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News Release - Friday, April 27, 2007
Tower Energy: Arapahoe Debt Settled
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VANCOUVER, B.C.: Tower Energy Ltd ("Tower" of the "Company") is
pleased to announce that the debt of $459,987.26 owed to the Company by
Arapahoe Energy Corporation has been settled. Fifty (50) percent of
the debt ($229,994) was paid in cash while the remaining fifty (50)
percent was settled by the receipt of 229,994 Debenture Units issued by
Arapahoe at an issue price of $1.00 per unit. Each unit is comprised
of (i) a convertible secured debenture ("Debenture") in the amount of
$1.50 (the "Repayment Amount") and (ii) four (4) purchase warrants
("Warrants") exercisable at $0.125 per share for a period of 24 months.
The Debentures and Warrants are subject to a four month hold period
that expires on August 12, 2007.

The settlement is subject to final acceptance of the TSX Venture
Exchange, to be satisfied on filing of customary post-closing
documentation. For further information with respect to the Debenture
Units, please see the Arapahoe Energy Corporation's news release dated
March 12, 2007

TOWER ENERGY LTD.

Per "Charles Ross"
Director

For further information, please contact:

Charles Ross
Director
TOWER ENERGY LTD.
Suite 2110 -- 1177 W. Hastings Street
Vancouver, BC, Canada V6E 2K3
Tel: 604.669-4340
Fax:604.681-5259
Email: info@towerenergy.ca
Website: www.towerenergy.ca

The TSX Venture Exchange has neither approved nor disapproved of the
information contained herein.

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Copyright (c) 2007 TOWER ENERGY INC. (n/a) All rights reserved. For
more information visit our website at http://www.towerenergy.ca/ or
send mailto:info@towerenergy.ca
Message sent on Fri Apr 27, 2007 at 6:38:35 PM Pacific Time
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