First Calgary Petroleums Ltd. -- Financial Update.

CALGARY, Alberta--(BUSINESS WIRE)--Oct. 23, 1996--FIRST CALGARY PETROLEUM (TSE: FCP) Pursuant to a loan agreement dated February 27, 1995 between First Calgary Petroleums Ltd. ("First Calgary") and Backer Petroleum Corp. ("Backer"), First Calgary borrowed $1,250,000 (the "Loan") from Backer. Security for the Loan included a fixed charge oil and gas debenture in the amount of $1,500,000, a promissory note ("Promissory Note") in favour of Backer in the amount of $1,250,000 and an asset purchase option agreement.

On October 11, 1996 Backer provided notice to First Calgary that pursuant to the terms of the Promissory Note, it was demanding that the balance of the Loan, being $420,000 be paid in full by not later than October 31, 1996. Pursuant to a letter agreement from Backer dated October 18, 1996 and accepted by First Calgary on October 22, 1996, First Calgary has agreed to repay the Loan as follows: -0- (i) November 30, 1996 $40,000 (ii) December 18, 1996 $45,000 (iii) January 31, 1997 $300,000 (iv) February 28, 1997 $35,000 plus accrued interest -0-

First Calgary is an Alberta based oil and gas exploration company listed on The Toronto Stock Exchange under the trading symbol "FCP".

CONTACT: First Calgary Petroleums Ltd.

Ray Antony, 403/264-6697 (President)