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NEWS RELEASE TRANSMITTED BY Marketwire


FOR: ZARGON OIL & GAS LTD.

TSX SYMBOL: ZAR - |  View Quote |  View Chart |  View Financials | 

Zargon Energy Trust Announces Increase in Syndicated Committed Credit Facility

JUL 10, 2006 - 16:54 ET

CALGARY, ALBERTA--(CCNMatthews - July 10, 2006) - Zargon Energy Trust (TSX:ZAR.UN) (TSX:ZOG.B) ("Zargon") has recently concluded the renewal of its syndicated committed credit facilities, the result of which is an increase in the borrowing base to $100 million from the previous amount of $80 million. The banking syndicate consists of The Toronto Dominion Bank as lead and the Canadian Imperial Bank of Commerce.

As at June 30, 2006, Zargon had drawn approximately $18 million on the facilities leaving an undrawn amount of approximately $82 million available for general corporate purposes and the acquisition of oil and gas properties.

In order to learn more about Zargon, we encourage you to visit Zargon's website at www.zargon.ca where you will find a current shareholder presentation, financial reports and historical news releases.

FOR FURTHER INFORMATION PLEASE CONTACT:

Zargon Energy Trust
C.H. Hansen
President and Chief Executive Officer

or

B.C. Heagy
Vice President, Finance and Chief Financial Officer
(403) 264-9992
Email: zargon@zargon.ca
Website: www.zargon.ca

 

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