Canadian Superior Energy Inc. ("Canadian Superior" or the Company) is an oil and gas exploration and production company operating in Canada.

The original Complaint alleges that Defendants, Canadian Superior and certain of its officers and directors, issued a number of materially false and misleading statements about its El Paso Mariner I-85 well offshore operations in Nova Scotia, Canada. The Complaint alleges that these positive statements failed to disclose and indicate: (1) that Defendants knew or were reckless in not knowing that the 'Mariner I-85 well' was virtually 'dry'; (2) that the actual costs of testing and drilling at the well were significantly exceeding the budgeted costs; (3) that a significant gas reservoir to support a commercial project did not exist; (4) that, as a result of the foregoing, the Company's positive announcements concerning the 'Mariner I-85 well' were lacking in a reasonable basis when made, and (5), that the Defendants' positive statements only served to artificially inflate the value of its stock.

The Company shocked the market with its March 11, 2004 announcement that it had halted operations at the El Paso Mariner I-85 well in the Atlantic Ocean off Nova Scotia, following 3-1/2 months of drilling. On this news, shares of Canadian Superior skidded 44.44%, or $1.44 per share, to close at $1.80 per share on March 11, 2004 on unusual high volume.

On July 30, 2004, the Court issued an Order consolidating cases and appointing Lead Plaintiff and Counsel. Lead Plaintiff filed a consolidated amended Complaint on September 24. Defendants filed a Motion to Dismiss the consolidated amended Complaint on November 17.

On July 28, 2005, the Court entered an Order preliminarily approving the Settlement reached by the parties. On October 20, the Court entered Final Judgment and Order of Dismissal with Prejudice. The Court approved the settlement, and further approved the Plan of Allocation of Settlement Proceeds and awarded Attorney's Fees and Reimbursement of Expenses.