Harken Increases Domestic Assets With
Acquisition of Xplor Energy, Inc.
HOUSTON, Aug. 23 /PRNewswire/ -- Harken Energy Corporation (Amex: HEC - news)
announced today that it has acquired Xplor Energy, Inc. of The Woodlands, Texas under a
merger agreement which has been approved by the Xplor shareholders. Xplor owns oil and gas
properties primarily along the Texas and Louisiana Gulf Coasts. The properties are primarily
natural gas and have an estimated 42 BCFE of proved reserves, with a significant amount of
additional exploratory acreage.
Under the terms of the acquisition, Harken has issued 7,500,000 shares of Harken common stock
and issued 2,336,066 warrants for the purchase of Harken common stock at $2.50 per share in
exchange for all of the outstanding shares of Xplor. After closing, Xplor will continue to be
obligated under its present banking facility of approximately $14.2 million.
Harken's Chairman, Mikel D. Faulkner, stated, ''The acquisition of Xplor is another important
step in continuing to build a strong domestic base of cash flow while expanding our international
exploration efforts. Beacon Group LLC and Trust Company of the West, both long-term energy
investors, will hold the stock issued in this transaction. Their involvement represents a strategic
alliance with two of the energy industry's premier financial groups.''
Harken Energy Corporation (''Harken'') explores for, develops and produces oil and gas
reserves domestically and internationally. Certain statements in this news release regarding
future expectations and plans for international oil and gas exploration and development may be
regarded as ''forward looking statements'' within the meaning of the Securities Litigation Reform
Act. They are subject to various risks, such as the inherent uncertainties in interpreting
engineering data related to underground accumulations of oil and gas, timing and capital
availability, discussed in detail in the Company's SEC filings, including the Annual Report on
Form 10-K for the year ended December 31, 1998. Actual results may vary materially.
SOURCE: Harken Energy Corporation
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