Sale of Gabon Interests

2 Mar 2005 07:04

Hardman Resources Limited02 March 2005 STOCK EXCHANGE / MEDIA RELEASE RELEASE DATE: 2 March 2005 CONTACT: Scott Spencer TELEPHONE: Within Australia: 08 9261 7600International: +61 8 9261 7600 RE: SALE OF GABON INTERESTS PAGES: 1 Hardman Resources Ltd ("Hardman" or "the Company") has entered into an agreementwith Ascent Resources plc ("Ascent") to sell two wholly-owned subsidiaries,Gabon Investments (Iris Marin) Pty Ltd and Gabon Investments (Themis Marin) PtyLtd. These companies hold a 12.86% participating interest in the Iris MarinProduction Sharing Contract ("PSC") and in the Themis Marin Production SharingContract respectively. The Iris Marin and Themis Marin PSCs cover two shallow water explorationconcessions offshore Gabon of 902 km2 and 607 km2 respectively. The other partners in both PSCs are: Fusion Oil & Gas 20.57%Premier Oil 18.00%Petroleum Oil & Gas Corp of South Africa 22.86%Sunburnt Downs Pastoral Company 25.71% Initial consideration for the acquisition will be the issue of 12 million newordinary shares of Ascent to Hardman. Following completion, Ascent shallreimburse Hardman for US$515,765 of past costs. Further payments will be made toHardman of A$500,000 in the event of successful recovery of hydrocarbons ontesting from a well in either of the PSCs, and A$700,000 on issue ofgovernmental approval for production from either of the PSCs. Since entering into the PSCs in November 1999 Hardman has carried outcomprehensive technical work on the two contract areas, including mapping andinterpretation of new 2D and 3D seismic acquired by the joint venture. Inreviewing its exploration portfolio the Company has now concluded that itsinterests in the Gabon projects are less substantial than other project areas.Accordingly the Company has decided to rationalise its portfolio by sellingthese interests to Ascent, thereby freeing up resources which can be applied tohigher-priority projects. SCOTT SPENCEREXECUTIVE DIRECTOR This information is provided by RNS The company news service from the London Stock Exchange