6th Jul 2007 16:04
White Nile Limited06 July 2007 White Nile Ltd / Ticker: WNL / Index: AIM / Sector: Oil & Gas 6th July 2007 White Nile Ltd ('White Nile' or 'the Company') Update on Block Ba, Southern Sudan The Directors of White Nile Ltd, the AIM listed oil and gas exploration company,would like to comment on recent developments with regards to its oil explorationconcession Block Ba in Southern Sudan. The Company is again seeking clarification of its position regarding Block Ba.As reported yesterday, Chairman Phil Edmonds last week met with the VicePresident of the Government of Southern Sudan ("GOSS"), Dr Riek Machar, and PaulMayom, the Minister of Interior and Chairman of Nile Petroleum Corp ("NilePet"),the Government of Southern Sudan's state owned petroleum company. Both the VicePresident and the Chairman of NilePet were members of the Joint ExecutiveCommittee of Northern and Southern Sudanese representatives recently convened todiscuss oil and other issues in Sudan as a whole. Both confirmed to Mr Edmondsthe proposed formation of a newly formed oil consortium with regard to Block Bas a whole in Southern Sudan and the participation of NilePet and White Niletherein, together with Total SA, Kuwait Foreign Petroleum Exploration Companyand Sudan National Petroleum Corporation, the state owned oil company ofnorthern Sudan. White Nile has today been made aware of resolutions of the National PetroleumCommission ('NPC') apparently signed by the Co Chairmen of the NPC on 17 June2007. This document contains a reference to Resolution No (7), 2007 which reads,"The pulling out of the British White Nile Co from Block B and its removal fromentering as partner by purchasing the share of Marathon Co. refrained from theBlock." Furthermore, Resolution No (8), 2007 reads "Assignment to the rapporteurof NPC and MEM to assess the assets of British White Nile Co. in Block (B) andAscom Co. in Block (5B) for settlement and to submit a report to NPC." The Boardof White Nile has had no official indication of these resolutions and iscontacting government figures in Southern Sudan to account for this newinformation and clarify the situation. White Nile is taking all appropriate steps to protect its licence agreementawarded by NilePet. Its 60% rights to Block Ba were granted in April 2005 withNilePet retaining the rights over the remaining 40%. The Board of White Nile wasassured by the GOSS that NilePet possessed the legal title for Block Ba as allnon producing oil concessions were placed under NilePet's control in August2004. As a result of this agreement and in reliance on assurances from GOSS, theCompany has undertaken an extensive exploration programme including seismicoperations and identified a number of drill targets, the first of which wasbeing drilled at Kedelai in Block Ba, 200 km due north of Juba, in the JongleiState of Southern Sudan. Extensive community projects have also been initiatedunderlying the Company's commitment to the People of Southern Sudan. The Board retains its belief that the Company's licence remains legally binding.It is seeking urgent meetings with the GOSS to clarify the situation. * * E N D S * * For further information please visit www.whitenile-ltd.com or contact: Phil Edmonds White Nile Ltd Tel: 0845 108 6060Jonathan Wright Seymour Pierce Ltd Tel: 020 7107 8000Hugo de Salis St Brides Media & Finance Ltd Tel: 020 7242 4477 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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