Pensana Plc Regulatory News (PRE)

20 Jun 2007 07:02

Pan Andean Resources PLC20 June 2007 Pan Andean Resources plc Strategic entry into Colombia • Pan Andean opens representative office in Bogota, Colombia • Partnership with AGN E&P Consultants to focus on exploration and production opportunities within the region • Strong local management team led by Jose Luis Acevedo (Ex PDVSA and Avante) Pan Andean Resources PLC ("Pan Andean" or "the Company") the AIM listed oil andgas producer (AIM:PRE) is very pleased to announce that it has opened a newstrategic avenue, commencing operations in Bogota, Columbia. The branch willfocus on exploration and production opportunities in Colombia, in addition toneighboring countries in which the company does not currently have a presence. The Branch will be managed by Mr. Jose Luis Acevedo, who has more than 16 yearsof experience in the South American oil and gas sector. Prior to joining thegroup, Mr. Acevedo was the General Manager of Avante Colombia coordinatingoperations in association with the National oil company (Ecopetrol). Hepreviously worked for Metapetroleum in Colombia as operations manager and forPetrobell in Ecuador in a similar capacity. Mr. Acevedo worked for 12 years inPDVSA (Venezuelan national oil company) in various technical roles in reservoirengineering, drilling engineering and project evaluation. He has a degree inCivil Engineering from Rafael Urdaneta University and a Magister in PetroleumEngineering from Universidad Maria Baralt/CIED PDVSA. To further aid the Company's progress towards identifying value enhancingprojects Pan Andean has partnered with AGN Exploration Petroleum Consultants, ahighly respected Colombian firm that provides integrated E&P consulting serviceswith over 30 years of local E&P experience. AGN and Pan Andean will worktogether to evaluate and develop exploration and production opportunities in theregion. The Board of Pan Andean believes that Colombia has an attractive environment forexploration and development. Over 9 bn barrel of oil and 21 Tcf of gas havebeen discovered in world class basins. The country produces more than half amillion barrels of oil per day, has an excellent oil and gas infrastructure andhas been a net oil exporter since the mid 1980's. Impressive annual economicgrowth for the past few years, combined with significant reforms, andimprovements in the security situation, now make the country one of the mostattractive exploration and development plays in the region. Foreign investmentis strong, particularly in natural resources, oil and gas legislation is modernand transparent, with royalties ranging from 5% to 25% depending on productionvolumes, and effective corporate income tax rate of around 35%. Managing Director, David Horgan, said: "After considerable study, we are delighted to have made this move intoColombia. Colombia is a proven world class hydrocarbons province, with excellentinfrastructure and a modern operating environment. Our highly experienced local team, led by Jose with the assistance AGN, iscurrently evaluating a number of potential projects, all of which could addconsiderable value to our portfolio. We look forward updating the market on ourprogress in due course" Contacts: David Horgan, Managing Director + 353 87 292 3500John Teeling, Chairman + 353 1 8332833 College HillPaddy Blewer + 44 (0)20 7457 2074Nick Elwes Blue Oar SecuritiesJohn Wakefield + 44 (0) 117 9330020 Notes to editors Pan Andean was founded in 1988 as an oil & gas exploration and production ("E&P") company with a focus in South America. The group has assets in Bolivia,and Peru and important working interests and minority holdings in the UnitedStates in the Gulf of Mexico (offshore) and Texas (onshore). Profitable, cashgenerative and debt free, Pan Andean's strategy is to identify and access uniqueopportunities in frontier and established basins with transforming commercialpotential. Directors: John Teeling, Chairman, David Horgan, Managing, Guy Delbes (FR), Stefano Borghi (ITL), Jim Finn, Company Secretary Registered Office: 162 Clontarf Road, Dublin 3, Ireland This information is provided by RNS The company news service from the London Stock Exchange