CALGARY, May 13, 2013 /CNW/ - Sterling Resources Ltd. (TSX-V: SLG) ("Sterling" or the "Company") is pleased to announce that it has reached agreement with several of
its largest shareholders, including Vitol Energy (Bermuda) Limited ("Vitol Bermuda"), Meridian Capital International Fund, YF Finance Limited and
Waterford Finance and Investment Limited, collectively representing
approximately 39 percent of the issued and outstanding common shares of
the Company (the "Common Shares"), to support the ongoing growth of Sterling as a public company.
As part of this agreement, Sterling will propose for election at the
Company's annual general and special meeting of shareholders to be held
on June 11, 2013 (the "Meeting") two new members to the board of directors with significant leadership,
expertise and experience in the energy industry. In addition, Vitol
Anker International B.V. ("Vitol Anker"), an affiliate of Vitol Bermuda, has confirmed that it has abandoned
its previously announced intention to make a take-over bid for
Sterling's Common Shares.
New Proposed Directors and Retirement of Certain Existing Directors
As part of a revitalization of Sterling initiated pursuant to the
strategic review undertaken by a special committee of the board of
directors of Sterling (the "Special Committee"), partially in response to Vitol's earlier proposal to make a
take-over bid for Sterling's Common Shares, Sterling will propose for
election Mr. Jacob S. Ulrich and Mr. James H. Coleman, Q.C. as members
of its board. If elected by Sterling's shareholders, it is anticipated
that Mr. Ulrich will serve as Chairman.
Mr. Jacob S. Ulrich is an independent energy advisor who from 2008 to
2011 was the senior energy advisor for Och-Ziff Capital Management
Group in London, responsible for developing Och-Ziff's portfolio of
upstream, renewable and infrastructure investments in the European
Union, Africa, the former Soviet Union and the Middle East. Mr. Ulrich
was Managing Director of Centrica Energy Group from 1997 to 2008,
responsible for the development and operations of upstream gas and
power generation assets, procurement for British Gas Retail and British
Gas Business, trading and upstream/midstream business development.
Mr. Ulrich holds a Bachelor of Science in Engineering degree and a
Masters of Business Administration degree.
Mr. James H. Coleman, Q.C. is a senior partner with the law firm of
Norton Rose Canada LLP (previously Macleod Dixon LLP). Mr. Coleman has
been involved in banking, corporate, securities, mining and oil and gas
transactions in Canada, the United States, Europe, Central and South
America, Africa and Asia. He has also been involved in a number of
large divestments and acquisitions, corporate reorganizations and major
financings within the energy sector. As a director of a number of
public companies, including mining and oil and gas companies, Mr.
Coleman has chaired various independent committees of public companies
relating to corporate, governance and securities matters. Mr. Coleman
holds an LL.B. and a Bachelor of Business Administration degree.
In conjunction with the nomination of the foregoing directors, Walt
DeBoni, the current chairman of the board of directors and the Special
Committee, together with Mr. Graeme Phipps, the current chairman of the
reserves committee and a member of the Special Committee, and Mr.
Stewart G. Gibson, have agreed not to stand for re-election to the
board of directors at the Meeting.
The Company would like to express its profound thanks and gratitude to
its retiring board members for their service and dedication to the
Company and its shareholders during the course of their tenure. In
particular, the Company would like to acknowledge Mr. DeBoni's and Mr.
Phipps' contributions to the Special Committee over the past several
months and their invaluable role in the Company's strategic review and
ongoing business strategy.
Mike Azancot, the President and Chief Executive Officer of the Company,
commented: "With the Company now well positioned financially to move
forward on its strategic priorities, we look forward to receiving the
benefit of the formidable experience that Jacob and James bring to the
Company and leveraging that experience to the benefit of the Company
and all of its shareholders."
Vitol Anker Confirms Abandonment of Proposed Take-Over of the Company
In connection with the proposed board restructuring, Vitol Anker has
confirmed that it has abandoned its previously announced intention to
make a take-over bid for Sterling's Common Shares.
Sterling is a Canadian-listed international oil and gas company
headquartered in Calgary, Alberta with assets in the United Kingdom,
Romania, France and the Netherlands. The Common Shares are listed and
posted for trading on the TSX-V under the symbol "SLG".
Neither the TSX-V nor its Regulation Services Provider (as that term is
defined in the policies of the TSX-V) accepts responsibility for the
adequacy or accuracy of this release.
Filer Profile No. 00002072
All statements included in this press release that address activities,
events or developments that Sterling expects, believes or anticipates
will or may occur in the future are forward-looking statements.
These forward-looking statements involve numerous assumptions made by
Sterling based on its experience, perception of historical trends,
current conditions, expected future developments and other factors it
believes are appropriate in the circumstances. In addition, these
statements involve substantial known and unknown risks and
uncertainties that contribute to the possibility that the predictions,
forecasts, projections and other-forward looking statements will prove
inaccurate, certain of which are beyond Sterling's control, including:
the impact of general economic conditions in the areas in which
Sterling operates, civil unrest, 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,
increased competition, the lack of availability of qualified personnel
or management, fluctuations in commodity prices, foreign exchange or
interest rates, stock market volatility and obtaining required
approvals of regulatory authorities. In addition there are risks and
uncertainties associated with oil and gas operations. Readers should
also carefully consider the matters discussed under the heading "Risk
Factors" in the Company's Annual Information Form.
Undue reliance should not be placed on these forward-looking statements,
as there can be no assurance that the plans, intentions or expectations
upon which they are based will occur. Sterling's actual results,
performance or achievements could differ materially from those
expressed in, or implied by, these forward-looking statements. These
statements speak only as of the date of the press release. Sterling
does not intend and does not assume any obligation to update these
forward-looking statements except as required by law.
Financial outlook information contained in this press release about
prospective results of operations, financial position or cash flows is
based on assumptions about future events, including economic conditions
and proposed courses of action, based on management's assessment of the
relevant information currently available. Readers are cautioned that
such financial outlook information contained in this press release
should not be used for purpose other than for which it is disclosed
SOURCE: Sterling Resources Ltd.
For further information:
For further information: visit www.sterling-resources.com or contact:
Mike Azancot, President and Chief Executive Officer, Phone: 44-20-3008-8488, Mobile: 44-7740-432883, firstname.lastname@example.org
David Blewden, Chief Financial Officer, Phone: 44-20-3008-8488, Mobile: 44-7771-740804, email@example.com
George Kesteven, Manager, Corporate and Investor Relations, Phone: (403) 215-9265, Mobile: (403) 519-3912, firstname.lastname@example.org