Transaction by Subsidiary

18 Aug 2005 07:00

Westmount Energy Limited18 August 2005 Announcement of transaction by subsidiary The Board of Westmount Energy Limited ("the Company" with its subsidiary "theGroup") announces the following transaction: The Company's wholly owned subsidiary, Westmount Petroleum UK Limited, hasconcluded an agreement with the payors of the overriding royalty relating to itsinterest in Licence P241 North Sea. Future payment of royalty beyond the end ofthe first quarter of 2005, based on oil won and saved from the Licence area forthe overriding royalty was terminated by the payors making an immediate paymentin full settlement of any future royalty payable. After taking into account the costs incurred in completing the transaction andallowing for corporation tax payable in due course, the net return to the Groupto be taken to profits in the current financial year ending 30 June 2006 amountsto approximately £1.2 million. Westmount Energy Limited Tel: 01534 814209Derek G. Williams, Chairman Oriel Securities Limited Tel: 020 7710 7600Andrew EdwardsScott Richardson Brown This information is provided by RNS The company news service from the London Stock Exchange