TURNER VALLEY OIL & GAS Quick Quote: TVOG 0.13 (Even)
Turner Valley Monetizes Win Energy Shares & Acquires Working Interest in Strachan Prospect 10/5/05
CALGARY, AB, Oct 05, 2005 (MARKET WIRE via COMTEX) -- Turner Valley Oil and Gas (OTC BB: TVOG)
In 2004 Turner Valley Oil and Gas Inc, through its wholly owned subsidiary TV Oil and Gas Canada Limited received 1,300,303 common voting shares of WIN Energy Corporation in exchange for working interests in the Triangle Region of the province of Alberta, Canada. This transaction was valued at $250,000 Cdn. which would be equal to a pre roll in value of $0.1923 cents per WIN Share. TV OiI and Gas Canada Limited has now monetized 175,000 of common shares of WIN Energy Corporation at $1.75 to private investors for the sum of $306,250.00 Cdn.
The Company continues to hold a significant share position in WIN Energy Corporation of Calgary, Canada. Our Chairman, Christopher Paton-Gay also serves as Chairman of WIN Energy.
It is the Company's intention to continue to monetize its holdings in WIN Energy and to use the monetized funds for the purchase of further oil and gas working interests and for Corporate purposes. It is the opinion of Senior Management that the Company made a prudent and timely investment in WIN Energy and that TV Oil and Gas Canada Ltd. is closely following its strategy of maximizing its capital base.
The Company recognizes and appreciates the patience of our over 6,000 shareholders.
On September 23, 2005 Turner Valley Oil and Gas Inc. through its wholly owned subsidiary TV Oil and Gas Canada Limited, has entered into a farm-out agreement with Odin Capital Inc. of Calgary, Alberta.
The terms of the Farm-Out agreement are as follows:
In exchange for our paying 3.00% of all costs associated with drilling, testing and completing the test well (expected drilling cost -- approx. $6.3 million Canadian to the 100% interest) on the property that is referred to as the Leduc Formation test well, we will have earned;
1) In the spacing unit for the Earning Well, a 1.500% interest in the petroleum and natural gas below the base of the Mannville excluding natural gas in the Leduc formation, and a 3.00% interest in the natural gas in the Leduc formation before payout subject to payment of an Overriding Royalty which is convertible upon payout at the Royalty Owners option to 50% of our interest.
2) A 1.200% interest in the rights below the base line of the Shunda formation in Section 10,Township 38, Range 9W5M
3) A 0.966% interest in the rights below the base of the Shunda formation in sections 15 & 16,Township 38,Range 9W5M, down to the base of the deepest formation penetrated.
The total costs are anticipated to be approximately $190,483.00 for our interest, under the terms of our agreement.
ABOUT WIN ENERGY CORPORATION
Win Energy Corporation ("Win"), formed in 2004, is a Calgary based private corporation and has currently committed to file an application for a listing on the Toronto Stock Exchange by calendar year end. The company is actively engaged in the exploration, development and production of petroleum, natural gas and natural gas liquids. Win's core area is in the triangle zone ("Triangle Zone"), which is located along the eastern edge of the Foothills Belt in southern Alberta, extending from Turner Valley, 25 miles southwest of Calgary, to Pincher Creek, near the Alberta-Montana border.
ABOUT TURNER VALLEY OIL AND GAS INC.
Turner Valley Oil and Gas is an emerging oil and gas company focused on exploration for, development drilling for,and transmission facilities for the production and sale of oil and gas.Turner valley is focused on increasing production by means of continuing acquisitions,development projects and exploration drilling within a joint venture framework