CALGARY, Aug. 31, 2016 /CNW/ - Bankers Petroleum Ltd.
("Bankers" or the "Company") (TSX: BNK, AIM: BNK) is pleased to
announce the signing of a conditional domestic offtake crude oil
sales agreement with Ionian Refining and Trading Co. – IRTC SH.A.
("IRTC"). The agreement will become effective upon receipt by
Bankers of the Albanian Government's approval of the Company's
proposed drilling program for the fourth quarter of 2016 and in
respect of amendments to lifting procedures between the Company and
Albpetrol Sh.A for handling of Albpetrol's share of volumes from
the Patos-Marinza oilfield.
Once effective, Bankers may sell up to 65% of its crude oil
production under the agreement pursuant to which the Company will
receive payment security in advance of crude deliveries. In
accordance with the agreement, deliveries will be made from
October 1, 2016 through to
December 31, 2017.
Pricing for crude oil sales made under the agreement is
equivalent, on a full cost basis, to the pricing obtained by
Bankers for its export sales, after accounting for reduced
transportation and terminal fees. IRTC will process the crude
oil at the domestic Fier and Ballsh refineries in Albania.
The balance of Bankers' production will continue to be sold to the
export market.
Bankers is pleased to see the domestic refining market re-emerge
as an employer in the region and welcomes working with the Albanian
Government, its agencies and IRTC to see this agreement come to
fruition.
Corporate Transaction Update
Bankers and Geo-Jade Petroleum Corporation remain committed to
completing the corporate transaction pursuant to an arrangement
agreement dated March 19, 2016. The transaction is
expected to close before September 30, 2016 and remains
subject to the regulatory approval of the Chinese State
Administration of Foreign Exchange. Following successful
completion of the transaction, Bankers Shares will be delisted from
the Toronto Stock Exchange and the AIM market of the London Stock
Exchange.
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About Bankers Petroleum Ltd.
Bankers Petroleum Ltd. is a Canadian-based oil and gas
exploration and production company focused on developing large oil
and gas reserves in Albania and
Eastern Europe. In Albania,
Bankers operates and has the full rights to develop the
Patos-Marinza heavy oilfield, has a 100% interest in the Kuçova
oilfield, and a 100% interest in Exploration Block "F". In
2015 Bankers acquired an 85% interest in the rights to explore the
Püspökladány Block concession within the Pannonian Basin located in
north eastern Hungary. The Bankers Shares are traded on the
TSX and the AIM Market in London,
England under the stock symbol BNK.
Caution Regarding Forward-looking Information
Certain information set forth in this press release,
including information and statements which may contain words such
as "could", "plans", "intends" "should", "anticipate", "expects",
"will", "propose", "opportunity", "future", "continue", and similar
expressions and statements relating to matters that are not
historical facts, contain forward-looking statements, including but
not limited to statements regarding: the crude oil sales
agreement, and the timing of receipt of required Albania government, regulatory approvals and
the anticipated timing of closing of the corporate transaction. By
their nature, forward-looking statements are subject to numerous
risks and uncertainties, some of which are beyond Bankers' control.
The foregoing list is not exhaustive. Readers are cautioned that
the assumptions used in the preparation of such information,
although considered reasonable at the time of preparation, may
prove to be imprecise and, as such, undue reliance should not be
placed on forward-looking statements. The actual results,
performance or achievement of Bankers could differ materially from
those expressed in, or implied by, these forward-looking statements
and, accordingly, no assurance can be given that any of the events
anticipated by the forward-looking statements will transpire or
occur, or if any of them do so, what benefits that Bankers will
derive therefrom. Bankers disclaims any intention or obligation to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as
required by applicable securities laws.
SOURCE Bankers Petroleum Ltd.