MGM Energy Corp.
TSX : MGX

MGM Energy Corp.

June 09, 2008 11:29 ET

MGM Energy Corp.: Successful Bid for Lands in Northwest Territories

CALGARY, ALBERTA--(Marketwire - June 9, 2008) -

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MGM Energy Corp. ("MGM Energy") (TSX:MGX) announced today that it has been notified by Indian and Northern Affairs Canada that it, along with its partners, were the successful bidders at two land sales in the Northwest Territories.

In the Central Mackenzie Valley MGM Energy and Devon Canada ("Devon") acquired Exploration License 454 located near Tulita in the Sahtu region. EL 454 consists of approximately 82,100 hectares and was acquired jointly by MGM Energy and Devon for an aggregate work commitment of $5,487,626. Each of MGM Energy and Devon holds 50% of this EL, and MGM Energy is the operator. Exploration License 454 adjoins Exploration License 440, owned as to 100% by MGM Energy.

In the Mackenzie Delta, MGM Energy, and ConocoPhillips Canada Resources Corp. and its affiliate ("ConocoPhillips"), were the successful bidders on Exploration License 450, located in the northern onshore Mackenzie Delta. EL 450 consists of approximately 41,323 hectares and was acquired for an aggregate work commitment of $1,754,636. This Exploration License is adjacent to the Umiak Significant Discovery License, also owned by MGM Energy and ConocoPhillips Canada. MGM Energy is the operator and 60% interest owner in EL 450, with the balance being held by ConocoPhillips.

"We're very pleased that we were able to acquire these two exploration licenses, both of which adjoin existing exploration acreage held by us. We're also pleased to have been joined in these acquisitions by ConocoPhillips and Devon," said Henry Sykes, President of MGM Energy. "The acquisition of these exploration licenses is a continuation of MGM Energy's strategy of acquiring land in highly prospective areas in the Northwest Territories."

MGM Energy is a Calgary-based Canadian oil and gas exploration and development company with operations in Northern Canada. MGM Energy's common shares are listed on Toronto Stock Exchange under the symbol "MGX".

Certain statements or information included in this press release constitute forward-looking statements under applicable securities legislation. Forward-looking statements or information in this press release include but are not limited to business strategy and objectives, exploration and drilling plans and the timing thereof, as well as the anticipated timing for seeking regulatory approvals. Such forward-looking statements or information are based on a number of assumptions which may prove to be incorrect. Although MGM Energy believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because MGM Energy can give no assurance that such expectations will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by MGM Energy and described in the forward-looking statements or information. The forward-looking statements or information contained in this document are made as of the date hereof and MGM Energy undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Contact Information

  • MGM Energy Corp.
    H. W. (Henry) Sykes
    President
    (403) 781-7800
    (403) 781-7801 (FAX)
    or
    MGM Energy Corp.
    Rick Miller
    Chief Financial Officer
    (403) 781-7800
    (403) 781-7801 (FAX)