Forest Gate Energy Announces Non-Brokered Private Placement

CALGARY, June 28, 2011 /CNW/ -- 
SYMBOL & EXCHANGE: FGE-V


CALGARY, June 28, 2011 /CNW Telbec/ - Forest Gate Energy Inc. (TSXV:
 FGE) announces that it will be undertaking a non-brokered private
 placement whereby the Company intends to raise up to $100,000 through
 the issuance of oil and gas "flow-through" units (the "Units") at a
 price of $0.08 per Unit.


Each Unit is comprised of one "flow-through" common share in the share
 capital of the Corporation and one common share purchase warrant of the
 Corporation, with each warrant entitling the holder thereof to acquire
 one additional common share in the share capital of the Corporation at
 an issue price of $0.18 per share for a period of two years. The Units will be issued pursuant
 to applicable prospectus and registration exemptions and will be
 subject to a four-month hold period.


The Company may pay, where appropriate, commissions and finder's fees in
 connection with this private placement, in accordance with applicable
 securities laws and the rules of the TSX Venture Exchange.


It is anticipated that this financing will be completed on or prior to
 close of business on June 29, 2011. This financing is subject to the
 usual regulatory approvals.


The proceeds will primarily be used to incur eligible expenditures on
 Forest Gate's oil and gas properties situated in Canada.


About Forest Gate


Forest Gate Energy Inc. is a publicly listed oil and gas exploration and
 production, and non-energy resource company trading on the TSX Venture
 Exchange under the symbol FGE. The Corporation is seeking to increase
 shareholder value through participation and development of energy and
 other resources in Canada and internationally.


FORWARD-LOOKING STATEMENTS


Certain statements regarding Forest Gate, including management's
 assessments of future plans and operations and Forest Gate's
 anticipated financial performance, may constitute forward-looking
 statements under applicable securities laws and necessarily involve
 known and unknown risks and uncertainties, most of which are beyond
 Forest Gate's control. These risks may cause actual financial and
 operating results, performance, levels of activity and achievements to
 differ materially from those expressed in, or implied by, such
 forward-looking statements.


Such factors include, but are not limited to: the impact of general
 economic conditions in Canada and the United States; industry
 conditions including changes in laws and regulations including adoption
 of new environmental laws and regulations, and changes in how they are
 interpreted and enforced; competition; the lack of availability of
 qualified personnel; fluctuations in commodity prices; the results of
 exploration and development drilling and related activities;
 imprecision in reserve estimates; the production and growth potential
 of Forest Gate's various assets; fluctuations in foreign exchange or
 interest rates; the ability to access sufficient capital from internal
 and external sources; and obtaining required approvals of regulatory
 authorities.


This news release does not constitute an offer to sell or a solicitation
 of an offer to buy any of the securities in the United States.  The
 securities have not been and will not be registered under the United
 States Securities Act of 1933, as amended (the "U.S. Securities Act"),
 or any state securities laws and may not be offered or sold within the
 United States or to United States Persons unless registered under the
 U.S. Securities Act and applicable state securities laws or an
 exemption from such registration is available.


This news release is not for distribution to United States newswire
 services or for dissemination in the United States.


Neither TSX Venture Exchange nor its Regulation Service Provider (as
 that term is defined in the policies of the TSX Venture Exchange)
 accepts responsibility for the adequacy or the accuracy of this
 release. 


To view this news release in HTML formatting, please use the following URL: http://www.cnw.ca/en/releases/archive/June2011/28/c9926.html



p ROBERT KRAMBERGER, V-P, INVESTOR RELATIONSbr/ 1-866-666-3040br/ ua href="mailto:[e-mail]"[e-mail]/a/ubr/ ua href="http://www.forestgate.ca/content.php?item=index"WWW.FORESTGATE.CA/a/u /p 

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