gale force petroleum CREDITORS ACCEPT PROPOSAL
Montreal, February 25, 2009 � Gale Force Petroleum Inc. (TSX Venture: GFP, the �Corporation�) today announced that the unsecured creditors overwhelmingly voted to accept the Proposal to Creditors in support of the Corporation�s restructuring plan at a Meeting of Creditors held yesterday. The Proposal to Creditors was filed on February 4, 2009 by the Corporation under the Bankruptcy and Insolvency Act (Canada).
There was as significant turnout in voting, with votes from 56 unsecured creditors counted at the Meeting of Creditors. With respect to Category I Unsecured Creditors, 96% in number and 98% in value voted in favour of the Proposal. With respect to Category II Unsecured Creditors, 100% in number and in value voted in favour of the Proposal.
�The results of the vote are very encouraging�, said Michael McLellan, President and CEO. �We very much appreciate the support of the creditors and investors in support of our restructuring efforts�.
According to the terms of the Proposal to Creditors, the Corporation will issue up to 47,000,000 common shares to settle all unsecured claims, upon presentation of a proof of claim by each of the unsecured creditors. The Final Approval of the Proposal is subject to sanction by the Court. The shares issued as payment of debts under the Proposal to Creditors are subject to prior applicable regulatory approval.
The Corporation also announced today that Ronald Bourgeois has stepped down from the board of directors, effective on today�s date. Mr. Bourgeois also stepped down from the position of Chief Operations Officer.
Jocelyn Boucher, Chairman of the Board, said, �On behalf of the board of directors and the Corporation, I would like to thank Ron Bourgeois for his service, in particular for his help supporting the Corporation carry out its restructuring plan in a highly volatile marketplace�.
As part of its restructuring plan, the Corporation is now seeking new financing and further business development opportunities. Further details will be announced when available.
ABOUT GALE FORCE PETROLEUM INC.TM - www.GaleForcePetroleum.com
Gale Force Petroleum is a public corporation focused on acquiring and exploiting unconventional and conventional gas resources in mature basins, building shareholder value through growth. It owns producing natural gas properties in Alberta, Canada and in Kentucky, USA.
For more information, please contact:
Michael McLellan, President and CEO, +1.514.333.9292
Forward looking statements:
Statements included herein, including those that express management's expectations or estimates of our future performance, constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements � especially but not limited to any geological or reservoir information not supported by a NI 51-101 report � are based on assumptions and estimates that are subject to various risks and uncertainties including but not limited to geological risk, engineering risks, market risk and the risks disclosed under the heading "Business Risks" in the Corporation's periodic filings with Canadian securities regulators, including most recently in its Management Discussion and Analysis for the exercise ended June 30, 2007 available on SEDAR. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Corporation does not assume the obligation to update any forward-looking statements.
�The TSX Venture Exchange has not reviewed this release and therefore does not accept responsibility for its adequacy or accuracy.�
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