Paramount Energy Trust Converts Into Perpetual Energy Inc., Updates Gas Storage Funding and Announces Management Addition

CALGARY, Canada, June 30, 2010 - Perpetual Energy Inc. ("Perpetual" or the
"Corporation") (TSX - PMT) announced today that it has completed the
previously announced plan of arrangement (the "Arrangement") involving
Perpetual, Paramount Energy Trust (the "Trust") and Paramount Energy
Operating Corp. ("PEOC"), pursuant to which the Trust converted into the
Corporation.

Unitholders of the Trust voted in favour of the Arrangement at the
Annual General and Special meeting of Trust Unitholders held on June 17,
2010. In accordance with the terms of the Arrangement, former Unitholders of
the Trust who have or will complete the letter of transmittal provided to
such Unitholders will receive common shares of Perpetual in consideration for
the cancellation of their Trust Units of the Trust on a one-for-one basis. In
addition, as part of the Arrangement, the Trust was dissolved and the
Corporation assumed all of the existing liabilities of the Trust, including
the Trust's outstanding convertible debentures which are now convertible
debentures of the Corporation.

It is anticipated that the Corporation's common shares and convertible
debentures will commence trading on the Toronto Stock Exchange under the
trading symbols "PMT", "PMT.DB.C", "PMT.DB.D", and "PMT.DB.E" within three to
five business days following completion of the Arrangement. The Trust Units
and convertible debentures of the Trust will be delisted at this time as
well.

At the Annual General and Special meeting of the Trust, Unitholders also
approved the Share Option Plan and the Bonus Rights Plan of Perpetual.
Additionally, Unitholders appointed a new director of PEOC, Mr. Geoffrey C.
Merritt, who, along with the other PEOC directors, are the directors of the
Corporation. Mr. Merritt steps into the position vacated by Mr. John W.
(Jack) Peltier, who retired as a director. We would like to express our
sincere thanks to Mr. Peltier for his dedicated service to the Trust over the
previous eight years.

Gas Storage Funding

Perpetual is also pleased to announce that approximately $32 million of
the previously-announced funding for its Warwick Gas Storage Facility has
been released from escrow. It is expected that the remaining $10 million will
be released from escrow upon satisfaction of certain additional conditions
related to the completion of the facility.

Management Addition

The Corporation is pleased to announce that Mr. R. William Thornton will
join Perpetual on July 5, 2010 as Vice President, Heavy Oil. Mr. Thornton has
over 30 years of industry experience in a number of capacities, including
senior management positions with heavy oil and bitumen producers. His primary
role will be to steward the advancement of the Corporation's expanding heavy
oil and bitumen portfolio.

About the Corporation

Perpetual Energy Inc. is a natural gas-focused Canadian energy
corporation. Further information with respect to Perpetual can be found on
its website at www.perpetualenergyinc.com.

Forward-looking Information

The information in this press release contains certain forward-looking
statements including, without limitation, the anticipated timing of the
listing of Perpetual's common shares and convertible debentures on the
Toronto Stock Exchange, the delisting of the Trust's trust units and
convertible debentures on the Toronto Stock Exchange, the satisfaction of
additional conditions sufficient to release escrowed funds, in connection
with the funding of the Warwick Gas Storage Facility, and the scope of
Perpetual's heavy oil and bitumen portfolio. These statements relate to
future events or our future performance. All statements other than statements
of historical fact may be forward-looking statements. Forward-looking
statements are often, but not always, identified by the use of words such as
"seek", "anticipate", "plan", "continue", "estimate", "expect", "may",
"will", "project", "predict", "potential", "targeting", "intend", "could",
"might", "should", "believe", "would" and similar expressions. These
statements involve substantial known and unknown risks and uncertainties,
certain of which are beyond Perpetual's control, including: the impact of
general economic conditions; industry conditions; changes in laws and
regulations including the adoption of new environmental laws and regulations
and changes in how they are interpreted and enforced; fluctuations in
commodity prices and foreign exchange and interest rates; stock market
volatility and market valuations; volatility in market prices for oil and
natural gas; liabilities inherent in oil and natural gas operations;
uncertainties associated with estimating oil and natural gas
reserves; competition for, among other things, capital, acquisitions, of
reserves, undeveloped lands and skilled personnel; incorrect assessments of
the value of acquisitions; changes in income tax laws or changes in tax laws
and incentive programs relating to the oil and gas industry; geological,
technical, drilling and processing problems and other difficulties in
producing petroleum reserves; and obtaining required approvals of regulatory
authorities. Perpetual's actual results, performance or achievement could
differ materially from those expressed in, or implied by, such forward-
looking statements and, accordingly, no assurances can be given that any of
the events anticipated by the forward-looking statements will transpire or
occur or, if any of them do, what benefits that Perpetual will derive from
them. Except as expressly required by law, Perpetual undertakes no obligation
to publicly update or revise any forward-looking statements. For additional
risk factors in respect of Perpetual and its business, please refer to the
Annual Information Form of the Trust dated March 9, 2010 which is available
on SEDAR at www.sedar.com.

The Toronto Stock Exchange has neither approved nor disapproved the
information contained herein.

For further information: Perpetual Energy Inc., Suite 3200, 605 - 5
Avenue SW, Calgary, Alberta, Canada, T2P 3H5, Telephone: +1-403-269-440, Toll
Free: +1-800-811-5522, Fax: +1-403-269-4444, E-mail:
info@perpetualenergyinc.com; Susan L. Riddell Rose, President and Chief
Executive Officer, Cameron R. Sebastian, Vice President, Finance and Chief
Financial Officer, Sue M. Showers, Investor Relations and Communications
Advisor

For further information: Perpetual Energy Inc., Suite 3200, 605 - 5 Avenue SW, Calgary, Alberta, Canada, T2P 3H5, Telephone: +1-403-269-440, Toll Free: +1-800-811-5522, Fax: +1-403-269-4444, E-mail: info at perpetualenergyinc.com; Susan L. Riddell Rose, President and Chief Executive Officer, Cameron R. Sebastian, Vice President, Finance and Chief Financial Officer, Sue M. Showers, Investor Relations and Communications Advisor