17th Dec 2010 07:55
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN
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| 17 December 2010 |
Madagascar Oil Limited
("Madagascar Oil" or the "Company")
Licence Update
The board of directors of Madagascar Oil is today providing an update regarding the group's licences.
Following a meeting between the Ministry of Mines and Hydrocarbons (the "Ministry") and Madagascar Oil in Antananarivo late on Thursday 16 December 2010, the Ministry has indicated that it is interested in acquiring from the Company all of its licences excluding Bemolanga, being blocks 3104, 3105, 3106 and 3107. There can be no guarantee that any price agreed for such an acquisition will be representative of the fair value of such assets. However, the Company has obtained legal advice that all of its licences are valid and that the obligations on both parties are legally binding. Madagascar Oil intends to robustly defend its position.
Pending the resolution of such discussions, the Company has requested that trading in its ordinary shares on AIM be suspended with immediate effect. A further announcement will be made in due course.
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For further information please contact:
Madagascar Oil Limited | |
Laurie Hunter, Chairman and CEO Mark Weller, Chief Operating Officer | +1 713 357 4820 |
Strand Hanson Limited | |
Simon Raggett / Angela Peace / David Altberg | +44 (0) 20 7409 3494 |
Mirabaud Securities LLP | |
Peter Krens / Rory Scott | +44 (0) 20 7878 3360 |
GMP Securities Europe LLP Nick Morgan / Chris Beltgens | +44 (0) 20 7647 2800
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Pelham Bell Pottinger James Henderson / Mark Antelme | +44 (0) 20 7861 3232
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MOIL.L