NAV Energy Trust and Clear Energy Merge

On August 14, 2006 NAV Energy Trust and Clear Energy Inc. completed a plan of arrangement to merge and form Sound Energy Trust and a new Toronto Stock Exchange listed junior exploration company, Sure Energy Inc., for an approximate total value of $400 million.

The merger of NAV and Clear is expected to create a high working interest, natural gas leveraged energy trust. Sure will have an asset base consisting of reserves, production and defined drilling opportunities acquired from both NAV and Clear in connection with the completion of the plan of arrangement.

As part of the transaction, TD Securities provided a $170 million credit facility to Sound.
NAV was represented by Burnet, Duckworth & Palmer LLP with a team that included Shannon Gangl, Steve Chetner and Spencer Coupland (securities); Jeff Fortin (tax); Alicia Quesnel (competition); Gina Ross (employment) and Dino DeLuca and David Grout (banking).
Clear and Sure were represented by Borden Ladner Gervais LLP with a team that included Dan Kolibar, John Poetker, Lloyd McLellan and Melissa Smith (securities); Jim Williams (tax); Colin MacDonald (competition) and Fred Somerville (employment).