Sahara Energy Ltd.

Sahara Energy Ltd.

April 10, 2006 15:13 ET

Sahara Energy Announces Investment

CALGARY, ALBERTA--(CCNMatthews - April 10, 2006) - Sahara Energy Ltd. (TSX VENTURE:SAH) ("Sahara" or the "Company") is pleased to announce that Hesperian Capital Management Ltd., which manages a strategically focused group of public and private investment funds, has acquired 500,000 additional common shares of Sahara through the exercise of warrants, by its wholly owned Norrep Performance 2005 Flow-Through Limited Partnership. As a result of this investment, Hesperian's Norrep Performance 2005 Flow-Through Limited Partnership holds 1,500,000 common shares of Sahara, which currently represents 14.26% of the outstanding voting shares of the Company. Sahara has been advised that Hesperian's management may increase or decrease Hesperian's share ownership of Sahara in the future and that the Sahara shares are held by Hesperian for investment purposes and will be reviewed by Hesperian's management on a regular basis. Hesperian has also advised Sahara that it has filed the requisite report under securities legislation in connection with the acquisition.

Hesperian Capital Management Ltd. is a Calgary-based investment manager that manages the Norrep Group of Funds which has approximately $630 million in combined assets.

Sahara is a junior oil and gas company focused on the acquisition, exploration and development of oil and natural gas in western Canada.

ADVISORY: Certain information regarding the Company 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.

Common Shares Issued: 11,016,000

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

Contact Information

  • Sahara Energy Ltd.
    Peter Boswell
    President and CEO
    (403) 232-1359
    (403) 232-1307 (FAX)
    Sahara Energy Ltd.
    1440, 700 - 4th Avenue S.W.
    Calgary, Alberta T2P 3J4