August 26, 2005 09:25 ET

Strategic Energy Management Corp. Announces Exchange Ratios Relating to the Exchange Option for Strategic Energy Fund Offering 'TSX:SEF.UN'

TORONTO, ONTARIO and CALGARY, ALBERTA--(CCNMatthews - Aug. 26, 2005) - Strategic Energy Management Corp. is pleased to announce the exchange ratios relating to the exchange option (the "Exchange Option") of the previously announced offering (the "Offering") of trust units (the "Units") of Strategic Energy Fund (the "Fund")(TSX:SEF.UN) pursuant to the preliminary prospectus of the Fund dated July 28, 2005 (the "Preliminary Prospectus"). Through the Exchange Option, the Fund offered to issue Units in exchange for units or shares ("Eligible Securities") of the 88 Exchange Eligible Issuers (the "Issuers") listed in the Preliminary Prospectus.

Exchange Option

The Exchange Option was open for acceptance by holders of Eligible Securities until 4:00 p.m. (Toronto time) on August 25, 2005 (the "Deposit Date").

Determination of Exchange Ratios

The number of Units to be issued in exchange for Eligible Securities (the "Exchange Ratio") of any particular Issuer was determined by multiplying the number of such Eligible Securities deposited pursuant to the Exchange Option by the Exchange Ratio.

The Exchange Ratio for any particular Issuer was determined by dividing the weighted average trading price of such Eligible Security on the Toronto Stock Exchange ("TSX") during the three consecutive trading days ended August 25, 2005, as adjusted to reflect distributions declared by such Issuer that will not be received by the Fund, by the Unit Price.

The Unit Price of $14.0604 is equal to the weighted average trading price of the Units on the TSX during the three consecutive trading days ended on the Deposit Date, as adjusted to reflect distributions declared by the Fund on or prior to the Deposit Date that will not be received by purchasers under the Offering.

Issuers and Exchange Ratios

The following table specifies the weighted average trading price of each Eligible Security and the Exchange Ratios used to determine the number of Units to be issued for each Eligible Security. The Exchange Ratios and other information disclosed below will be included in the final prospectus to be filed with the securities regulatory authorities across Canada. The Exchange Ratios are rounded down to four decimal places.

Issuer Weighted Exchange
Average Ratio
Price ($) (Units per

Oil & Gas Trusts
Acclaim Energy Trust (AE.UN) 16.9144 1.2029
ARC Energy Trust (AET.UN) 21.8298 1.5525
Baytex Energy Trust (BTE.UN) 15.9403 1.1337
Bonavista Energy Trust (BNP.UN) 33.3622 2.3727
Canadian Oil Sands Trust (COS.UN) 116.7946 8.3066
Crescent Point Energy Trust (CPG.UN) 19.9916 1.4218
Daylight Energy Trust (DAY.UN) 11.0897 0.7887
Enerplus Resources Fund (ERF.UN) 48.0900 3.4202
Esprit Energy Trust (EEE.UN) 14.0632 1.0001
Fairborne Energy Trust (FEL.UN) 13.3277 0.9478
Focus Energy Trust (FET.UN) 20.7900 1.4786
Freehold Royalty Trust (FRU.UN) 17.3640 1.2349
Harvest Energy Trust (HTE.UN) 36.2501 2.5781
Ketch Resources Trust (KER.UN) 11.8573 0.8433
NAL Oil and Gas Trust (NAE.UN) 15.8381 1.1264
NAV Energy Trust (NVG.UN) 8.9822 0.6388
Paramount Energy Trust (PMT.UN) 20.3320 1.4460
Pengrowth Energy Trust Class B (PGF.B) 19.0014 1.3514
Penn West Energy Trust (PWT.UN) 32.9156 2.3410
Petrofund Energy Trust (PTF.UN) 20.9929 1.4930
Peyto Energy Trust (PEY.UN) 30.3844 2.1609
PrimeWest Energy Trust (PWI.UN) 33.1925 2.3607
Progress Energy Trust (PGX.UN) 14.5652 1.0359
Provident Energy Trust (PVE.UN) 13.5831 0.9660
Sequoia Oil and Gas Trust (SQE.UN) 17.7067 1.2593
Shiningbank Energy Income Fund (SHN.UN) 23.4663 1.6689
StarPoint Energy Trust (SPN.UN) 20.1655 1.4342
Thunder Energy Trust (THY.UN) 12.9453 0.9206
Trilogy Energy Trust (TET.UN) 19.5515 1.3905
Vault Energy Trust (VNG.UN) 12.6868 0.9023
Vermilion Energy Trust (VET.UN) 24.9393 1.7737
Viking Energy Royalty Trust (VKR.UN) 8.1032 0.5763
Zargon Energy Trust (ZAR.UN) 27.6799 1.9686

