Rodinia Oil Corp. releases third quarter 2011 financial and operating results

CALGARY, Nov. 29, 2011 /PRNewswire/ - (TSX-V: ROZ) - Rodinia Oil Corp. ("Rodinia") today released its financial and operating results for the third quarter of 2011. A copy of Rodinia's unaudited condensed consolidated financial statements and related management's discussion and analysis ("MD&A") can be accessed either at www.sedar.com or on Rodinia's website.

Third Quarter 2011 Highlights

• During the third quarter 2011, Rodinia remained focused on the completion of its first exploration well, "Mulyawara-1". Due to operational and mechanical issues, drilling was substantially slower than anticipated. On October 13, 2011, Rodinia announced that the well reached a total measured depth of 2,691.2 metres. As there was a washout in portions of the wellbore, a definitive petrophysical interpretation of the deeper Pindyin zone was not possible due to the poor quality of the wireline logs. The decision was made to plug and abandon the well.
• Shows in the Neoproterozoic Mundallio and Emeroo sandstones in Mulyawara-1 are encouraging as they demonstrate an active mature petroleum system capable of generating hydrocarbons.  As well, the existence of excellent reservoir quality rocks in the upper Neoproterozoic formations was proven, with the Ediacaran Age Murnaroo sandstone having an average log porosity of 18% (commonly up to 23%). Small gas peaks and traces of hydrocarbon fluorescence exhibiting blooming cut over discrete intervals were also encountered.
• Total capital expenditures for the three and nine months ended September 30, 2011 totaled $11.1 million and $35.0 million respectively as compared to the $0.2 million and $0.5 million incurred in the same periods in 2010. The majority of expenditures were incurred in South Australia associated with Rodinia's Phase III seismic acquisition and interpretation program and drilling preparation and drilling expenses.
• As at September 30, 2011, Rodinia had a working capital surplus of $17.7 million with no debt.

Subsequent Events

On October 13, 2011, Rodinia's Board of Directors adopted a Shareholder Rights Plan (the "Rights Plan") to ensure the fair treatment of shareholders in connection with any take-over offer for Rodinia, and to provide the Board of Directors and shareholders with additional time to fully consider any unsolicited take-over bid. On November 10, 2011, the Rights Plan was approved by shareholders at Rodinia's Annual and Special Meeting.

On November 2, 2011, Rodinia spudded its second wildcat exploration well, "Kutjara-1", located approximately 45 km southeast of Mulyawara-1.

About Rodinia Oil Corp. 

Rodinia is an international oil and gas exploration corporation.  The Common Shares and Warrants are listed for trading on the TSX Venture Exchange under the symbols "ROZ" and "ROZ.WT" respectively.  Rodinia is engaged in the exploration, acquisition and development of petroleum and natural gas assets in Australia's Officer Basin. Founded in 2006, Rodinia has access to large tracts of exploratory lands and is one of the first companies to undertake exploration in the Officer Basin. Rodinia has offices in Calgary, Alberta and Adelaide, South Australia.

Forward-Looking Statements

This press release may contain forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Rodinia, including, without limitation, statements pertaining to Rodinia's drilling plans and operations.  All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties.  There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information.  A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in Rodinia's disclosure documents on the SEDAR website at www.sedar.com.  Any forward-looking statements are made as of the date of this release and, other than as required by applicable securities laws, Rodinia does not assume any obligation to update or revise them to reflect new events or circumstances.

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.

SOURCE Rodinia Oil Corp.

WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?

440k+
Newsrooms &
Influencers

9k+
Digital Media
Outlets

270k+
Journalists
Opted In

GET STARTED