Terra Energy Corp.
TSX VENTURE : TTR

Terra Energy Corp.

June 22, 2005 19:48 ET

Terra Energy Holds Annual General and Special Meeting of Shareholders

CALGARY, ALBERTA--(CCNMatthews - June 22, 2005) -

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Terra Energy Corp. (TSX:TTR) ("Terra Energy", the "Company" or the "Corporation") announces that, at the Annual General and Special Meeting of Shareholders held today, shareholders approved the election of the seven directors as set out in the Management Information Circular, namely Colin P. MacDonald, R. Cal McCulloch, Robert D. Penner, Ralph G. Evans, Ted S. Anderson, Anthony R. Harvey and Cas H. Morel. In addition, the shareholders approved the re-appointment of BDO Dunwoody, LLP as auditor for the current year and the adoption of the amended and restated stock option plan for the Corporation.

Subject to the approval of the TSX Venture Exchange, the Board of Directors of the Company has granted 1,493,000 options under the Company's stock option plan to certain directors, officers, employees and consultants. The amended and restated stock option plan is a "rolling" option plan reserving a maximum of 10% of the issued and outstanding common shares of the Corporation at the time of the stock option grant. Each option will entitle the holder to purchase one common share of the Company at an exercise price of $1.51 for a period of five years from the date of the grant. This exercise price reflects the closing market price of Terra Energy shares on June 21, 2005, the date that the Compensation Committee made its recommendation to the Board of Directors. The options will be further subject to various vesting rights.

Terra Energy is a junior oil and gas company engaged in the exploration for, and development and production of, natural gas and oil in Western Canada. Terra Energy's common shares trade on The TSX Venture Exchange under the symbol 'TTR'.

Forward Looking Statements:

Certain information set forth in this media release contains forward-looking statements. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Terra Energy's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and ability to access sufficient capital from internal and external sources. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Terra Energy's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and , accordingly, 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 Terra Energy will derive there from. Terra Energy disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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

Contact Information

  • Terra Energy Corp.
    Mr. Bud Love
    Vice-President of Finance and Chief Financial Officer
    (403) 699-7777
    (403) 264-7189 (FAX)