FALCON OIL & GAS LTD. ENTERS INTO PRODUCTION AND DEVELOPMENT AGREEMENT FOR IMMEDIATE RELEASE DENVER, April 10, 2008 – Falcon Oil & Gas Ltd. (TSXV: FO, “Falcon”) announced today that it and its wholly owned subsidiary, TXM Exploration and Production LLC, have entered into a Production and Development Agreement with Exxon Mobil Corporation affiliate Esso Exploration International Limited (ExxonMobil) under which Falcon and ExxonMobil will become joint owners in a specified portion (the “Contract Area”) of Falcon’s long-term production license (the “Production License”) in the Mako Trough, Hungary. ExxonMobil will operate the Contract Area. The Contract Area consists of approximately 184,300 acres, or 75% of Falcon’s 246,000-acre Production License. The Contract Area will be owned jointly, with Falcon owning a 33% undivided working interest and ExxonMobil owning a 67% undivided working interest. The Agreement is effective today. Falcon’s Chairman and CEO, Marc A. Bruner, stated, “This agreement is a milestone in Falcon’s history and is the culmination of Falcon’s extensive efforts, announced on June 27, 2007, to find a strategic partner to support and enhance Falcon’s exploration and development efforts on Falcon’s long-term Production License. We are very pleased that we were able to reach agreement with ExxonMobil, a company which brings to the table all the financial, technical and operating expertise necessary to pursue the completions, testing and evaluation of this resource, and then to maximize value if we are able to commercialize this opportunity.” The Agreement provides for an initial consideration of US$25 million to Falcon and for ExxonMobil to spend US$50 million to conduct an Initial Work Program to test one or more of Falcon’s existing wellbores or drill one or more new wells for such tests. Field operations under the Initial Work Program are scheduled to commence this year. After the Initial Work Program is completed and if ExxonMobil elects to proceed to the next phase (the “Appraisal Work Program”), it will pay Falcon an additional US$50 million and will expend US$100 million on the Appraisal Work Program. If ExxonMobil elects not to proceed beyond the Initial Work Program, it will relinquish and reassign to Falcon all of ExxonMobil’s interest in the Contract Area. After the Appraisal Work Program is completed, ExxonMobil will pay Falcon an additional US$75 million if it elects to proceed to the next phase (the “Development Program”) or it will reassign its interest to Falcon, subject to the terms of the Agreement. Falcon will incur no development costs within the Contract Area for ExxonMobil’s commitments during the Initial Work Program or the Appraisal Work Program. Beginning with the Development Program, Falcon and ExxonMobil would each receive revenues and be responsible for its proportionate share of expenses within the Contract Area (that is, 33% Falcon and 67% ExxonMobil), under a joint operating agreement. ExxonMobil has the right to assign half its interest to MOL, a publicly traded Hungarian oil and gas company. In addition to Falcon’s 33% undivided ownership in the ExxonMobil-operated Contract Area, Falcon will remain sole owner and operator of 391,445 acres outside the Contract Area boundaries, as well as shallow rights covering 184,336 acres within the Contract Area, as follows: • Falcon Lands: Falcon retains 100% ownership in the remaining 25% (61,445 acres) of the Production License that is not part of the Contract Area. • Exploration Licenses: Falcon retains 100% ownership in 330,000 acres which are outside the boundaries of the Production License, under the original Mako Exploration License and original Tisza Exploration License. Falcon also retains 100% ownership in the portions of the Exploration Licenses which are above 2,800 meters within the boundaries of the Production License. The 330,000-acre area outside the Production License, and the shallower depths are not part of the Production License. The Contract Area, Falcon Lands, and Exploration Licenses are shown on the attached map. Regarding Falcon’s retained acreage, Mr. Bruner stated, “We see significant upside potential within the large portion of the Mako Trough where Falcon still owns 100%, and we intend to continue to evaluate and pursue opportunities simultaneously with ExxonMobil’s operations.” BMO Capital Markets has acted as exclusive financial advisor to Falcon with respect to the Transaction. Falcon to Host Investor Conference Call Falcon will host an investor conference call beginning at 9:00 a.m. (Eastern Time), Friday, April 11, 2008. The conference call will be available live via telephone. To participate in the conference call within the U.S. and Canada, dial (866) 