1st Feb 2005 14:18
Victoria Oil & Gas PLC01 February 2005 FOR IMMEDIATE RELEASE 1 February 2005 VICTORIA OIL & GAS PLC ("Victoria" or the "Company") cancels agreement with ALPINE INTERNATIONAL INVEST LIMITED ("Alpine") Following the successful completion of the acquisition of 74.8 per cent of ZAOSeverGas-Invest ("SGI"), the Board of Directors of the Company has renegotiatedthe terms of the Project Service Agreement ("PSA") with Alpine. Alpine had provided the Company with valuable technical and administrativeservices prior to its listing in the pursuit of suitable opportunities in theoil and gas sector. Subsequently, key Alpine management have taken full timepositions in Victoria and both parties have now agreed to cancel the PSA witheffect from 1 February 2005. Under the terms of the PSA as detailed in the Company's AIM Admission Document,subsequent to the completion of the SGI transaction, Alpine is entitled to asuccess fee payment of £297,941 representing 5 per cent of the transaction valueat date of first completion. This payment will be satisfied with the issue of961,100 ordinary shares in the Company calculated at 31 pence per share based onthe average mid-market closing price for the 3 months immediately prior to thedate of first completion Application will be made for the new ordinary shares tobe admitted to trading on AIM. Victoria's Vice-Chairman Grant Manheim said "Alpine has served its purpose well,but for the future we think it is more appropriate to pursue opportunitiesdirectly rather than through Alpine." Contact: Kevin Foo / George Donne Roland CornishVictoria Oil & Gas PLC Beaumont Cornish LimitedTel: 020 7921 8820 Tel: 020 7628 3396 [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
VOG.L