WINNIPEG, Nov. 24 /CNW/ - Donald Benson, President & CEO of Nordic Oil and Gas Ltd. ("the Company" or" Nordic") announced today that the Company has entered into an agreement with a Vancouver-based firm ("the firm") whereby the said firm will conduct geological strat tests at Preeceville, Saskatchewan.
Upon expenditure of $300,000 in a 12-month period, the firm will then earn a 50% interest in 4.25 sections of land in Preeceville held by Nordic and its Joint Venture partner, Western Warner Oils Ltd. ("Western Warner"). The firm, along with its assignees, will then be entitled to enter into a Joint Venture with Nordic and Western Warner to further explore the said lands. In addition, the firm shall have the right to spend a further $1.2 million over a three-year period on the remaining leases held by Nordic/Western Warner within a 15-mile radius of mutual interest to earn a 50% interest in these lands.
To precipitate this agreement, Nordic has agreed to convert its petroleum and natural gas leases to mineral or coal dispositions if there is a discovery on its Preeceville lands, in amounts deemed to warrant an extended program.
This agreement excludes the six townships of land that Nordic acquired this past summer.
"This could result in a very significant agreement for us, given the discovery of coal seams last year near Hudson Bay, Saskatchewan, which is only about 50 kilometres to the north of our land in Preeceville," Mr. Benson said. "The company that made this discovery was exploring for kimberlite pipes at the time."
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.
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 & Gas Ltd.
For further information: For further information: Don Bain, Corporate Secretary, Nordic Oil and Gas Ltd., Tel. (204) 943-1810, Fax. (204) 943-1829, E-mail: firstname.lastname@example.org, www.nordicoilandgas.com