688-0039. To participate in the conference internationally, dial +1 (706) 679-3130. The conference code is 43449303. The conference call will also be broadcast live on the Internet and may be accessed at www.falconoilandgas.com. The conference call will be available for replay via telephone beginning approximately two hours following the conclusion of the live call. To listen to a replay of the conference within the U.S. and Canada, dial (800) 642-1687 or internationally +1 (706) 645-9291. The replay code is 43449303. About Falcon Oil & Gas Ltd. Falcon Oil & Gas Ltd. is a British Columbia corporation which is in the business of oil and gas exploration and production. It has operations in Hungary through its wholly-owned subsidiary TXM Exploration and Production, LLC, and in Romania through its wholly-owned subsidiary JVX Energy Corporation. Further information about Falcon is available at www.falconoilandgas.com. For information about ExxonMobil, please go to ExxonMobil.com. Falcon Oil and Gas Ltd. Investor and Public Relations: Alexander Hubbard-Ford +1 303-983-1800 In the interests of providing Company shareholders and potential investors with information regarding the Company, including the Company’s assessment of its and its subsidiaries’ future plans and operations, certain statements included in this press release may constitute forward-looking information or forward looking statements (collectively, “forward-looking statements”). All statements contained herein that are not clearly historical in nature are forward-looking, and the words “anticipate”, “believe”, “expect”, “estimate” and similar expressions are generally intended to identify forward-looking statements. Similarly, forward-looking statements in this press release include, but are not limited to anticipated developments of the Company’s drilling project in Hungary and the timing thereof, the Company’s drilling project in Romania and the timing thereof, capital investment levels and the allocation thereof, pipeline capacity, government royalty rates, reserve and resources estimates, the level of expenditures for compliance with environmental regulations, site restoration costs including abandonment and reclamation costs, exploration plans, acquisition and disposition plans including farmout plans, net cash flows, geographic expansion and plans for seismic surveys. In addition, please note that statements relating to “reserves” or “resources” are deemed to be forward-looking statements, as they involve the implied assessment, based on certain estimates and assumptions, that the reserves and resources described can be profitably produced in the future. Such statements represent the Company’s internal projections, estimates or beliefs concerning, among other things, an outlook on the estimated amounts and timing of capital expenditures, anticipated future debt levels and incentive fees or revenues or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. These statements are only predictions. Actual events or results may differ materially. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, levels of activity, performance or achievement since such expectations are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company and the foregoing list of important factors is not exhaustive. These forward-looking statements made as of the date hereof disclaim any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise. Company shareholders and potential investors should carefully consider the information contained in the Company’s filings with Canadian securities administrators at www.sedar.com before making investment decisions with regard to the Company. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. ********************************************************************** http://cts.vresp.com/c/?FalconOilGas/00a4b52456/4bcd9cf88e/e… ********************************************************************** Paste url into browser for map image: http://www.falconoilandgas.com/releases/2_27_08.pdf ______________________________________________________________________ If you no longer wish to receive these emails, please reply to this message with "Unsubscribe" in the subject line or simply click on the following link: http://cts.vresp.com/u?00a4b52456/4bcd9cf88e/e88f5b4 ______________________________________________________________________ This message was sent by Falcon Oil & Gas Falcon Oil & Gas 1075 South Boulder Rd., #205 Louisville, Colorado 80027 |
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aus der Diskussion: | FALCON - ALLE DATEN, ALLE FAKTEN |
Autor (Datum des Eintrages): | oesitrader (11.04.08 09:57:00) |
Beitrag: | 46 von 47 (ID:33863958) |
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