22nd Jun 2007 07:00
Minmet plc ("Minmet", or the "Company") Minmet strategic partner opens PSC negotiations in Cuba The board of directors of Minmet plc ("Minmet"), the AIM and IEX traded naturalresource investment company is pleased to report progress towards the securingof Production Sharing Contracts ("PSC") over oil and gas properties in theRepublic of Cuba. Minmet's strategic partner, Gold Oil plc ("Gold"), today announced that it hassecured qualification from Oficina Nacional de Recursos Minerales de Republicade Cuba ("ONRM"), the Cuban National Office of Mineral Resources, to act asoperator for oil and gas exploration both onshore and in the territorial watersoffshore Cuba up to a water depth of 100 metres. This qualification representsthe successful completion of phase 1 of the strategy, developed in conjunctionwith Gold, targeting oil and gas opportunities in a number of Central and SouthAmerican countries (the "Territories"). Following its qualification by ONRM, Gold has commenced negotiations withCubapetroleo (Cupet), the state oil company of Cuba, for a PSC over a number oftargeted blocks which have been identified by Minmet and Gold. Under the terms of agreements finalised between Minmet and Gold in February2007, Gold is contracted to act as technical operator on behalf of Minmet, asthe investor, in potential oil and gas properties in the Territories. Minmet holds a 4.67% interest in Gold and Gold holds a 24.67% interest in Minmetfollowing a mutual share placing and a share exchange. Minmet is well financed and debt free following a rationalisation andmonetisation of its minerals portfolio over the past 18 months and hassignificant working capital available for investment in the Territories,dependant upon securing prospective acreage and favourable PSC terms. Michael Nolan, Minmet's Chief Executive, commented: "We have targeted a numberof oil and gas properties in Cuba since early 2007, however the securing ofoperator status for our partner Gold Oil has been a prerequisite to commencingPSC negotiations with Cupet. With this qualification achieved we can nowcommence negotiations to achieve a PSC over the targeted acreage. Gold are to becongratulated on qualifying as operators for oil and gas exploration anddevelopment projects in Cuba ". The technical information contained in this announcement has been reviewed andapproved by Michael Burchell, BSc, 66, member of the SPE and with over 44 yearsexperience in the oil and gas business. For further information, please contact: \* TMichael Nolan, CEO Minmet plc Tel - + 353 1 661 3309 E-mail - [email protected] Rod Venables, HB Corporate Tel - 020 7510 8600Cecil Jordaan, HB Corporate tel - 020 7510 8600\* T Copyright Business Wire 2007Related Shares:
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