Petrel Resources Regulatory News (PET)

20 Feb 2008 12:18

Petrel Resources PLC20 February 2008 Petrel Resources plc ("Petrel" or "the Company") Renewed Agreements with Iraqi Government O Iraqi Government approved extension to Petrel's current agreementsO Steady progress on Subba & Luhais EPC projectO Registration completed for exploration and development contracts Petrel is pleased to report that the Iraqi Ministry of Oil has today approvedextension of the technical cooperation agreement with Petrel for another year.The Company expects to meet shortly with the relevant Ministry officials toformalise arrangements. It is expected that Petrel will embark on a new oil &gas field study as part of this programme. Petrel, as Contractor to the Ministry, is also driving forward the existingSubba & Luhais EPC (Engineering, Procurement & Supervision of Construction)project. Surveys have been conducted and major equipment delivered to sitewithout security incidents. Petrel's experience proves that it is possible towork without insuperable difficulties in southern Iraq. Petrel has also recently registered as a company interested in future Iraqiexploration and field development contracts. Petrel expects to be invitedshortly to discuss Western Desert Block 6, which Petrel has studied since 2000.The Company believes that negotiations are likely to be conducted under theexisting hydrocarbon laws. David Horgan, Managing Director of Petrel commented: "We are very pleased to have begun the process which will see us move frommanaging technical studies and EPC projects to becoming a fully fledgedexploration and production operation. Our long standing experience in Iraq will give us vital first mover andtechnical advantage over competitors. We remain entirely committed to ourSouthern Iraq development strategy and to working with the Iraqi Oil Ministry tohelp monetise the potentially vast resources available to risk aware investors". Enquiries: Petrel ResourcesDavid Horgan, Managing Director + 353 87 292 3500John Teeling, Chairman + 353 1 833 2833 College HillPaddy Blewer +44 (0)20 7457 2020Nick Elwes Blue Oar Securities PlcJohn Wakefield +44 (0) 1179 330020Simon Moynagh www.petrelresources.com This information is provided by RNS The company news service from the London Stock Exchange