Lion
Energy Corp. (the "Company" or "Lion Energy")
(TSX.V - LEO) is pleased to announce that it has entered the First Additional
Exploration Phase under the Block 9 Production Sharing Contract Agreement
("PSC") along with Joint Venture partner Africa
Oil Corp. As a result of the withdrawal of the two previous partners, Africa Oil Corp will now hold a 66.7% working
interest in the PSC, while Lion Energy will hold the remaining 33.3%.
Government approval has been received. This additional period commenced
on December 31, 2010
and expires on December 31, 2013. The only
work commitment obligation during this period is the drilling of one
exploration well to a minimum depth of at least 1500 meters.
The
northeastern portion of Block 9 contains the Kaisut
Basin, which is an extension of the Anza Basin oil play currently being
pursued by Africa Oil and its joint
venture partners in Block 10A. Several large leads have been identified in
this area of Block 9 on existing 2D seismic data. A 500 - 700 kilometer
survey is planned for later this year to upgrade these leads into drillable
prospects.
About
the Company: Lion Energy Corp. is a well-financed, Canadian
exploration company with a vision to develop a significant presence in the
developing oil and gas industry. The Company holds oil and gas interests in
four petroleum blocks located in the Republic of Kenya
and in Puntland, Somalia.
The Company further holds interests in both Encanto Potash Corp., a junior potash exploration
company and Sulphur Solutions Inc., an emerging
fertilizer company developing state-of-the-art patented technology for the
production of micronized sulphur fertilizer.
On
behalf of the Board,
LION
ENERGY CORP.
John R. Nelson
President and Chief Executive Officer
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 NEWS
RELEASE
This
release includes certain statements that may be deemed "forward-looking
statements". All statements in this release, other than statements
of historical facts, that address exploration drilling, exploration
activities and events or developments that the Company expects to occur, are
forward-looking statements. Forward-looking statements in this news
release include statements regarding the Company's intentions or plans,
whether of a corporate or exploratory nature. Although the Company believes
the expectations expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from
those forward-looking statements. Factors that could cause actual results to
differ materially from those in forward-looking statements include market
prices, exploration and exploration successes, and continued availability of
capital and financing and general economic, political, market or business
conditions. These statements are based on a number of assumptions, including,
among others, assumptions regarding general business and economic conditions,
the timing and receipt of regulatory and governmental approvals for the
transactions described herein, the ability of the Company and other parties
to satisfy stock exchange and other regulatory requirements in a timely
manner, the availability of financing for the Company's proposed transactions
and programs on reasonable terms, and the ability of third-party service
providers to deliver services in a timely manner. Investors are
cautioned that any such statements are not guarantees of future performance
and actual results or developments may differ materially from those projected
on the forward-looking statements. The Company does not assume any
obligation to update or revise its forward-looking statements, whether as a
result of new information, future events or otherwise, except as required by
applicable law or regulatory policies.