(TSX-V | OYL)
TORONTO, Dec. 1, 2014 /CNW/ - CGX Energy Inc. ("CGX Energy") announced today the settlement of the claims brought against Repsol Exploración, S.A. ("Repsol") relating to the joint operating agreement governing the Georgetown Block (the "Georgetown JOA"), offshore Guyana (the "Settlement"). CGX Resources Inc. ("CGX Resources"), a wholly-owned subsidiary of CGX Energy, commenced an arbitration against Repsol in the London International Court of Arbitration and received an injunction against Repsol in from the High Court of the Supreme Court of Judicature in January and August, 2014.
Under the terms of the Settlement, CGX Energy received approximately U.S.$900,000 due to CGX Resources pursuant to the terms of the Georgetown JOA and neither party was responsible for costs or damages. Repsol has also agreed to evaluate opportunities in the Guyana-Suriname basin and Repsol was granted a ninety (90) day option to present a farm-in proposal to acquire at least a 10% participating interest in any of the Corentyne Block (100%), Demerara Block (100%) or the Berbice Block (62%). In addition, CGX Energy and Pacific Rubiales Energy Corp. have been granted a similar option on the Kanuku Block. In the event that a proposal is accepted, any definitive agreements are subject to due diligence and the terms of any pre-existing petroleum agreement or joint operating agreement.
The parties look forward to the prospect of working together again in the future if and when the right opportunities arise.
About CGX Energy
CGX Energy is a Canadian-based oil and gas exploration company focused on the exploration of oil in the Guyana-Suriname Basin.
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 THIS RELEASE
This news release contains forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur in the future. These forward-looking statements are based on certain key expectations and assumptions made by CGX Energy. CGX Energy believes the expectations and assumptions on which it develops forward-looking statements are reasonable; however, undue reliance should not be placed on forward-looking statements as there can be no assurance they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. In addition, other risks that may affect the forward-looking statements in this news release are outlined further in the Company's Annual Information Form dated March 5, 2014 filed on SEDAR at www.sedar.com.
The forward-looking statements contained in this news release are made as of the date hereof and CGX Energy undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
SOURCE: CGX Energy Inc.
For further information: Michael Galego, General Counsel and Secretary at (416) 843-3858 or [email protected]