CALGARY, Alberta, Aug. 2 /PRNewswire-FirstCall/ -- FEC RESOURCES INC.
(OTC Bulletin Board: FECOF, Frankfurt/Munich: FE8) reports that Forum Energy
Plc ("Forum"), the UK energy group with gas, oil and coal assets in the
Philippines, of which FEC Resources is a major shareholder has announced the
completion of a second-round fund raising which saw key institutions invest
11.0 million pounds (US$19.35m) for 36% of the company at 1.12 pounds
(US$1.97) per share. An earlier placing in May raised approximately 3.4
million pounds (US$5.98 million) at 1.00 pounds (US$1.76) per share.
Forum's assets include the highly promising Sampaguita gas discovery in
the Reed Bank offshore license area, the SC 40 (Cebu) license with known
onshore and offshore gas and oil discoveries, and two coal operating contracts
on Cebu Island. The company has estimated potential reserves from three
discoveries totaling some 2,330 BCF of gas and proven and probable coal
reserves of 4.9 million tones.
The company expects to start generating gas and coal production revenues
during the first half of next year, and operates in a country where energy
development is a government priority.
Approximately 27.2 million shares will be admitted to AIM, at 1.12 pounds
(US$1.97) per share, valuing the company at 30 million pounds (US$52.78
million). Following the placement FEC Resources, Inc. will be the largest
single shareholder with a 37.6% stake in the business valued at approximately
US$20m.
Forum Energy Plc shares will commence trading on the AIM market on August
2nd.
"We are delighted that Forum Energy Plc has successfully closed this
substantial round of fund-raising. FEC Resources shareholders will benefit
greatly from the accelerated development of the Philippine Oil, Gas and Coal
assets of Forum Energy Plc through our significant shareholding in the
business," commented Larry W. Youell, President & CEO.
To learn more about FEC Resources, Inc visit http://www.FECResources.com. To
learn more about the Oil, Gas and Coal assets of Forum Energy Plc visit their
website at http://www.forumenergyPLC.com
For General Enquiries email: info@FECResources.com
On behalf of the Board of,
FEC Resources, Inc.
"Larry W. Youell"
President & 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, or info@FECResources.com
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