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Press release from Marketwire

Parallel Energy Trust Announces Closing of Acquisition of 41% Interest in West Panhandle Field

Thursday, April 12, 2012

Parallel Energy Trust Announces Closing of Acquisition of 41% Interest in West Panhandle Field10:32 EDT Thursday, April 12, 2012CALGARY, ALBERTA--(Marketwire - April 12, 2012) -THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO ANY UNITED STATES NEWSWIRE SERVICES OR OTHERWISE FOR DISTRIBUTION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF UNITED STATES SECURITIES LAWS.Parallel Energy Trust (TSX:PLT.UN) ("Parallel" or the "Trust") is pleased to announce that it has completed the acquisition of the remaining 41% interest in the West Panhandle Field plus certain field equipment and inventory from Bravo Natural Gas, LLC. The purchase price was U$189.4 million. The acquisition was funded from the net proceeds of the previously announced bought deal offering of 8,500,000 trust units of the Trust at a price of $7.05 per trust unit and $60 million aggregate principal amount of 6.50% convertible unsecured subordinated debentures of the Trust due June 30, 2017 (the "Debentures") which closed earlier today, plus an advance of approximately US$75 million under the Trust's credit facility, which was increased to US$175 million concurrent with the closing of the acquisition. ABOUT PARALLEL ENERGY TRUSTParallel's objectives are to create stable, consistent returns for investors through the acquisition and development of conventional oil and natural gas reserves and production with unexploited low risk potential in certain regions of the United States, and to pay out a portion of available cash to holders of trust units on a monthly basis. The trust units of Parallel are listed on the TSX under the symbol "PLT.UN". The Debentures are listed on the TSX under the symbol "PLT.DB".Parallel is a "mutual fund trust" under the Income Tax Act (Canada) (the "Tax Act"). The Trust will not be a "SIFT trust" (as defined in the Tax Act), provided that the Trust complies at all times with its investment restriction which precludes the Trust from holding any "non-portfolio property" (as defined in the Tax Act). Further information relating to Parallel, the Units and the Debentures is set out in Parallel's annual information form dated March 21, 2012 and Parallel's final prospectus dated April 4, 2012, which may be obtained on the SEDAR website at www.sedar.com under Parallel's profile.No securities regulatory authority has either approved or disapproved of the contents of this news release. This press release is for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities of Parallel Energy Trust in any jurisdiction. ADVISORIESForward-Looking InformationThis news release contains forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Parallel, including, without limitation, those listed under "Risk Factors" and " Forward-Looking Statements" in Parallel's final prospectus filed April 4, 2012 and those listed under "Risk Factors" in Parallel's annual information form dated March 21, 2012 (collectively, "forward-looking information"). Forward-looking information in this news release includes, but is not limited to, Parallel's objectives and status as a mutual fund trust and not a SIFT trust, Parallel's expectations and estimates regarding capital expenditure plans, drilling plans, drilling locations, drilling costs per well, current and future production rates, production decline rates, reserve information, production mix, operating costs, royalty rates, processing fees, general and administrative expenses, commodity prices and foreign exchange rates, availability under bank facility, funds from operations distributions, basic payout ratios, all-in payout ratios, sustainability of distributions and proceeds from the Trust's dividend reinvestment plan and Premium DRIP™. Parallel cautions investors about important factors that could cause Parallel's actual results to differ materially from those projected in any forward-looking statements included in this news release. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance are not historical facts and may be forward-looking and may involve estimates, assumptions and uncertainties which could cause actual results or outcomes to differ materially from those expressed in such forward-looking statements. No assurance can be given that the expectations set out in Parallel's final prospectus or any documents incorporated therein or herein will prove to be correct and accordingly, prospective investors should not place undue reliance on these forward-looking statements. These statements speak only as of the date of this press release and Parallel does not assume any obligation to update or revise them to reflect new events or circumstances.In this news release, Parallel and its subsidiaries are referred to collectively as the "Trust" or "Parallel" for purposes of convenience.FOR FURTHER INFORMATION PLEASE CONTACT: Dennis FeuchukParallel Energy TrustPresident and CEO403-781-7888 or Toll Free: 1-855-781-7888ORRick MillerParallel Energy TrustChief Financial Officer403-781-7888 or Toll Free: 1-855-781-7888investor@parallelenergy.ca