CALGARY, Sept. 30 /CNW/ - TG World Energy Corp (TSXV: TGE; the "Corporation") announced today that its wholly-owned U.S. subsidiary, TG World Energy, Inc. ("TG World"), has settled all outstanding legal disputes with AVCG LLC and Brooks Range Petroleum Corporation ("AVCG/BRPC") relating to TG World's participation in the Alaska joint venture involving AVCG and BRPC. In December 2008, AVCG/BRPC commenced proceedings against TG World in Alaska alleging that TG World had breached its obligations under the agreements governing the joint venture. TG World subsequently filed a statement of defence denying all allegations. The joint venture partners had been in dispute since this time, but have now resolved these differences with this settlement effective immediately.
With the execution and delivery of the settlement agreement, the current litigation between AVCG/BRPC and TG World, and related claims and counterclaims have been dismissed with prejudice. TG World has also executed the Beechey Point Unit Agreement as part of the settlement agreement.
The Corporation is encouraged by this settlement agreement between the Alaskan joint venture partners and is optimistic that a winter drilling program will be established and completed during the upcoming drilling season in Alaska.
TG World is a Calgary-based, junior international oil and gas exploration company currently focused on Alaska and Niger.
TG World Energy Inc., a wholly-owned subsidiary of TG World, is involved in a joint venture with Brooks Range Petroleum Corp ("BRPC"). The BRPC/TG World Joint Venture was formed in 2006 as an exploration strategic alliance covering a large area of mutual interest on the Alaskan Central North Slope.
A second wholly-owned TG World subsidiary, TG World Petroleum Limited, holds a 20% carried interest in the Ténéré Block, an oil and gas concession in the Republic of Niger, Africa, measuring 71,155 square kilometres (17.3 million acres). The Ténéré Block contains the northern half of the Termit-Ténéré Rift. The southern half of this rift is located in the adjacent Agadem Block, where six oil discoveries and one gas discovery have been announced. CNPCIT, a unit of China National Petroleum Company, holds the other 80% of the Ténéré concession and acts as operator of the project.
The TSX Venture Exchange has neither approved nor disapproved the
contents of this news release and the TSX Venture Exchange does not
accept responsibility for the adequacy or accuracy of this news release.
SOURCE TG WORLD ENERGY CORP.
For further information: For further information: Dean Callaway, CFO and Vice President, Finance, (403) 265-4506; Ian McColl, Corporate Communications, (403) 265-4506