May 30, 2005
TSX-V:LEY

NEWS RELEASE

New Annual Meeting Location & Time

Calgary, Alberta, Canada, May 30, 2005 — The Annual & Special Meeting of shareholders of Loon Energy Inc., originally scheduled for 3:00 p.m. Calgary time on Wednesday, June 8, 2005, has been relocated as a result of the fire at the Calgary Petroleum Club.

The meeting will now be held at the Metropolitan Conference Centre, Plaza Room, 333 — 4th Avenue S.W. To facilitate the attendance of all those who may wish to attend, the meeting has been delayed 30 minutes to commence at 3:30 p.m. Calgary time on Wednesday, June 8th.

Additional information of TKE can be viewed on the trust's web site at www.loon- energy.com.

Some of the statements contained in this release may be forward-looking statements. Forward-looking statements may include, but are not limited to, statements concerning estimates of recoverable hydrocarbons, expected hydrocarbon prices, expected costs, statements relating to the continued advancement of the Company’s projects and other statements which are not historical facts. When used in this document, and in other published information of the Company, the words such as “could,” “estimate,” “expect,” “intend,” “may,” “potential,” “should,” and similar expressions are indicative of a forward-looking statement. Although the Company believes that its expectations reflected in the forward-looking statements are reasonable, the potential results suggested by such statements involve risk and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Various factors, which could cause actual results to differ from these forward-looking statements, include the potential that the Company’s projects will experience technical and mechanical problems, geological conditions in the reservoir which may negatively impact levels of oil and gas production and changes in product prices and other risks not anticipated by the Company or disclosed in the Company’s published material. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties.

The TSX Venture Exchange neither approves nor disapproves of the information contained herein.