Parallel Energy Trust
TSX : PLT.UN

Parallel Energy Trust

April 16, 2012 08:00 ET

Parallel Energy Trust Confirms April Distribution and Provides Hedging Update

CALGARY, ALBERTA--(Marketwire - April 16, 2012) -

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO ANY UNITED STATES NEWSWIRE SERVICES OR OTHERWISE FOR DISTRIBUTION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF UNITED STATES SECURITIES LAWS.

Parallel Energy Trust ("Parallel" or the "Trust") (TSX:PLT.UN) confirms that its cash distribution to be paid on May 23, 2012, in respect of the period from and including April 1, 2012 to April 30, 2012, to unitholders of record on April 30, 2012 will be $0.08 per trust unit. The ex-distribution date is April 26, 2012.

Parallel also announced that it entered into additional commodity hedges subsequent to the acquisition of the remaining 41% interest in the West Panhandle Field that was completed on April 12, 2012. The Trust has entered into the following additional hedges for 2012 and 2013:

Crude Oil

400 bbls/day for May 2012 to April 2013 at a forward price of US$104.50

400 bbls/day for January 2013 to June 2013 at a forward price of US$104.10

Natural Gas Liquids - Butane

250 bbls/day equivalent for May 2012 to April 2013 at a forward price of US$68.00

200 bbls/day equivalent for January 2013 to June 2013 at a forward price of US$68.00

Natural Gas

2,000 mmbtu/day for January 2013 to June 2013 at a forward price of US$2.98 per mmbtu

ABOUT PARALLEL ENERGY TRUST

Parallel's objectives are to create stable, consistent returns for investors through the acquisition and development of conventional oil and natural gas reserves and production with unexploited low risk potential in certain regions of the United States, and to pay out a portion of available cash to holders of trust units on a monthly basis. The Trust's initial asset is a 59% interest in a liquids-rich natural gas property located in the West Panhandle Field, Texas. The trust units of Parallel are listed on the Toronto Stock Exchange under the symbol "PLT.UN".

Parallel is a "mutual fund trust" under the Income Tax Act (Canada) (the "Tax Act"). The Trust will not be a "SIFT trust" (as defined in the Tax Act), provided that the Trust complies at all times with its investment restriction which precludes the Trust from holding any "non-portfolio property" (as defined in the Tax Act). Further information relating to Parallel and the trust units is set out in Parallel's final prospectus.

FORWARD-LOOKING STATEMENTS

This news release contains forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Parallel, including, without limitation, those listed under "Risk Factors" and "Notice to Investors-Forward-Looking Statements" in Parallel's final prospectus (collectively, "forward-looking information"). Forward-looking information in this news release includes, but is not limited to, Parallel's objectives and status as a mutual fund trust and not a SIFT trust and Parallel's expectations and estimates regarding the payment of distributions to unitholders, Parallel cautions investors in Parallel's securities about important factors that could cause Parallel's actual results to differ materially from those projected in any forward-looking statements included in this news release. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance are not historical facts and may be forward-looking and may involve estimates, assumptions and uncertainties which could cause actual results or outcomes to differ materially from those expressed in such forward-looking statements. No assurance can be given that the expectations set out in Parallel's final prospectus or herein will prove to be correct and accordingly, prospective investors should not place undue reliance on these forward-looking statements. These statements speak only as of the date of this press release and Parallel does not assume any obligation to update or revise them to reflect new events or circumstances. In this news release, Parallel and its subsidiaries are referred to collectively as the "Trust" or "Parallel".

Contact Information

  • Parallel Energy Trust
    Dennis Feuchuk
    President and CEO
    403-781-7888 or Toll Free: 1-855-781-7888

    Parallel Energy Trust
    Rick Miller
    Chief Financial Officer
    403-781-7888 or Toll Free: 1-855-781-7888
    investor@parallelenergy.ca