The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from Marketwire

Orleans Energy Announces Closing of Both the Waskahigan Deep Mineral Rights Disposition and the North Pine Creek Disposition

Friday, December 10, 2010

Orleans Energy Announces Closing of Both the Waskahigan Deep Mineral Rights Disposition and the North Pine Creek Disposition16:12 EST Friday, December 10, 2010CALGARY, ALBERTA--(Marketwire - Dec. 10, 2010) - Orleans Energy Ltd. ("Orleans" or the "Company") (TSX:OEX) announces the following: Deep Rights Disposition Today, December 10, 2010, the Company closed the previously-announced disposition of its deep mineral rights at Waskahigan in West Central Alberta to an arm's-length party for $35.0 million (the "Deep Rights Disposition"). The Deep Rights Disposition involves the disposition of the Company's undeveloped, non-producing deep mineral rights in 33 net sections (21,120 net acres) of acreage located in the Waskahigan area of West Central Alberta. Proceeds from the Deep Rights Disposition have been applied against outstanding bank debt. North Pine Creek Disposition Orleans also announces that on December 9, 2010 it closed the previously-announced minor disposition of a portion of its producing assets in its Pine Creek area for $5.56 million, adjusted for customary closing adjustments (the "North Pine Creek Disposition"). Proceeds from the North Pine Creek Disposition have been applied against outstanding bank debt. Board of Directors Change Orleans also announces the resignation of one of the Company's Directors, D. Michael G. Stewart. Both the Board of Directors and Management of Orleans would like to extend their gratitude to Mr. Stewart for his valuable guidance and contributions over the last two years. The Company anticipates augmenting its Board of Directors by another independent member in the near future.Orleans Energy Ltd. is a Calgary, Alberta-based crude oil and natural gas company, with common shares trading on the Toronto Stock Exchange under the symbol "OEX". Orleans commenced active oil and gas operations in January 2005 and is committed to maximizing value for its shareholders through successful drilling of internally-generated prospects supplemented with strategic and focused property and/or corporate acquisitions. Orleans has several operated, high working interest, light oil and liquids-rich natural gas "resource plays" in West Central Alberta, specifically the Montney in Kaybob, Waskahigan and Ante Creek, along with the Wilrich in Pine Creek and the Duvernay at Kaybob and Ante Creek. The information in this news release contains certain forward-looking statements. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "appear", "seek", "anticipate", "plan", "continue", "estimate", "approximate", "expect", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe", "would" and similar expressions. These statements involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control, including: the impact of general economic conditions; industry conditions; changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; fluctuations in commodity prices and foreign exchange and interest rates; stock market volatility and market valuations; volatility in market prices for oil and natural gas; liabilities inherent in oil and natural gas operations; uncertainties associated with estimating oil and natural gas reserves; competition for, among other things, capital, acquisitions, of reserves, undeveloped lands and skilled personnel; incorrect assessments of the value of acquisitions; changes in income tax laws or changes in tax laws and incentive programs relating to the oil and gas industry ; geological, technical, drilling and processing problems and other difficulties in producing petroleum reserves; and obtaining required approvals of regulatory authorities. The Company's actual results, performance or achievement could differ materially from those expressed in, or implied by, such forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur or, if any of them do, what benefits that the Company will derive from them. These statements are subject to certain risks and uncertainties and may be based on assumptions that could cause actual results to differ materially from those anticipated or implied in the forward-looking statements. The Company's forward-looking statements are expressly qualified in their entirety by this cautionary statement. Except as required by law, the Company undertakes no obligation to publicly update or revise any forward-looking statements.FOR FURTHER INFORMATION PLEASE CONTACT: Barry OlsonORLEANS ENERGY LTD.President & CEO(403) 215-2941bolson@orleansenergy.comORDean BernhardORLEANS ENERGY LTD.Vice President, Finance & CFO(403) 215-2945dbernhard@orleansenergy.comwww.orleansenergy.com