Jed Oil Inc., Calgary, (Amex: JDO) has canceled its proposed acquisition of JMG Exploration Inc., Calgary, (NYSE: JMG) in which JMG Exploration would have merged with Jed's U.S. subsidiary and JMG shareholders would have received two Jed shares per three JMG shares in a deal valued at approximately C$10 million. JMG chief executive Joe Skeehan says, "With the material changes to both companies and general market conditions since the letter of intent was signed in February, the transaction no longer makes sense from a financial point of view for the JMG shareholders. JMG will now concentrate on alternatives to the transaction with Jed, which could consist of finding another merger partner or sourcing full time officers and staff for JMG."