Under the amended PSAs the JV partners are obligated to spud a minimum
of one exploratory well in the Dharoor Valley Exploration Area by July
27, 2011. A second exploratory well is required to be spudded in the
Nugaal Valley Exploration Area or, at the option of Africa Oil, in the
Dharoor Valley Exploration Area, by September 27, 2011.
The Company looks forward to the upcoming wells in the rift basins of
Puntland which could hold similar potential to the geologically related
basins in Yemen that contain more than 6 billion barrels of discovered
reserves. Negotiations with a potential drilling contractor to meet
these obligations are at an advanced stage.
About the Company: Lion Energy Corp. is a well-financed, Canadian exploration company with
a vision to develop a significant presence in the developing oil and
gas industry. The Company holds oil and gas interests in four petroleum
blocks located in the Republic of Kenya and in Puntland, Somalia. The
Company further holds interests in both Encanto Potash Corp., a junior
potash exploration company and Sulphur Solutions Inc., an emerging
fertilizer company developing state-of-the-art patented technology for
the production of micronized sulphur fertilizer.
On behalf of the Board,
LION ENERGY CORP.
John R. Nelson
President and Chief Executive Officer