Energy Services
Badger Income Fund (BAD.UN) 19.5924 1.3934
Builders Energy Services Trust (BET.UN) 15.5597 1.1066
Cathedral Energy Services Income Trust (CET.UN) 8.1108 0.5768
CCS Income Trust (CCR.UN) 31.7949 2.2613
Formost Industries Income Fund (FMO.UN) 12.7006 0.9032
Newalta Income Fund (NAL.UN) 23.4379 1.6669
Mullen Group Income Fund (MTL.UN) 23.3310 1.6593
Peak Energy Services Trust (PES.UN) 11.8347 0.8417
Phoenix Technology Income Fund (PHX.UN) 7.8078 0.5553
Stoneham Drilling Trust (SDG.UN) 22.4628 1.5975
Total Energy Services (TOT.UN) 13.2990 0.9458
Trimac Income Fund (TMA.UN) 9.9654 0.7087
Trinidad Energy Services Income Trust (TDG.UN) 13.8144 0.9825
Wellco Energy Services Trust (WLL.UN) 10.7668 0.7657

AltaGas Income Trust (ALA.UN) 27.8084 1.9777
Enbridge Income Fund (ENF.UN) 13.8667 0.9862
Fort Chicago Energy Partners L.P. (FCE.UN) 13.0313 0.9268
Inter Pipeline Fund (IPL.UN) 9.8493 0.7004
Keyera Facilities Income Fund (KEY.UN) 18.9079 1.3447
Pembina Pipeline Income Fund (PIF.UN) 15.3669 1.0929
Taylor NGL Limited Partnership (TAY.UN) 9.5640 0.6802

Algonquin Power Income Fund (APF.UN) 10.0023 0.7113
Atlantic Power Corporation (ATP.UN) 10.3642 0.7371
Boralex Power Income Fund (BPT.UN) 11.1408 0.7923
Calpine Power Income Fund (CF.UN) 10.7219 0.7625
Countryside Power Income Fund (COU.UN) 10.0029 0.7114
Gaz Metro Limited Partnership (GZM.UN) 22.2166 1.5800
Great Lakes Hydro Income Fund (GLH.UN) 19.5786 1.3924
Innergex Power Income Fund (IEF.UN) 13.4293 1.9551
Macquarie Power Income Fund (MPT.UN) 11.3264 0.8055
Northland Power Income Fund (NPI.UN) 14.3311 1.0192
TransAlta Power, L.P. (TPW.UN) 9.8202 0.6984
TransCanada Power, L.P. (TPL.UN) 36.7316 2.6124

Calfrac Well Services Ltd. (CFW) 34.9300 2.4842
Compton Petroleum Corporation (CMT) 13.6343 0.9696
Duvernay Oil Corp. (DDV) 37.2777 2.6512
Enbridge Inc. (ENB) 34.4309 2.4487
Enerflex Systems Ltd. (EFX) 28.4613 2.0242
Ensign Energy Services Inc. (ESI) 34.0605 2.4224
Husky Energy Inc. (HSE) 58.6658 4.1724
Nexen Inc. (NXY) 49.5447 3.5237
Niko Resources Ltd. (NKO) 56.1728 3.9951
NuVista Energy Ltd. (NVA) 16.0065 1.1384
Petro-Canada (PCA) 92.9522 6.6109
PetroKazakhstan Inc. (PKN) 65.3445 4.6474
Precision Drilling Corporation (PD) 53.3200 3.7922
Shell Canada Limited (SHC) 37.1801 2.6443
Suncor Energy Inc. (SU) 67.8309 4.8242
Talisman Energy Inc. (TLM) 56.1473 3.9932
TransCanada Corporation (TRP) 32.3624 2.3016
Real Resources Inc. (RER) 23.7549 1.6894
Western Oil Sands, Inc. (WTO) 29.7340 2.1147

Avenir Diversified Income Trust (AVF.UN) 13.0578 0.9286
Fording Canadian Coal Trust (FDG.UN) 135.4117 9.6307
Westshore Terminals Income Fund (WTE.UN) 13.8306 0.9836

Strategic Energy Fund

The Fund is an investment trust that seeks to provide its unitholders with superior rates of return through a diversification strategy focused on investment opportunities within the Canadian energy sector. The Fund invests in established companies as well as early-stage energy companies and to a lesser extent special energy issuers, each with prospects for high growth in the near to medium term and the potential for long-term capital appreciation.

Sentry Select Capital Corp.

The Investment Advisor is Sentry Select Capital Corp., which is a wealth management company with gross assets under management in excess of $7 billion, including more than $1.4 billion in energy sector-related investments.


The syndicate for the Offering is co-led by First Associates Investments Inc. and Canaccord Capital Corporation and also includes HSBC Securities (Canada) Inc., Raymond James Ltd., Berkshire Securities Inc., Desjardins Securities Inc., Dundee Securities Corp., Wellington West Capital Inc., GMP Securities Ltd., Industrial Alliance Securities Inc., IPC Securities Corporation, Jory Capital Inc., Research Capital Corporation, Rothenberg Capital Management Inc. and Octagon Capital Corporation.

The Exchange Tower
130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4
Telephone: (416) 861-8729
Fax: (416) 364-5615

Contact Information

  • Strategic Energy Fund
    Investor Services (broker/investor enquiries)
    (416) 364-1197 (FAX)
    Strategic Energy Fund
    June MacKinnon (MEDIA enquiries)
    (416) 364-1197 (FAX)