/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
CALGARY, July 23, 2012 /CNW/ - Calvalley Petroleum Inc. (TSX: CVI.A) announces the decision not to
exercise its option to acquire an additional working interest in Block
9, Republic of Yemen and announces the decision by the TSX to defer
consideration of the Shareholder Rights Plan
Calvalley Petroleum Inc. ("Calvalley" or the "Company") announces that
it has decided not to exercise its option under the Joint Operating
Agreement to acquire an additional working interest in Block 9,
Republic of Yemen. As disclosed in a press release of July 6, 2012,
Calvalley received a notice from one of its partners setting forth the
provisions under which such partner intends to dispose of its 25%
working interest in Block 9 to a third party. Pursuant to the
provisions of the Joint Operating Agreement governing Block 9, the
existing partners had the option to match the offer of such third party
and acquire either all or, jointly with the other partners, their
proportionate share of the working interest to be assigned. The
decision not to exercise the option was made by the Board of Directors
of the Company following consideration of all relevant factors.
Calvalley also announces today that it has been notified by the Toronto
Stock Exchange (the "TSX") that the TSX will, in accordance with its
practice in connection with similar rights plans, defer consideration
of the acceptance of Calvalley's previously-announced Shareholder
Rights Plan. A condition of the acceptance by the TSX is that
shareholder approval is obtained for the Shareholder Rights Plan on or
before January 11, 2013. Shareholders should note that the Shareholder
Rights Plan remains in effect while the TSX defers its review. A copy
of the Shareholder Rights Plan is available at www.sedar.com.
About Calvalley Petroleum Inc.
Calvalley Petroleum Inc. is an international oil and gas company, with
offices in Calgary, Alberta, Canada, that operates its 50% working
interest in Block 9 of the Masila Basin, in The Republic of Yemen and
its 100% working interest in the Gimbi and Metema Blocks of the Blue
Nile Basin, in The Republic of Ethiopia.
Certain information contained herein may constitute forward-looking
statements under applicable securities laws. Such statements are
subject to known or unknown risks and uncertainties that may cause
actual results to differ materially from those anticipated or implied
in the forward-looking statements. Investors are encouraged to review
the principal risks associated with the Corporation's operations set
out in the Corporation's Annual Information Form for the year-ended
December 31, 2011, a copy of which is filed on SEDAR at www.sedar.com. Forward-looking statements are based upon management's assumptions,
expectations and estimates at the time that such statements are made.
The Corporation does not update forward-looking statements should
circumstances change or management's assumptions, expectations or
estimates change, except as required by law.
THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
SOURCE: Calvalley Petroleum Inc.
For further information:
firstname.lastname@example.org or +1 (403) 297-0490
Edmund Shimoon, Chairman and CEO
Gerry Elms, CFO