Expansion of Acreage in Polan

RNS Number : 1410W

San Leon Energy PLC

15 November 2010

 



San Leon Energy

("San Leon" or "the Company")

Further Expansion of Unconventional Gas Acreage in Poland

·      San Leon and its Polish subsidiary Liesa Energy have signed a binding agreement with Mazovia Energy Resources Sp. z o.o. to acquire a 100% interest in three additional concessions (the "Concessions") in Poland's southern Permian Basin on very favourable terms

·      The Concessions, adjacent to the Company's existing Nowa Sol and Wschowa Concessions, will expand San Leon's position in western Poland from 2,245 sq km to 3,560 sq km (879,695 acres)

·      San Leon's technical team continues to pioneer new exploration plays in Poland

San Leon is pleased to announce that its wholly owned Polish subsidiary Liesa Energy Sp. z o.o. has entered into a binding agreement to acquire three additional concessions for oil and gas reconnaissance and exploration, including the associated mining usufruct agreements, for a total of USD$1.0 million in cash and shares. On completion, San Leon will have a 100% interest in the Concessions.  The company expects to make a further announcement in due course as the transaction is subject to final regulatory approval.

The 30/2008/p Gora, 20/2009/p Winsko, and 39/2009/p Rawicz Concessions totaling 1,314 sq km, are located in the southern area of the Fore Sudetic Monocline of the Permian Basin, onshore western Poland. These Concessions include portions of license blocks 245, 265, 266, 267, and 268.

The Concessions are valid for up to 5 years.

Oisín Fanning, Chairman of San Leon commented:

"With this acquisition San Leon will be the leading independent unconventional gas player in Poland; a position that has been built up in just two years. This is a further progression of San Leon's commitment to pioneer new exploration plays in Poland. We believe that the unexplored deeper Carboniferous play in this area has significant potential and further diversifies San Leon's exciting unconventional gas portfolio. This latest achievement also underpins the advantages of having our own technical team working in Poland."

15 November 2010

For further information contact:

San Leon Energy Plc	Tel: + 353 1291 6292
Oisin Fanning, Chairman
John Buggenhagen, Director of Exploration
Arbuthnot Securities	Tel: [phone]
Nick Tulloch
Ben Wells
Macquarie Capital (Europe) Limited	Tel: +44 (0)  20 3037 2000
Paul Connolly
Ben Colegrave
Fox Davies Capital	Tel: +44 (0)  207 936 5230
Phil Davies
David Porter
College Hill	Tel: +44 (0)  207 457 2020
Nick Elwes

Qualified person

John Buggenhagen has over 15 years experience in the oil & gas industry. He has a Ph.D. and M.Sc. in Geophysics from the University of Wyoming and a B.Sc. in Geophysics from the University of Arizona. He is currently the Director of Exploration for the San Leon Energy Group and based in San Leon's Warsaw office in Poland.

 

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