2009-10-28-2009-10-05

To buy 83 sections (43 net) in BC, 60% interest in uncompleted well.

Result Energy Inc., Calgary, (Toronto Venture: RTE) plans to sell all of its interests in the Horn River Basin of northeastern British Columbia to an undisclosed buyer for C$11 million in cash. The assets consist of 83 sections (43 net) of undeveloped land, and a 60% interest in an uncompleted vertical well bore. Result will also receive an option to farm-in on the purchaser's interests in 5.5 sections in a Cardium light oil prospect in the Garrington area of central Alberta, and an option to purchase two additional oil-producing assets. Result's exploration and development plan will focus on high netback Cardium light oil plays at Pembina, Garrington and Kakwa as well as a Triassic light oil play at Sweeney in northwestern Alberta and its Bakken light oil prospect at Tatagwa, Saskatchewan. Pro forma, Result will have no bank debt, a working capital surplus and access to a C$4.3 million bank revolving operating facility. Current production capacity is gas weighted, and is approximately 600 barrels equivalent per day. A total of 1,200 gigajoules per day (approximately 200 barrels equivalent) have been hedged at $5.36 per gigajoules for the November 2009 to October 2010 period. The deal was expected to close by Oct. 13.