CORP / Abacan Resource Corporation Announcement
TSE SYMBOL: ABC
NASDAQ SYMBOL: ABACF
MAY 20, 1998
HOUSTON, TEXAS--Abacan Resource Corporation, (TSE: "ABC":, NASDAQ:
"ABACF"), announces that its Nigerian indigenous partner on
Nigerian Concession Blocks 469/237, Amni International Petroleum
Development Company Limited ("Amni") has served a notice to
Liberty that purports to terminate the Joint Venture Agreements
between Amni and Liberty Technical Services Limited ("Liberty"), a
wholly owned subsidiary of the Corporation that is the owner of an
interest in the IMA Field located on Concession Blocks 469/237.
The Corporation has also learned that Amni has sent a letter to
certain service providers on Concession Blocks 469/237 advising of
this purported termination.
The agreements between Amni and Liberty do not permit unilateral
termination by Amni and Liberty has so advised Amni and denied
that a termination has occurred. It is uncertain what affect the
unilateral actions of Amni will have on the continued operations
of the IMA Field. Liberty has been in negotiation on several
fronts to restructure operations of the IMA Field in view of the
lower than expected production from the IMA Field, and the
depressed oil prices, and intends to continue with these
negotiations.
No other properties of the Corporation are affected by the actions
of Amni, and the Corporation continues to have good relations with
its other Nigerian partners.
Certain statements in the News Release constitute "forward looking
statements" within the meaning of the Private Securities
Litigations Reform Act of 1995. Such forward looking statements
involve risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Corporation to
be materially different from any future results, performance or
achievements expressed or implied by such forward looking
statements.
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