Sharon Energy Ltd.
TSX VENTURE : SHY

Sharon Energy Ltd.

March 29, 2007 09:00 ET

Sharon Discontinues Convertible Debenture Offering

CALGARY, ALBERTA--(CCNMatthews - March 29, 2007) -

NOT FOR DISTRIBUTION IN THE U.S. OR TO U.S. NEWSWIRE SERVICES

Sharon Energy Ltd. (TSX VENTURE:SHY) ("Sharon" or "the Company") announces that it has discontinued the private placement offering of $5 million of convertible unsecured subordinated debentures previously announced on January 29, 2007, due to poor market conditions. Research Capital Corporation was the Agent for the private placement.

Sharon has drawn on its unused credit facility with Humboldt Capital Corporation to finance its drilling obligation with respect to a deep Wilcox well on the Cheney Prospect in Colorado County, Texas, which is anticipated to commence drilling by April 15, 2007.

Sharon is an oil and gas exploration and production company based in Calgary, Alberta. Sharon's current focus is on shallow gas developments in southern Alberta, natural gas exploration in central and southern Alberta and deep gas exploration in Texas.

Forward-looking statements - statements included in this press release that are not historical facts may be considered "forward-looking statements." All estimates and statements that describe the Company's objectives, goals or future plans are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties where actual results could differ materially from those currently anticipated.

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

Contact Information

  • Sharon Energy Ltd.
    Houston, Texas
    H.C. (Kip) Ferguson, III, President
    (713) 789-5395
    (713) 789-8454 (FAX)
    or
    Sharon Energy Ltd.
    Calgary, Alberta
    Robert W. Lamond, Chairman
    (403) 269-9889
    (403) 269-9890 (FAX)
    Website: www.sharonenergy.com