New company to undertake exploration program at Drumheller
WINNIPEG, Sept. 19, 2011 /CNW/ - Donald Benson, President of Nordic Oil
and Gas Ltd. ("the Company" or Nordic"), today announced that in
conjunction with its sister company Western Warner Oils Ltd. ("Western
Warner"), it has formed a new company, Green Coal Canada Ltd. ("Green
This will result in Green Coal Canada Ltd. issuing an equal number of
shares to Nordic Oil and Gas Ltd. & Western Warner Oils Ltd. Nordic Oil
and Gas Ltd. intends to declare a special share dividend consisting of
shares of Green Coal Canada Ltd.
"An agreement has been reached whereby Green Coal Canada Ltd. will
undertake an exploration program at the Drumheller, Alberta property
where we have 3,856 hectares (9,528 acres) of coal leases," Mr. Benson
stated. "The exploration program will include mapping the upper and
lower Mannville coal formations from existing wells on our property,
along with shooting some seismic."
It is anticipated that this exploration program will commence during the
fourth quarter of this year. As such, Green Coal will be undertaking a
Flow-Through Offering to finance these proposed expenditures.
In addition, it is also anticipated that Green Coal will embark upon a
public offering in conjunction with listing the Company on a Canadian
Stock Exchange. Furthermore, Green Coal will be obtaining an evaluation
that is NI 43-101 (Standards of Disclosure for Mineral Projects) Compliant.
Nordic, in conjunction with Western Warner acquired the coal leases
located at Drumheller on June 1, 2009, and has been giving some
consideration to the possibility of using Underground Coal Gasification
"The basic UCG process involves drilling two wells into the coal - one
for injection of the oxidants (water/air or water/oxygen mixtures), and
another some distance away to bring the product gas to the surface."
said Mr. Benson. "The technique offers an alternative to conventional
coal mining methods."
Underground coal gasification boasts dramatic reductions in emissions,
low energy costs and relatively minor surface footprints when compared
to the surface and mining-based coal power plants commonly used
throughout North America.
About Nordic Oil and Gas Ltd.
Nordic Oil and Gas Ltd. is a junior oil and gas company engaged in the
exploration and development of oil, natural gas and Coal Bed Methane in
Alberta and Saskatchewan. The Corporation is listed on the TSX Venture
Exchange and trades under the symbol NOG. Nordic was one of the "2008
TSX Venture 50" companies, a ranking of the top 10 public venture
capital companies in five industry sectors listed on the TSX Venture
Neither the 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 the contents of
this News Release.
This press release contains forward-looking statements with respect to
Nordic Oil and Gas Ltd. properties, and matters concerning the
business, operations, strategy, and financial performance of Nordic.
These statements generally can be identified by use of forward-looking
words such as "may", "will", "expect", "estimate", "anticipate",
"intends", "believe" or "continue" or the negative thereof or similar
variations. Such forward-looking statements are qualified in their
entirety by the inherent risks and uncertainties surrounding future
expectations, including that the estimates and projections regarding
the properties are realized. Forward-looking statements are based on a
number of assumptions which may prove to be incorrect. Unless otherwise
stated, all forward looking statements speak only as of the date of
this press release and Nordic does not undertake any obligation to
update such statements except as required by law.
SOURCE Nordic Oil
For further information:
Don Bain, Corporate Secretary.
Nordic Oil and Gas Ltd.
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