Mr. Benjamin Jones reports

CANADA ENERGY PARTNERS ANNOUNCES TERMINATION OF THE AGREEMENT TO SELL WATER DISPOSAL WELL

Canada Energy Partners Inc.'s agreement to sell the Portage a-20-D water disposal well has been terminated by the prospective buyer.

The prospective buyer conducted a series of integrity tests on the well which reaffirmed the integrity and capacity of the disposal well. Despite the positive test results, the prospective buyer still elected not to go forward.

The company will reinitiate an effort to secure either a sale of the well or a water disposal contract.

We seek Safe Harbor.