MENA Hydrocarbons Proposes Share Consolidation
March 05 2014 - 9:00AM
Marketwired
MENA Hydrocarbons Proposes Share Consolidation
CALGARY, ALBERTA--(Marketwired - Mar 5, 2014) - MENA
Hydrocarbons Inc. ("MENA" or the "Company") (TSX-VENTURE:MNH) is
pleased to announce the following corporate update.
AGM timing and Proposed
Consolidation
The Company intends to hold an annual meeting of shareholders in
the late spring of 2014. As part of the annual and special meeting
shareholders will be asked to approve the consolidation of the
Company's shares on a range of up to 25 old shares for each 1
post-consolidation share (the "Consolidation") or such lesser whole
number of pre-consolidation Common Shares that the directors of the
Company in their discretion may determine, with the Consolidation
to be implemented by the Board at any time following shareholder
approval. This Consolidation remains subject to all required
regulatory approvals, including both TSX Venture Exchange ("TSXV")
approval and shareholder approval. The number of outstanding stock
options and warrants of the Company will similarly be adjusted by
the consolidation ratio, and the exercise prices adjusted
accordingly.
The Company's directors believe the Consolidation is necessary
for the following reasons:
- Merger or acquisition proposals to acquire new projects based
on share consideration are hampered by the need to issue very large
amounts of stock to effect any transaction.
- TSXV rules are designed to encourage public companies to
maintain price per share trading ranges above $0.05 per share
through minimum share and warrant equity issue rules. At this time
the number of shares outstanding makes it difficult to sustain
higher share prices. This low share price range results in material
limitations on the Company's ability to finance future projects
through equity or convertible debt issues.
About MENA
Hydrocarbons
MENA Hydrocarbons is an international oil and gas company
focused on growing an asset base of production, development and
high impact exploration in the Middle East and North Africa region.
In Egypt, MENA owns and operates the development lease for the
Lagia oil field, a 32 square kilometer onshore block located on the
Sinai Peninsula, directly adjacent to the Gulf of Suez. In Syria,
MENA owns a 30% participating interest in Block 9 in Syria, a
10,032 square kilometer onshore block prospective for crude oil,
natural gas and condensate. In the United States, MENA owns 6,242
gross acres (with an 81.2% average working interest) in
Northwestern Montana with light/medium oil reserves MENA's shares
currently trade on the TSX Venture Exchange under the symbol
"MNH".
Forward-looking
Information
This news release contains forward-looking information relating
to planned development and exploration activities on the properties
in which the Company has interests and our financial position. Such
forward looking information is subject to important risks,
uncertainties and assumptions. The results or events predicated in
this forward-looking information may differ materially from actual
results or events. As a result, you are cautioned not to place
undue reliance on these forward-looking information.
Forward-looking information is based on certain factors and
assumptions regarding, among other things, the Company maintaining
its stock exchange listing; the availability of financing on
acceptable terms or at all and the timing such financing is needed;
the general stability of the economic and political environments in
which the Company operates or owns interests; the timely receipt of
any required regulatory approvals; the ability of the Company to
obtain qualified staff, equipment and services in a timely and cost
efficient manner; drilling results; the ability of the operator of
the projects which the Company has an interest in to operate the
field in a safe, efficient and effective manner; field production
rates and decline rates; the timing and costs of pipeline, storage
and facility construction and expansion and the ability of the
Company to secure adequate product transportation; future oil and
natural gas prices; currency, exchange and interest rates; the
regulatory framework regarding royalties, taxes and environmental
matters in the jurisdictions in which the Company operates; the
ability of the Company to successfully market its oil and natural
gas products, and other similar matters. While the Company
considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.
Forward looking-information is subject to certain factors,
including risks and uncertainties that could cause actual results
to differ materially from what is currently expected. These factors
include risks associated with the Company's ability to successfully
maintain its stock exchange listing, the availability of capital on
acceptable terms or at all and the timing such capital is needed,
instability of the economic and political environments in which the
Company operates or owns interests, oil and gas exploration,
development, exploitation, production, marketing and
transportation, loss of markets, volatility of commodity prices,
currency fluctuations, imprecision of reserve estimates,
environmental risks, competition from other producers, inability to
retain drilling rigs and other services, incorrect assessment of
the value of acquisitions, the inability to settle the definitive
terms of the farmout arrangements, failure to realize the
anticipated benefits of acquisitions, delays resulting from or
inability to obtain required regulatory approvals and ability to
access sufficient capital from internal and external sources,
reliance on key personnel, regulatory risks and delays, including
risks relating to the acquisition of necessary licenses and
permits, environmental risks and insurance risks.
You should not place undue importance on forward-looking
information and should not rely upon this information as of any
other date. While the Company may elect to, the Company is under no
obligation and does not undertake to update this information at any
particular time, except as required by law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequate or
accuracy of this release.
MENA Hydrocarbons Inc.Magdy BassalyPresident and Chief Executive
Officer+1(714) 713-6534 or Cell 2 01 222
101582m.yousef@menahc.comwww.menahydrocarbons.comMENA Hydrocarbons
Inc.5 Hassan Hafez StreetSaraia Elqoba, Cairo Egypt