Fairborne Energy Mails Offer for Grand Banks Shares

Fairborne Energy Ltd. ("Fairborne") (TSX:FEL) and Grand Banks Energy Corporation
("Grand Banks") (TSX VENTURE:GBE) jointly announce that Fairborne has mailed its
formal offer documents to holders of outstanding securities of Grand Banks in
connection with an offer to acquire all of the outstanding common shares of
Grand Banks (the "Grand Banks Shares") for $2.90 cash per share (including any
Grand Banks Shares issued on exercise of outstanding options prior to the expiry
time of the offer (the "Offer"). The Offer will remain open for acceptance until
4:30 p.m. (Calgary time) on June 12, 2008, unless withdrawn or extended. The
Offer is conditional upon, among other things, at the expiry time of the Offer,
and at the time Fairborne first takes up Grand Banks Shares under the Offer,
there being validly deposited under the Offer and not withdrawn at least 66 2/3%
of the outstanding Grand Banks Shares (calculated on a diluted basis) other than
those Grand Banks Shares that may not be included in determining whether
minority approval of a second stage transaction has been obtained. A second
stage transaction is one which Fairborne may wish to undertake to acquire Grand
Banks Shares not deposited under the Offer.


A Directors' Circular setting out the recommendation of the board of directors
of Grand Banks in relation to the Offer has also been mailed to holders of
securities of Grand Banks. The board of directors of Grand Banks, has
unanimously determined that the Offer is fair, from a financial point of view,
to holders of Grand Banks Shares and is in the best interest of Grand Banks and
the holders of Grand Banks Shares and has unanimously resolved to recommend that
holders of Grand Banks Shares accept the Offer and tender their Grand Banks
Shares to the Offer.


Copies of the formal Offer and related documents and the Directors' Circular (in
both the English and French languages) have been filed with various securities
regulatory authorities in Canada and are available on the SEDAR website
(www.sedar.com) under Grand Banks' SEDAR profile.