Traxion Energy Inc.

Traxion Energy Inc.

March 30, 2009 10:31 ET

Traxion Extends and Secures Additional Loan

CALGARY, ALBERTA--(Marketwire - March 30, 2009) -


Traxion Energy Inc. (TSX VENTURE:TXE) ("Traxion" or the "Corporation") is pleased to announce it has entered into an agreement with an arm's length party to lend to the Corporation an additional sum of $400,000 to pay outstanding indebtedness and for general corporate purposes. This loan becomes payable on July 1, 2009. In exchange for fees and interest on the $400,000 loan until July 1, 2009, Traxion has granted an overriding royalty on its Sec 27 Buffalo Coulee, Saskatchewan property. The overriding royalty varies depending on the number of wells drilled and completed on the section, and is applied to all the wells on the section; 1 well; 3%, 2-3 wells; 2.5% and the 4th and subsequent wells; 2%. In addition, the term on the $300,000 loan obtained from the same lender has been extended to July 1, 2009, when it becomes payable while bearing interest at 13% per annum. After July 1, 2009, interest on any outstanding balance of the aggregate $700,000 loan will accrue at the rate of 15% and be payable monthly. These loans are secured by a first charge over all the assets of the Corporation.

Traxion is a Calgary, Alberta based Corporation engaged in the exploration, development and production of petroleum and natural gas. The Corporation's common shares are listed on the TSX Venture Exchange under the trading symbol "TXE".


Certain statements contained herein constitute forward-looking statements. Such forward-looking statements are subject to both known and unknown risks and uncertainties which may cause the actual results, performances or achievements of the Corporation to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. Except as required by law, the Corporation does not undertake any obligation to publicly update or revise any forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provide (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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