VANCOUVER, May 12 /PRNewswire-FirstCall/ - Lion Energy Corp.
(the "Company" or "Lion Energy") (TSX.V - LEO) is pleased to
announce that drilling of the Kenya Block 9 Bogal 1-1 well reached
a total depth of 5,085 metres. Gas shows and petrophysical analysis
of wireline logs indicate multiple gas pay zones totaling
approximately 91 metres in Lower Cretaceous sandstones. Seven inch
casing has been set and testing equipment is currently being
mobilized from China. Test results
are expected to be available over the next 60 days.
Company President and CEO John
Nelson concurs with comments recently made by the President
of its partner Africa Oil Corp. ("AOC") that "our first well in
Africa appears to be a potential
gas discovery. The size and commerciality has yet to be determined
by testing, however the initial analysis highlights the excellent
prospectivity of the block. Following and test results, the joint
venture partners will meet to discuss the plan for potential Bogal
appraisal work in addition to exploring marketing scenarios to best
commercialize gas in East
Africa."
Lion Energy is also pleased to announce that a letter of intent
has been signed by AOC to award a contract with the Bureau of
Geophysical Prospecting (BGP) to acquire 1,350 km of seismic on the
Block 10BB and Block 10A projects in Kenya. Drilling in these blocks is expected to
take place in 2011.
Lion Energy holds rights to acquire net working interests in the
Block 9 (10%), 10BB (20%) and 10A (25%) projects.
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 signed an agreement
with Africa Oil Corp. that grants the Company the right to earn an
interest in five petroleum blocks located in the Republic of
Kenya and in Puntland,
Somalia. The Company further holds
a 27.6% interest in Encanto Potash Corp., a junior potash
exploration company and a 20% interest in 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 Nelson"President and
CEO
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.
SOURCE Lion Energy Corp.