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| Seven Seas Reports Delay in Filing Third Quarter Results |
HOUSTON, Nov. 15 /PRNewswire-FirstCall/ -- Seven Seas Petroleum Inc. (Amex: SEV) announced today that the Company was unable to complete a timely filing of the third quarter Form 10-Q because of pending changes to its accounting for deferred taxes that affect the second quarter of 2002. An amended second quarter Form 10-Q/A is being prepared to reflect changes to the previously reported treatment of deferred taxes. The Company has filed Form 12b-25 Notification of Late Filing with the Securities and Exchange Commission and intends to file the third quarter Form 10-Q no later than November 19, 2002. Semiannual Interest Payment The Company did not make the $6,875,000 semiannual interest payment on its 12.5% $110 Million Senior Subordinated Notes ("Senior Notes") due today. The Company has 30 days to make this payment and avoid being in default under the terms of those notes. The failure to comply with the terms of the Senior Notes will also create a default under the terms of the Chesapeake Note Purchase and Loan Agreement if not cured within 20 days and all debt will become immediately due. The Company will discuss with Chesapeake Energy Corporation whether it will extend the cure period to 30 days, parallel with the cure period provided by the Senior Notes. Seven Seas Petroleum Inc. is an independent oil and gas exploration and production company operating in Colombia, South America. Statements regarding anticipated oil and gas production and other oil and gas operating activities, including the costs and timing of those activities, are "forward looking statements" within the meaning of the Securities Litigation Reform Act. The statements involve risks that could significantly impact Seven Seas Petroleum Inc. These risks include, but are not limited to, adverse general economic conditions, operating hazards, drilling risks, inherent uncertainties in interpreting engineering and geologic data, competition, reduced availability of drilling and other well services, fluctuations in oil and gas prices and prices for drilling and other well services and government regulation and foreign political risks, as well as other risks discussed in detail in the Seven Seas Petroleum Inc.'s filings with the U.S. Securities and Exchange Commission.SOURCE Seven Seas Petroleum Inc.
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Petroleum Inc., +1-713-622-8218
