Sequoia Oil & Gas Trust
TSX : SQE.UN

Sequoia Oil & Gas Trust

July 27, 2005 18:54 ET

Sequoia Oil & Gas Trust Announces Pricing Of Equity Financing

CALGARY, ALBERTA--(CCNMatthews - July 27, 2005) - Sequoia Oil & Gas Trust ("Sequoia" or the "Trust") (TSX:SQE.UN) has priced the previously announced equity offering at $15.35 per unit. The size of the public offering is 4,900,000 Trust Units for gross proceeds of $75.2 million, which represents an increase from the previously announced offering size of approximately $50 million. The closing of the offering is expected to occur on August 11, 2005 and remains subject to regulatory approvals.

Sequoia is a growth-oriented oil and natural gas trust with a high quality, diversified asset base. Its mandate is to generate stable monthly distributions and grow production and reserves per unit by focusing on low-cost operations, active development of the Trust's resource base and value-enhancing acquisitions of oil and natural gas properties.

The underwriters have agreed not to offer, sell or deliver the Trust Units offered hereunder, as part of the distribution of such Trust Units at any time, within the United States or to, or for the benefit or account of, U.S. persons except under applicable exemptions from the registration requirements of the United States Securities Act of 1933. This news release shall not constitute an offer to sell, or the solicitation of an offer to buy, Trust Units in the United States, nor shall there be any sale of the Trust Units in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The Trust Units may not be offered or sold in the United States absent registration under the United States Securities Act of 1933 or an applicable exemption from the registration requirements.

Forward-Looking Statements - Certain information regarding Sequoia set forth in this document contains forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond Sequoia's control. No assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Sequoia will derive therefrom.

THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information