Urals Energy Plc Regulatory News (UEN)

12 Mar 2007 07:02

Urals Energy Public Company Limited12 March 2007 FOR IMMEDIATE RELEASE: Urals Energy Public Company Limited Closing of US$ 130 Million Dulisma Debt Financing Urals Energy ("Urals Energy") (LSE: UEN), a leading independent oil and gasexploration and production company with operations in Russia, today announcesthat it has received US $80 million, representing the final tranche of its US$130 million project development loan for its subsidiary OOO Dulisma. As previously announced, the $130 million financing proceeds will be used toreimburse Urals Energy for development costs incurred at the Dulisminskoye Fieldin East Siberia since the Field's acquisition in June 2006, the defeasance ofcash interest payments for the first two years of the financing facility, andthe remainder for future capital and operating costs to develop theDulisminskoye Field to its projected peak production level of 30,000 BOPD by2011. The completion of this financing enables Urals Energy to proceed with thedevelopment of the Dulisminskoye Field and its connection to Transneft's EastSiberia Pacific Ocean Pipeline (the "ESPO"). Transneft recently announced thatit has completed the construction of approximately 700 kms of the ESPO whichwill transit within approximately 70 km of the Dulisminskoye Field. The financing was arranged by Goldman Sachs and funded by Standard Bank. William R Thomas, CEO, commented: "Receipt of the full funding of the US$130 million is a strong sign of supportfrom the capital markets and we are now focused on developing this importantasset." 12 March 2007 Pelham PRJames Henderson 020 7743 6673Gavin Davis 020 7743 6677 This information is provided by RNS The company news service from the London Stock Exchange