CALGARY,
Nov. 23, 2015 /CNW/ - Petromanas
Energy Inc. ("Petromanas" or the "Company") (TSXV: PMI) today
provided an update on its Albanian operations.
The Company previously announced it had entered
into a definitive agreement with a third party to secure a 3,000
horsepower drilling rig for use in its planned appraisal drilling
program. The contract had an initial term of two years with an
option for extension. Under the terms of an amended agreement, the
mobilization notice has been given by the Company and the rig is
expected to be shipped to Albania in late 2015 or early
2016.
The Company, together with its joint venture
partner, Royal Dutch Shell ("Shell")
intends to use the new rig to spud the Shpirag-3 well in Q2
2016. Shpirag-3 is an appraisal well to the Shpirag-2
discovery. Under the terms of the Company's farmout agreement with
Shell, the initial $42.5 million of
the cost of drilling Shpirag-3 will be carried by Shell with any
excess paid by each party according to their participating
interest. Petromanas holds a 25% working interest in Blocks 2-3 and
is currently the operator, with Shell holding the remaining 75%
interest.
In August 2015, the
Albanian National Agency of Natural Resources (the "AKBN") advised
the Company that, together with Shell, it was the successful bidder
for Block 4, onshore Albania,
following an international auction. Block 4, which spans
approximately 560,000 gross acres (874 sq miles), is located
southeast of Blocks 2-3. Production Sharing Contract ("PSC")
negotiations with the Ministry of Energy and the AKBN are ongoing
to finalize the main terms and conditions on the recently awarded
Block 4. The joint venture interests in Block 4 are 25% for
Petromanas and 75% for Shell, who will also operate. The
conclusion of negotiations resulting in a definitive PSC is also
subject to the approval of Petromanas and Shell.
"We continue to advance our appraisal plan around
the discovery at Shpirag-2, even in the face of lower commodity
prices, as we look to assess the longer term value of our assets,"
said Mr. Glenn McNamara, CEO of
Petromanas. "During the quarter we also demonstrated our expanded
commitment to the region, securing the negotiating rights to Block
4 in a competitive bid situation."
The Company's previously announced strategic
process to provide for the future appraisal of the Shpirag
discovery is continuing. Although the current oil price environment
has impacted the pace of the process, the Company remains pleased
with the level of interest that has been expressed and the Company
will announce further information regarding the outcome of
this process once known.
The Company announced today that it has filed its
financial statements and related Management's Discussion and
Analysis ("MD&A") for the quarter ended September 30,
2015 on SEDAR. The financial statements and MD&A will be
available at www.sedar.com and on the Company's website at
www.petromanas.com.
About Petromanas Energy Inc.
Petromanas Energy Inc. is an international oil
and gas company focused on the exploration and development of its
assets in Albania. Petromanas,
through its wholly-owned subsidiary, holds a Production Sharing
Contract ("PSC") with the Albanian government. Under the
terms of the PSC, Petromanas has a 25% working interest in Blocks
2-3 that comprises approximately 638,000 gross acres across
Albania's Berati thrust belt.
Petromanas also holds exploration assets in France and Australia.
This press release contains forward-looking
information within the meaning of applicable securities laws and is
based on the expectations, estimates and projections of management
of Petromanas as of the date of this news release unless otherwise
stated. The use of any of the words "expect", "anticipate",
"continue", "estimate", "objective", "ongoing", "may", "will",
"project", "should", "believe", "plans", "intends" and similar
expressions are intended to identify forward-looking information.
More particularly and without limitation, this press release
contains forward-looking information concerning the future
performance of the Company, including but not limited to securing
additional funding to support the financial requirements of its
activities in Albania, the
mobilization of a new drilling rig, the costs and results of
drilling Shpirag-3, the negotiation of a definitive PSC for
Block 4 and the outcome, if any, of the Company's strategic process
referred to herein. In respect of the forward-looking information
concerning the future performance of the Company, Petromanas has
provided such in reliance on certain assumptions that it believes
are reasonable at this time, including assumptions as to the
Company's ability to meet its capital and operational
commitments. Accordingly, readers should not place undue
reliance on the forward-looking information contained in this press
release.
Since forward-looking information addresses
future events and conditions, by its very nature it involves
inherent risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of
factors and risks. These include, but are not limited to the risks
associated with the industries in which Petromanas operates in
general such as operational and exploration risks; delays or
changes in plans with respect to growth projects or capital
expenditures; delays in obtaining or the failure to obtain
governmental approvals, permits or financing or political risks in
the completion of development or construction activities; access to
drilling rigs, completion equipment, seismic equipment and
operational personnel; costs and expenses; political risks; risks
of litigation; title disputes; health, safety and environmental
risks; commodity price, interest rate and exchange rate
fluctuations; environmental risks; competition; ability to access
sufficient capital from internal and external sources; and changes
in legislation, including but not limited to tax laws and
environmental regulations. There is a specific risk that the
Company may not be able to secure a funding solution for the longer
term appraisal and development of Blocks 2-3, mobilize a drilling
rig, conclude negotiations in respect of a definitive PSC for Block
4 on acceptable commercial terms, or at all, or successfully
conclude the Company's previously announced strategic process. If
the Company is unable to secure such a funding solution, mobilize a
rig, conclude negotiations in respect of a definitive PSC or
successfully conclude the Company's strategic process in the manner
described in this press release, or at all, there could be a
material adverse impact on the Company, it business and operations
and on the value of the Company's securities.
Readers are cautioned that the foregoing list of
factors is not exhaustive. Additional information on other factors
that could affect the operations or financial results of Petromanas
are included in reports on file with applicable securities
regulatory authorities, including but not limited to; Petromanas'
Annual Information Form for the year ended December 31, 2014, which may be accessed on
Petromanas' SEDAR profile at www.sedar.com.
The forward-looking information contained in this
press release is made as of the date hereof and Petromanas
undertakes no obligation to update publicly or revise any
forward-looking information, whether as a result of new
information, future events or otherwise, unless so required by
applicable securities laws.
Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Petromanas Energy Inc.