CALGARY, Alberta, Nov. 26 /PRNewswire/ -- The following was released on
behalf of the Board of Tracer Petroleum Corporation, by David Robinson,
President and CEO:
Tracer Petroleum Corporation ("Tracer" or the "Company")
(OTC Bulletin Board: TCXX) reports that the Company and its financial and
strategic co-venturer, Roc Oil Company Limited ("ROC") of Sydney, Australia,
have mutually agreed to extend until February 28, 2002, the due diligence
period under the convertible loan agreement between Tracer and ROC. To date,
ROC has loaned US$210,671 to Tracer, to assist in the Company's pursuit of
petroleum development opportunities in the Islamic Republic of Iran and
elsewhere. As per the original agreement between ROC and Tracer, ROC has the
opportunity to provide to Tracer a staged financing over a period up to
15 months of up to a discretionary maximum of US$4 million.
At present, Tracer's management is focused on a 3-pronged strategy which
is as follows:
1. Acquire an interest in one or more smaller, proven, quick-to-cash flow
fields in Africa and/or the Middle East in order to generate near-term
cash flow for the Company.
2. Complete a major transaction involving a major petroleum project or
projects in Iran. This would be undertaken in conjunction with major
industry partners.
3. Continue to look for significant emerging opportunities in the
Middle East, the Caspian Sea region, and elsewhere, to be pursued in
partnership with ROC if deemed appropriate.
In Iran, the Company is continuing to work with potential partners, both
in and out of the country, on establishing one or more consortiums for the
pursuit and development of significant petroleum project opportunities that
have been offered to Tracer. Further details will be made available to the
Company's shareholders as soon as possible.
Elsewhere, Tracer was recently presented with the opportunity to
participate in the development of one or more petroleum fields in Nigeria, in
conjunction with an indigenous Nigerian company and subject to the approval by
the Department of Petroleum Resources ("DPR") in Nigeria. The indigenous
Nigerian company, with Tracer as its technical partner, prepared the
pre-qualification documentation which was submitted to the DPR on November 9,
2001. It is expected that the award of the fields will be announced by
mid-December, 2001.
Tracer also reports that the Board of Directors has agreed to lower the
exercise price of all of the Company's currently outstanding share-purchase
warrants to US$0.25 per share. In total, this involves 2,999,141
share-purchase warrants. Furthermore, a total of 1,237,121 Tracer share
options have been repriced to US$0.10 per share; the repricing of the warrants
and options is being done to give the Company more immediate access to
capital, when needed, for its pursuit of international petroleum development
opportunities. The Company's Board of Directors is also considering a
shareholder rights offering, to raise an estimated US$2 million, to be
primarily invested in near-term cash flow petroleum opportunities that the
Company is pursuing in Nigeria and elsewhere.
The Company currently holds preferred shares of Transmeridian Exploration
Inc. ("TMEI") which are convertible, at no cost, into 1.5 million common
shares of TMEI. Tracer also holds 1 million warrants that are exercisable
into TMEI common shares at US$1.00 per share. On November 6, 2001, the
Form SB-211 Registration Statement that TMEI previously filed with the
U.S. Securities and Exchange Commission was declared effective. TMEI intends
to list its common shares on the OTC Bulletin Board, with an offering price of
US$2.00 per share.
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 Investor Relations, at 403-290-1676 at
the Company's headquarters: TRACER PETROLEUM CORPORATION,
Suite #910, 441 - 5th Ave. S.W., Calgary, AB, T2P 2V1 Canada
Phone: 403-290-1676 or Fax: 403-264-5285, "e-mail"
tracerinfo@tracerpetroleum.com or web site, http://www.tracerpetroleum.com
SOURCE Tracer Petroleum Corporation
 back to top
Related links:
http://www.tracerpetroleum.com
Company News On-Call:
http://www.prnewswire.com/comp/121391.html
CONTACT:
Investor Relations of TRACER PETROLEUM
CORPORATION, +1-403-290-1676, or +1-403-290-1676, or fax,
+1-403-264-5285, or tracerinfo@tracerpetroleum.com
|
