CALGARY, Alberta, April 25 /PRNewswire-FirstCall/ -- FEC Resources Inc
(OTC Bulletin Board: FECOF) ("FEC" or "the company") reports that it
expects to be delayed in the filing of its audited year end financial
statements with Canadian Securities Administrators and as a result may face
a cease trade order in Canada until the financials are filed. It is
expected that the Company will appear on the default issuers list of the
British Columbia Securities Commission on May 3, 2007 and a cease trade
order may then be issued on May 9, 2007 in Canada.
As the Company is required to report its interests in Forum Energy PLC,
Metalore Mining Corp, and Lascogon Mining Corp. using the equity method of
accounting; the audited financials of those companies are also required to
be received by the Company in order to record its investment and share of
profit or loss in each company. Under the equity method of accounting,
investments are initially recorded at cost and the carrying value is
adjusted thereafter to include the Company's pro-rata share of earnings of
each company. The amount of the adjustment is included in the determination
of net income by the Company and the investment account of the Company is
also increased or decreased to reflect the Company's share of capital
transactions and changes in accounting policies and corrections of errors
relating to prior period financial statements applicable to post
acquisition periods. Profit distributions received or receivable from each
company will also reduce the carrying value of the investment.
The Company has been advised that it will not receive the final audited
financials of at least one of the companies by FEC's required deadline of
April 30, and as a result FEC will be unable to have its audit completed in
time. The Company has been advised that all information should be available
from all of the companies mentioned by May 15, 2007 and FEC expects to file
its annual audited financial statements shortly thereafter.
The Company has made several attempts to get an extension on the
deadline but was unsuccessful in doing so. FEC will issue further updates
as necessary to keep shareholders advised of the status of the filings.
FEC Resources Inc, holds a diverse portfolio of Oil, Gas, Coal, Gold
and Iron Ore assets located in the Philippines through its shareholdings in
Forum Energy Plc, Lascogon Mining Corporation and Metalore Mining
Corporation. For further information email info@fecresources.com
On behalf of the Board of,
FEC Resources Inc.
"Larry W. Youell"
Larry W. Youell
President and CEO
This release contains "forward looking statements" as per Section 21E
of the US Securities and Exchange Act of 1934, as amended. Although the
Company believes that the expectations reflected in such forward looking
statements are reasonable, it can give no assurance that such expectations
will prove to have been correct. Management is currently reviewing many
options and there is no assurance that they will not make decisions other
than those now contemplated. The Company is subject to political risks and
operational risks identified in documents filed with the Securities and
Exchange Commission, including changing and depressed oil prices,
unsuccessful drilling results, change of government and political unrest in
its main area of operations
For more information please contact Larry Youell at (403) 290-1676
e-mail info@FECResources.com or visit the FEC Resources website at
http://www.FECResources.com
SOURCE FEC Resources Inc
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Related links:
http://www.fecresources.com/
CONTACT:
Larry Youell of FEC Resources Inc,
+1-403-290-1676, info@FECResources.com
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