Frankfurt Exchange: DFM
ST. JOHN'S, NL, Dec. 22 /CNW/ - Canadian Imperial Venture Corp. ("CIVC" / the "Company") is pleased to announce that its wholly owned Alberta subsidiary, USG Energy Corp. ("USG") has entered into a strategic exploration and development arrangement with Batavia Energy Inc. ("Batavia"), targeting ultra-shallow natural gas in Alberta.
Under the arrangement, Batavia will act as the financial arm for the Batavia/USG exploration and development program, providing 100% of the funding while USG will be Operator and will direct all aspects of the program including its formulation. Batavia and USG will each have 50% beneficial interest in lands acquired and all natural gas discovered.
The initial phase of the program will involve geology, geophysics, land acquisition and drilling of up to 15 test holes. This program is anticipated to commence in the first quarter of 2010. Subsequent phases will involve exploration and development drilling, well tie-in and land acquisition. These phases are planned to commence within 12 months of the completion of the initial phase. In total, the first two years of exploration and development work will include up to $5 million of expenditures.
"USG has invested considerable time and effort developing proprietary know-how on this ultra-shallow gas play. We are delighted that this agreement with Batavia now provides the financial resources to advance the play for the benefit of both USG and Batavia. While gas in Alberta has seen challenging times in the recent past we believe that this play can be profitable with current prices and that the longer term outlook for natural gas is positive," said Steven Millan, CEO of CIVC.
Canadian Imperial Venture Corp. is an independent Canadian-based energy company with interests in petroleum exploration and development in western Newfoundland and in western Canada. Eastern Canada is the home to such developments as the Hibernia, Terra Nova, White Rose, Sable Island, Deep Panuke, and McCully fields.
Batavia Energy Inc. is an independent Canadian-based energy company engaged in the natural gas exploration and development industry in Asia and North America.
CANADIAN IMPERIAL VENTURE CORP.
By: "Steven M. Millan"
Steven M. Millan, P.Geo.
Chairman and CEO
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OF THIS PRESS RELEASE.
This release includes certain forward looking statements which reflect beliefs, expectations, objectives and goals which are believed to be reasonable at the time such statements are made. Actual results could differ materially from anticipated results and may be impacted upon such factors as commodity prices, political developments, legal decisions, market and economic conditions, industry competition, the weather, changes in financial markets and changing legislation.
SOURCE Canadian Imperial Venture Corp.
For further information: For further information: Canadian Imperial Venture Corp., (709) 739-6700, Fax: (709) 739-6605, firstname.lastname@example.org; www.canadianimperial.com