Romania Update

RNS Number : 0788T

Regal Petroleum PLC

22 September 2010

 



Regal Petroleum plc

("Regal" or the "Company")

22nd September 2010

Romania Update

Barlad licence extension approved

Regal, the AIM-listed oil and gas exploration and production group (symbol: RPT), is pleased to announce that it has today obtained approval from the Government of Romania to extend its rights as the legal holder of the petroleum exploration, development and production rights in relation to the Barlad Block EV-2 (100% working interest and operator, total area of 6,284 km² located in north east Romania). These rights have been granted under the terms of the concession agreement originally signed in January 2004 between the National Agency for Mineral Resources and Regal and subsequently extended by a new licence extension agreement dated 21st September 2010.

As a result of this approval, the licence has been extended by 2 ½ years from 1st September 2010 until 1st March 2013 based on a new minimum work programme commitment, valued at $US 5.1 million, comprising:

1.   Seismic data acquisition and processing: 200 km 2D                                

2.   Data interpretation and correlation and other integration studies    

3.   Drilling of one well to 2500 m

4.   Technology transfer fund contribution

Under the terms of this latest agreement, Regal has the right, following the accomplishment of the above work programme, to request a further 2 ½ year extension with a further minimum exploration programme, to be agreed.

For further information, please contact:

Regal Petroleum plc	Tel: [phone]
David J Greer, CEO
Strand Hanson Limited	Tel: [phone]
Simon Raggett / Rory Murphy
Citigate Dewe Rogerson	Tel: [phone]
Martin Jackson / George Cazenove

 

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