VANCOUVER, British Columbia, July 18, 2007 (PRIME NEWSWIRE) -- Wayne Waters, Director, reports:
Due in part to Running Fox's (TSX-V:RUN) (Pink Sheets:RFXRF) (Frankfurt:C8Q) operating subsidiaries that provide best in class oilfield services and facilities construction, the Company has accepted an offer by a private Alberta company to participate as to an equal 37.5% net leasehold interest in a prospective exploration Section (640 acres) in hydrocarbon-rich Central Alberta. Petro-Canada Oil and Gas, a division of Petro-Canada (TSX:PCA) will retain the remainder 25% in the Section after test-well earn-in.
A further 2.5 Sections (1,600 acres) will be included at Running Fox's sole option, with further approx. 12.5 Sections (8,000 acres) included in the Area of Mutual Interest. The total 16 Sections (10,240 acres) are prospective in multiple zones for sweet gas and light oil.
Running Fox will co-manage the exploration project and will provide its oilfield services at competitive rates. Profound Energy, the co-managing partner, is a new private Alberta company with the same management team that has built several successful energy producers, including Find Energy Ltd., until its buy-out by Shiningbank Energy Income Fund (TSX:SHN), now merged with PrimeWest Energy Trust (NYSE:PWI) (TSX:PWI)
Trent Moore, V.P., comments, "Running Fox chooses to partner with capable and resourceful company builders especially when they bring new and innovative technical ideas to the table, more on that later. We are profitable, and have significant small-cap leverage to uranium, gold, and energy. With less than 38 million shares outstanding, we expect that our share price should be higher and are looking at ways to unlock the intrinsic value in our divisions. Following possible strong growth in cash flow from our oil and gas exploration/production division, we would look to spin it out as its own separate company. This is in addition to the proposed dividend-out of our oilfield services and technology division. Visit www.foxgold.ca for more information. Naturally our divisions require more growth prior to spin-outs, therefore further acquisitions, mergers, or partnerships, both domestic and international, are being considered which may accelerate this vision, with all due consideration to method, timing, and market conditions."
Running Fox is a profitable Canadian small-cap company growing three strong divisions:
1. Energy Sector Oilfield Services and Technology; 2. Oil and Natural Gas Exploration and Production; and 3. Uranium and Gold Exploration Mineral Projects.
Small-Cap Leverage to Uranium, Gold, and Energy.
On behalf of the Board of Directors:
Wayne W. Waters, Running Fox Resource Corp.