Disposal

Regal Petroleum PLC
21 December 2007



 

Immediate Release                                               21 December 2007
                                                                          

                              REGAL PETROLEUM PLC
                                ('the Company')

                          Sale of Eurotech Services SA

The Company announces that it has completed the sale of its entire shareholding
in Eurotech Services SA to Aegean Energy SA, a Greek-owned company. Eurotech
Services SA is a holding company incorporated in Greece through which the
Company previously owned its 95% economic interest in Kavala Oil SA. Under the
terms of sale, the Company sold the entire issued share capital of Eurotech
Services SA to Aegean Energy SA for a consideration of US$1.5 million in cash.
The Company fully impaired its investment in Eurotech Services SA in its
accounts for the year ended 31 December 2006 and no profits were attributable to
its investment in Eurotech Services SA in such period. The Company intends to
use the sale proceeds for working capital purposes. In addition, the Company has
assigned to an associated company of Aegean Energy SA its equitable interests in
certain indebtedness owing to the Company for a nominal consideration as well as
its interests in certain plant and equipment for deferred cash consideration to
be determined by independent valuation and by reference to any net resale
consideration received, although the Company is unable to advise of the amount
of such deferred cash consideration at this time as there are a number of
contingent factors relating thereto save to advise that it is not believed
likely to be significant.


For further information, please contact:

Regal                                            Tel: [phone]
David J Greer, Chairman & CEO

Evolution Securities                             Tel: [phone]
Robert Collins




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