CALGARY, Aug. 30, 2012 /CNW/ - (TSX-V: ROZ) - Rodinia Oil Corp. ("Rodinia" or the "Corporation") announces that its Board of Directors has formalized a process to identify, examine and consider strategic alternatives for the Corporation with the view to enhancing shareholder value. Such strategic alternatives may include, but are not limited to, a sale, farmout or joint venture of all or a portion of the assets of the Corporation, a merger or other business combination of the Corporation with another entity, a recapitalization of the Corporation, a sale of the Corporation as a whole or any combination thereof.
In 2011 Rodinia drilled two exploratory wells, both of which encountered oil and gas shows, encouraging petroleum systems indications and excellent Neoproterozoic reservoirs. Management believes that significant potential remains in the Officer Basin for both conventional and unconventional hydrocarbon discoveries. A lack of sufficient additional capital to undertake more extensive drilling operations has constrained the Corporation, but the Board of Directors believes that considerable geological progress has been made and significant inherent value remains in the Corporation's assets.
To oversee this process, Rodinia's Board of Directors has established a Special Committee comprised of all of the Directors. This Special Committee will also seek the involvement of an investment banking advisor to assist in these efforts.
It is the Corporation's current intention not to disclose developments with respect to the strategic review process until the Board of Directors has approved a specific transaction or otherwise determines that disclosure is necessary or appropriate. The Corporation cautions that there are no assurances or guarantees that this process will result in a suitable alternative and the Corporation has not yet set a definite schedule to complete this process.
About Rodinia Oil Corp.
Founded in 2006, Rodinia is engaged in the exploration, acquisition and development of petroleum and natural gas assets in Australia's Officer Basin, where it has an 85% working interest in approximately 23,000,000 gross acres of exploratory lands. It is one of the first companies to undertake exploration in the Officer Basin and has offices in Calgary, Alberta and Adelaide, South Australia. The Common Shares of Rodinia are listed for trading on the TSX Venture Exchange under the symbol "ROZ".
This press release may contain forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Rodinia, including, without limitation, statements pertaining to the potential timing and results of the search for strategic alternatives and management's future plans. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in Rodinia's disclosure documents on the SEDAR website at www.sedar.com. Any forward-looking statements are made as of the date of this release and, other than as required by applicable securities laws, Rodinia does not assume any obligation to update or revise them to reflect new events or circumstances.
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.
SOURCE: Rodinia Oil Corp.
For further information:
Rodinia Oil Corp.
Suite 320, 715 5 Ave. SW
Calgary, Alberta, Canada T2P 2X6
Telephone: (403) 718-0366
Toll Free: (877) 822-7280
Fax: (403) 718-3888