated by the forward-looking statements, unless so required by applicable securities law.

Contact Information

  • Masters Energy Inc.
    Geoffrey C. Merritt
    President and CEO
    (403) 290-1785
    or
    Masters Energy Inc.
    Randall P. Boyd
    Chief Financial Officer
    (403) 290-1785
    Website: www.mastersenergy.com