Calgary, Alberta - Questerre Energy Corporation (“Questerre” or the “Company”) is pleased to announce that it has agreed to acquire an 11% interest in Gastem Inc. (“Gastem”), an oil and gas exploration and development company based in Montreal, Quebec (TSX-V:GMR).
Subject to all requisite approvals, Questerre will purchase 1,462,500 units of Gastem at $0.10 per unit. Each unit consists of one common share and one common share purchase warrant. Each warrant entitles Questerre to acquire an additional common share at $0.10 per common share for a period of two years from the closing of the placement.
In late 2005, Questerre and Gastem entered into a participation agreement for Gastem’s acreage in the St. Lawrence Lowlands in Quebec of over 311,000 acres. Questerre and Gastem each hold a 50% interest in these lands. The Company recently began an initial work program on this acreage and will fund 100% of required expenditures for the next two years.
Michael Binnion, President and Chief Executive Officer, commented, “Gastem has developed a significant land position of over 500,000 acres, primarily in the St. Lawrence Lowlands and in the Gaspe Peninsula. Based on our technical work and recent activity in the area by Talisman Energy, we believe this land to be quite prospective. We look forward to working with Gastem to develop its acreage in Quebec.”
Questerre Energy Corporation is a Calgary-based independent resource company actively engaged in the exploration for and development, production and acquisition of large-scale natural gas projects in Canada.
For further information, please contact:
Michael R. Binnion, President
Tel: (403) 777-1185
Fax: (403) 777-1578
Email: info@questerre.com
Web: www.questerre.com