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-
FOR FURTHER INFORMATION PLEASE CONTACT:
Paramount Resources Ltd.
Clayton (Clay) H. Riddell
Chairman and CEO
Paramount Resources Ltd.
James (Jim) H. T. Riddell
The Toronto Stock Exchange has neither approved nor disapproved
the information contained herein.