Bonavista Energy Trust Completes Offering

On December 31, 2004, Bonavista Energy Trust completed an offering of 10.9 million subscription receipts at $25.85 per receipt for gross proceeds of approximately $281.7 million and $135 million principal amount of 6.75 per cent convertible extendible unsecured subordinated debentures. Each subscription receipt entitled the holder to receive one trust unit of Bonavista on January 4, 2005, the first business day following the closing of the acquisition by Bonavista of certain petroleum and natural gas properties and related assets from a partnership owned by a senior Canadian oil and gas production company and one of its subsidiaries, the closing of which occurred on December 31, 2004. The debentures, with a face value of $1,000 per debenture, mature on June 30, 2010 and are convertible into trust units of Bonavista at $29 per trust unit.
The offering was made on a bought deal basis through a syndicate of underwriters co-led by TD Securities Inc. and CIBC World Markets Inc. and including BMO Nesbitt Burns Inc., RBC Dominion Securities Inc., Scotia Capital Inc., FirstEnergy Capital Corp., National Bank Financial Inc., Peters & Co. Ltd. and Raymond James Ltd.
Bonavista was represented by Grant Zawalsky, Stephen Chetner and Jeff Oke (securities), John Brussa and David Ross (tax) and John Wilmot (banking) of Burnet, Duckworth & Palmer LLP. The underwriters were represented by Scott Cochlan and Cam Proctor (securities) and Edmund Gill (tax) of Blake, Cassels & Graydon LLP.


Stephen J. Chetner John A. Wilmot David W. Ross Edmund A. Gill Grant A. Zawalsky Scott R. Cochlan John A. Brussa Jeffrey T. Oke Cameron Proctor


Burnet, Duckworth & Palmer LLP Blake, Cassels & Graydon LLP