CALGARY, ALBERTA--(Marketwired - Oct 23, 2014) - MENA Hydrocarbons Inc. ("MENA" or the "Company") (TSX VENTURE:MNH) is pleased to announce that on October 22 it completed its previously announced transaction with SacOil Holdings Limited ("SacOil"). The transaction involved the sale of the Company's Lagia Project in consideration for US$14,100,000, paid as follows: (i) US$1,857,319 in cash, (ii) US$2,242,681 in assumption of liabilities by SacOil, and (iii) the issuance of 183,666,947 ordinary shares of SacOil (the "SacOil Shares") to MENA.
Magdy Bassaly, the Company's President and CEO, commented: "The Company has weathered many struggles in the past two years, and the management of MENA believes this transaction presents a very positive opportunity to advance MENA's Lagia Project as well as share in the future successes of SacOil. I would like to thank the MENA staff in Cairo for their efforts. I would also like to thank our counsel Davis LLP, Calgary and LC LAW Stylianou & Drakou LLC, Cyprus for all of their hard work to complete the transaction."
The Company intends to distribute a portion of the SacOil Shares to its shareholders as a special in specie dividend and has set a record date of October 28, 2014 for the distribution. Only shareholders of record as of the close of business on October 28, 2014 will be entitled to participate pro rata in the special dividend. The Company will announce the anticipated payment date and the amount of the special dividend upon completion of the shares for debt transactions currently underway.
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.
Certain information set out in this News Release constitutes forward-looking information, including, but not limited to, statements regarding the anticipated payment of the special dividend. Forward-looking statements (often, but not always, identified by the use of words such as "expect", "may", "could", "anticipate" or "will" and similar expressions) may describe expectations, opinions or guidance that are not statements of fact and which may be based upon information provided by third parties. Forward-looking statements are based upon the opinions, expectations and estimates of management of the Company as at the date the statements are made and are subject to a variety of known and unknown risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements. Those factors include, but are not limited to, the timing and amount of the anticipated dividend, the uncertainty of the value of the non-cash consideration anticipated to be received and the ability of the Company to satisfy its liabilities, uncertainties and other factors that are beyond the control of the Company, risks associated with the industry in general, commodity prices and exchange rate changes, operational risks associated with exploration, development and production operations, delays or changes in plans, risks associated with the uncertainty of reserve or resource estimates, health and safety risks and the uncertainty of estimates and projections of costs and expenses. In light of the risks and uncertainties associated with forward-looking statements, readers are cautioned not to place undue reliance upon forward-looking information. Although the Company believes that the expectations reflected in the forward-looking statements set out in this press release or incorporated herein by reference are reasonable, it can give no assurance that such expectations will prove to have been correct. The Company does not undertake to update any forward-looking statements except as required by law.