News Releases

NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR:  PARAMOUNT RESOURCES LTD.

TSX SYMBOL:  POU

NOVEMBER 8, 2002 - 09:52 EST

Paramount Resources Ltd. Updates Progress Of The
Paramount Energy Trust

CALGARY, ALBERTA--Not for release in the United States 

Paramount Resources Ltd. ("Paramount") announced today that 
Paramount Energy Trust ("PET") has filed an amended and restated 
preliminary prospectus in all jurisdictions in Canada and an 
amended registration statement in the United States. These 
filings are further to Paramount's previously announced proposed 
reorganization involving the transfer of substantially all of its 
northeast Alberta natural gas assets to a royalty trust. When all 
Canadian and U.S. regulatory clearances are received, the final 
Canadian prospectus and the U.S. Registration Statement will 
qualify and register (i) Trust Units of PET to be distributed by 
Paramount as a dividend in kind (the "Dividend") to its 
shareholders, (ii) Rights to purchase further Trust Units, such 
Rights to be issued by PET to unitholders, and (iii) the Trust 
Units issuable upon the exercise of the Rights.  

BMO Nesbitt Burns Inc., CIBC World Markets Inc. and FirstEnergy 
Capital Corp. are acting as financial advisors to Paramount with 
respect to the foregoing transactions, and have agreed to act as 
dealer managers in Canada under the rights offering. 

A registration statement relating to these securities has been 
filed with the United States Securities and Exchange Commission 
but has not yet become effective. These securities may not be 
sold nor may offers to buy be accepted prior to the time the 
registration statement becomes effective. This press release 
shall not constitute an offer to sell or the solicitation of an 
offer to buy nor shall there be any sale of these securities in 
any State in which such offer, solicitation or sale would be 
unlawful prior to registration or qualification under the 
securities laws of any such State. The securities to be offered 
under the registration statement are in connection with a 
distribution by both PET (the issuer of the securities) and 
Paramount (a security holder of a portion of the securities). A 
written preliminary prospectus relating to this distribution may 
be obtained from: 


/T/

In Canada:                             In the United States:

BMO Nesbitt Burns Inc.                 BMO Nesbitt Burns Corp.
Shane Fildes                           Bill Schneider 
1400, 421 - 7 Avenue SW                700 Louisiana Street, Suite 4425
Calgary, Alberta T2P 4K9               Houston, Texas 77002
(403) 515-1500                         (713) 223-4400

CIBC World Markets Inc.                CIBC World Markets Corp.
Art Korpach                            Ron Ormand 
9th Floor, Bankers Hall East           1600 Smith Street, Suite 3100
855 - 2 Street SW                      Houston, Texas 77002
Calgary, Alberta T2P 2Z1               (713) 650-2000
(403) 260-0500 

FirstEnergy Capital Corp.              FirstEnergy Capital (USA) Corp.
John Chambers                          James Davidson 
1600, 333 - 7 Avenue S.W.              1600, 333 - 7 Avenue SW 
Calgary, Alberta T2P 2Z1               Calgary, Alberta T2P 2Z1
(403) 262-0600                         (403) 262-0600

/T/

Paramount is a Canadian oil and natural gas exploration, 
development and production company with operations focussed in 
Western Canada. Paramount's common shares are listed on the 
Toronto Stock Exchange under the symbol "POU". 

-30-