Implementing Oilfield Evaluation to Further Define Potential
CALGARY, Feb. 11 /CNW/ - Bankers Petroleum Ltd. (TSX: BNK, AIM: BNK) is pleased to announce that it has successfully closed its previously announced acquisition of a 50% interest in the Kucova oilfield through the acquisition of 50% of the issued and outstanding securities of an independent private company ("Privatco").
Privatco holds the exclusive right to evaluate and redevelop the Kucova heavy oilfield located in Albania pursuant to a Petroleum Agreement with Albpetrol Sh.A. of Albania, the state-owned petroleum company, and a License Agreement with the National Agency of National Resources. The consideration paid included cash and warrants. Application has been made for admission of the shares underlying the warrants to the AIM Market of the London Stock Exchange.
Bankers will undertake an evaluation of the oilfield to further define its remaining reserves and production potential. The terms of the transaction include an option to acquire the remaining 50% interest for an aggregate 100%; the Company has until June 30, 2008 to exercise this option.
Caution Regarding Forward-looking Information
Information in this news release respecting the Company's option and the Kucova oilfield and its potential reserves and production potential constitute forward-looking information. Statements containing forward-looking information express, as at the date of this news release, the Company's plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company. Should Bankers elect to not exercise the second option, the Company would relinquish its 50% ownership in Privatco to the vendors. There is no assurance that evaluation of the Kucova heavy oilfield will prove to be favourable, that recovery of remaining reserves will be economic, that there will be continued economic and political stability on the region, or that the Company will exercise the option to acquire the remaining 50% interest in the field. The exploration for oil and oil recovery projects are subject to a number of inherent risks, some of which are described under "Risk Factors" in the Company's Annual Information Form and Management's Discussion and Analysis, which are available on SEDAR under the Company's profile at www.sedar.com.
Forward-looking statements and information are based on assumptions that financing, equipment Forward-looking statements and information are based on assumptions that financing, equipment and personnel will be available when required and on reasonable terms, none of which are assured and are subject to a number of other risks and uncertainties described under "Risk Factors" in the Company's Annual Information Form and Management's Discussion and Analysis, which are available on SEDAR under the Company's profile at www.sedar.com.
There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.
Review by Qualified Person
This operations update was reviewed by Richard Wadsworth, President of Bankers Petroleum Ltd., who is a "qualified person" under the rules and policies of AIM in his role with the Company and due to his training as a professional petroleum engineer with over 16 years experience in domestic and international oil and gas operations.
About Bankers Petroleum Ltd.
Bankers Petroleum Ltd. is a Canadian-based oil and gas exploration and production company focused on opportunities in unconventional petroleum assets. Bankers operates and has the full rights to develop the Patos-Marinza heavy oilfield in Albania, which is a 2.0 billion barrel resource. It also holds interests in four areas in the Northern and Central regions of the United States, where it is currently pursuing the exploration, development and production of shale and tight sand gas plays. Bankers shares are traded on the Toronto Stock Exchange and the AIM Market in London, England under the ticker symbol BNK.