Lion Energy receives conditional acceptance from TSX Venture Exchange for farm-in with Africa Oiladmin
Further to a release on May 28,2009, Lion Energy Corp. announces that it has received conditional acceptance from the TSX Venture Exchange for its farm-in agreement (the “Agreement”) with Africa Oil Corp. (“Africa Oil”), a member of the Lundin Group of Companies. Final Acceptance is subject to the confirmation of certain matters with the TSX Venture Exchange. The Agreement relates to production sharing contracts in which Africa Oil has interests in the Republic of Kenya and the State of Puntland, Somalia.
In Kenya, Africa Oil will transfer to Lion Energy a 10% interest in the Block 9 Production Sharing Agreement, a 25% license interest in the Block 10A Production Sharing Contract and a 20% interest in Block 10BB Production Sharing Contract. In Puntland, Africa Oil will transfer a 15% license interest to Lion Energy in the Nogal and Dharoor Petroleum Production Sharing Agreements.
This farm-in transaction remains subject to approvals of the appropriate regulatory authorities from the Republic of Kenya and the government of Puntland, Somalia. The Company also requires approval from the Chinese National Offshore Oil Corporation (CNOOC), the majority operating partner, on Block 9 in Kenya.
Lion Energy also announces that Mr. Richard A. Knoll has elected to resign from the Board of Directors of the Company in order to focus his efforts on his personal business endeavors including Sulphur Solutions Inc. (SSI). Lion Energy holds a 20% interest in SSI, an emerging fertilizer company developing patented technology for the production of micronized sulphur fertilizer. Mr. Knoll has been a Director of the Company since June 2008 and has been an integral part in the Company’s development.
Lion Energy president, Brian Thurston, stated: “The Board of Directors and I want to acknowledge and express our appreciation for Rick’s many contributions during his tenure on the Company’s Board of Directors and wish him all the best with his future endeavors.”