CGX Energy Inc. has entered into a seismic contract with Prospector PTE. Ltd. (Prospector) to conduct a 3,116.74 km2 3D seismic survey on the Company's 100% owned Demerara Block, offshore Guyana. The contract terms are attractive and represent one of the most extensive 3D seismic studies ever conducted in this area.

The aggregate cost of this seismic survey will be approximately U.S.$17.9 million with 40% of the costs (or approximately U.S.$7 million) being paid to Prospector by way of issuance of 15,534,310 common shares (the "Common Shares") in the capital of CGX Energy (the "Subscription") and the remainder payable in cash twelve months after the conclusion of the seismic survey.

Tags: CGX Energy Inc.