Sonoro to Close Previously Announced Farmout Transaction
Feb 29, 2012, 06:00 ET
TSX Venture Exchange Symbol: SNV
CALGARY, Feb. 29, 2012 /CNW/ - Sonoro Energy Ltd. ("Sonoro" or the "Company") (TSXV: SNV) is pleased to announce that all conditions precedent have been met to close the previously announced farmout transaction (the "Farmout") with Geopetrol International Holding Inc. and its subsidiary, Geopetrol Iraq Corp. (collectively, "Geopetrol"). These satisfied conditions include the approval of the Al-Salah ad Din Provincial Government (the "Government") and the TSX Venture Exchange. In accordance with the terms of the Farmout Agreement, Sonoro anticipates that the Farmout will close in approximately one week, at which time the Company will issue a further news release confirming closing.
In addition to approving the Farmout, the Government has agreed to extend the time limit prescribed in the Asphalt License Agreement during which Sonoro, Berkeley Petroleum Mesopotamia Limited and Geopetrol (collectively, the "Licensee") must construct an initial topping facility capable of processing a minimum of 1,000 barrels per day (the "Topping Facility"). The previous deadline of October 2012 for construction of a Topping Facility has been extended to 18 months following a commercial discovery.
Sonoro is an international oil exploration and development company. Our current focus is resource exploration and development in Iraq. We have initiated the evaluation of resource opportunities within our asphalt (heavy oil) license agreement, and new interests for conventional oil and gas exploration are being pursued in the Salah ad Din Province in the Republic of Iraq.
Forward Looking Information
This press release contains forward looking information, including but not limited to the closing of the Farmout. The forward looking information is based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated.
Due to the risks, uncertainties and assumptions inherent in forward looking information, prospective investors in the company's securities should not place undue reliance on forward looking information. Forward looking information contained in this press release is made as of the date hereof and are subject to change. The company assumes no obligation to revise or update forward looking information to reflect new circumstances, except as required by law.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
PRESIDENT & CEO
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