CGX Energy Announces Spud Date Extensions

(TSX-V | OYL)

TORONTO, June 19, 2015 /CNW/ - CGX Energy Inc. ("CGX Energy" or the "Company") received an extension yesterday to its work commitments on the Corentyne Block in offshore Guyana.    

Professor Suresh Narine, Co-Chairman of the Company, commented: "The Company deeply appreciates the co-operation of the Government of Guyana in granting the spud date extension to CGX Energy.  This will allow us the time to design and plan for the spudding of the next exploration well on the Corentyne Block as we are very encouraged by the recent discovery by ExxonMobil on the Stabroek Block located approximately 120 miles offshore Guyana and immediately adjacent to the Corentyne Block.  CGX Energy, being one of the longstanding operators in the basin, is delighted to affirm its continued commitment to Guyana and to exploration of the Guyana-Suriname Basin.  This is an exciting time for Guyana and the Guyanese people."

Dewi Jones, Chief Executive Officer of the Company, commented: "The extension on our work commitments allows the Company to technically weigh how best to proceed with our drilling campaign. We are currently investigating joint ventures to drill the next exploration well given the renewed interest in the Guyana-Suriname Basin.  However, in the event we are not successful in attracting a suitable joint venture partner, the Company will seek alternative financing structures in order to drill the next well and meet its work commitments in Guyana." 

The Company also announced today that it does not view the border claims from Venezuela to have a material impact on the Company's acreage offshore Guyana.

Professor Suresh Narine further added: "The Corentyne Block and the area where we expect to drill our next well is completely unencumbered and furthermore CGX Energy envisions no reason which will affect its exploration commitments in all its licenses in Guyana."

On June 18 2015, CGX Energy received approval to extend its spud date deadlines on the Corentyne Block.  The Government of Guyana granted approval of the extensions effective June 18, 2015 for the spud date on the first commitment well from October 31, 2015 to July 31, 2016 and an extension to the spud date deadline on the second commitment well from November 27, 2016 to November 27, 2017.  These extensions were granted to allow the Company to determine how best to explore the acreage given recent positive developments in the basin related to the discovery of hydrocarbons. The Corentyne Block is 100% owned by the Company.

About CGX Energy

CGX Energy is a Canadian-based oil and gas exploration company focused on the exploration of oil in the Guyana-Suriname Basin.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE

Forward-Looking Statements:
This news release contains forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur in the future. These forward-looking statements are based on certain key expectations and assumptions made by CGX Energy. CGX Energy believes the expectations and assumptions on which it develops forward-looking statements are reasonable; however, undue reliance should not be placed on forward-looking statements as there can be no assurance they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. In addition, other risks that may affect the forward-looking statements in this news release are outlined further in the Company's Annual Information Form dated April 29, 2015 filed on SEDAR at www.sedar.com.

The forward-looking statements contained in this news release are made as of the date hereof and CGX Energy undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

SOURCE CGX Energy Inc.

Related Links

http://www.cgxenergy.com