Passport Energy Ltd PPOZF

Covenant to acquire Montana oil and gas leases

[stateside]

To gauge the significance of this announcement, please take an hour and listen to the Rosetta Resources conference call from yesterday.  The Alberta Basin Bakken play is the most exciting US on-shore oil play that has not yet caught investor's attention.  It will.

stateside

Covenant to acquire Montana oil and gas leases

2010-08-11 14:35 ET - News Release

Mr. Frank Port reports

COVENANT RESOURCES ANNOUNCING SIGNING OF LOI FOR ACQUISITION OF OIL AND GAS PROPERTIES

Mr. Frank Port, President and CEO of Covenant Resources Ltd. (the "Company") wishes to announce the signing of a Letter of Intent ("LOI") with Damont Energy Inc. for the acquisition of oil and gas leases in Montana.

The LOI outlines the terms of the acquisition of all of Damont's right, title and interest in 41,500 net acres of oil and gas leases in "The SweetGrass Arch" Prospect located in Toole and Pondera Counties, Montana. The cost of the acquisition will be approximately $3.8 million, based on the issuance of approximately 19,000,000 shares of Covenant at a deemed price of
.20 per share. Upon completion of due diligence and final negotiations, a definitive purchase agreement will later be entered into.

[stateside]

Covenant Resources - Picked at .10 now at .205 and moving. Energy Company being built $$Cheers Mr. Stateside!I've started moving to plays with superior management.  With news that they brought on one director who helped found a billion dollar bakken company and another who founded and sold two oil plays for an average of $100 million each, getting in on the ground floor at a $4 million