G3 Exploration Regulatory News (G3E)

5 Dec 2007 12:35

Green Dragon Gas Ltd05 December 2007 5 December 2007 GREEN DRAGON GAS LTD. ("Green Dragon" or "the Company") COMPANY TO PURSUE HONG KONG LISTING and SELECTS UBS AS UNDERWRITER FOR OFFER Green Dragon Gas Ltd. (AIM: GDG), the Chinese coal bed methane ("CBM") business,today announces that its Board has decided to pursue a Hong Kong listing andfiled its listing application with the Hong Kong Exchange today. Subject to HongKong Stock Exchange's staff review and the approval of the Listing Committee ofthe Hong Kong Stock Exchange, the state of the equity market and the finaldecision of the Board and the shareholders, the Company is targeting a listingby the end of the first quarter of 2008. However, there is no assurance that theHong Kong listing will proceed as scheduled or at all. In accordance with the Hong Kong Exchange guidelines, shareholder loans made tothe Company by the Company's Chief Executive, Mr Randeep Grewal, amounting toapproximately US$20.8 million, were repaid in full shortly before this filing. The Remuneration Committee proposed and the Board approved and adopted a shareoption scheme for the Company's Directors, management and employees ("the ShareOption Scheme"). The options, which will vest over a five-year period, represent10% of the issued and outstanding shares of the Company with a fixed price of$6.50 per share. Mr. Randeep S. Grewal, Chairman and CEO, comments, "The Company is based in HongKong with exclusive business operations in China and thus this filing is alogical progressive step for the Company. We feel it is in the best interests ofthe Company and its shareholders to list locally and provide an equity platformto fuel the Company's continued aggressive growth plan. "The share options issued above the current market price to the core managementteam and the Directors reflects an alignment with the shareholders' interest.The Board, Management and the core employees have been the cornerstone of theCompany's exponential growth over the last year and this plan appropriatelyrewards the dedication and hard work." For further information on the Company and its activities, please refer to thewebsite at www.greendragongas.com or contact: Randeep GrewalChairman and Chief Executive, Green Dragon Gas Ltd.+852 3710 0168 Tim Thompson/ Nick Melson/ Susannah GaleBuchanan Communications+ 44 (0)20 7466 5000 Dr Azhic Basirov/ David JonesSmith & Williamson Corporate Finance Limited+44 (0)20 7131 4000 NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THEUNITED STATES This news release does not constitute an offer to sell or the solicitation ofan offer to buy any securities of the Company within the United States orelsewhere. The securities to be offered have not been and will not be registeredunder the U.S. Securities Act of 1993 and may not be offered or sold in theUnited States absent registration or an applicable exemption from theregistration requirements of such Act. This press release contains statementsconcerning the anticipated timeline of the proposed Hong Kong listing. Althoughthe Company believes that these forward-looking statements are reasonable, unduereliance should not be placed on them because the Company can give no assurancethat they will prove to be correct. The completion of the Hong Kong listingcould be delayed if the Company is not able to obtain the necessary regulatoryapprovals on the timeline it has planned. Furthermore, the forward-lookingstatements contained in this news release are made as at the date of this newsrelease and the Company does not undertake any obligation to update publicly orto revise any of the included forward-looking statements, whether as a result ofnew information, future events or otherwise, except as may be required byapplicable securities laws.THE HONG KONG STOCK EXCHANGE HAS NOT REVIEWED ANDDOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE. This information is provided by RNS The company news service from the London Stock Exchange