27th Oct 2005 17:13
Sefton Resources Inc27 October 2005 SEFTON RESOURCES,INC. TRADING UPDATE Sefton Resources,Inc. announces that its negotiations with Monument Resources,for the acquisition of certain assets in East Kansas, have been terminated.Although due diligence had been completed it was not possible to reach agreementon certain details with respect to leases. In the circumstance Sefton has beenadvised to withdraw from the original deal, but expects to continue to negotiatethe acquisition of acreage where existing leasinghas been successful. The group also announces that oil and gas production is ahead of last yearslevels. There have been two solid months of 200 barrels a day production fromthe recent 5 well programme at Tapia. Based on the better than expected results,management is analyzing the options available for additional drilling. Commenting, Chairman and Chief Executive, Jim Ellerton said:'It is disappointing that we were not able to complete our negotiations withMonument, but our legal advice was that we should not continue and our firstconsideration must be to protect shareholder interests. The group itself is ingood order and although capital expenditure has risen this year it is nowproducing some very satisfactory results'. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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