Global Energy Development PLC Engagement of financial advisor (5901Q)

TIDMGED

RNS Number : 5901Q

Global Energy Development PLC

08 November 2012

Immediate Release 8 November 2012

GLOBAL ENERGY DEVELOPMENT PLC

(the "Company")

ENGAGEMENT OF FINANCIAL ADVISOR

Global Energy Development PLC, the Latin America focused petroleum exploitation, development and production company (AIM: GED) with operations in Colombia announces that on 7 November 2012 it engaged Jefferies International Limited ("Jefferies") to act as the Company's exclusive financial advisor (the "Agreement") in connection with a possible farm-out, disposal or other business transaction or series of transactions involving all or a material portion of the Company's interest in the Bolivar Association Contract within the Middle Magdalena Valley in Colombia, South America.

Global has retained Jefferies for financial advisory services related to our Bolivar shale oil properties for the following reasons:

-- Interest has increased in shale oil generally throughout the entire international petroleum industry and specifically in the northern Middle Magdalena Valley Basin.

-- The adjacent or nearby activity by major oil companies including Exxon and Shell indicate the Bolivar properties are within the premier area of the Middle Magdalena Shale Oil play.

-- To accelerate production during the remaining term of Global's contract and to better exploit Bolivar's large reserve base, the Company has chosen to target a significant increase in drilling activity.

-- The targeted increase in drilling activity mandates the deployment of additional and substantial technical expertise and operating man power to effectively undertake the management of this massive shale oil development project.

The Company's reserves within the Bolivar Contract area are included in the Rosa Blanca, Salada and La Luna formations and can be developed by drilling vertical and horizontal wells along with multi stage hydraulic fracturing technology currently in use for developing shales containing oil in North America.

Steve Voss, Global's Managing Director, commented, "We are very excited to have a world class firm like Jefferies advising and assisting us with alternatives for our reserve-rich Bolivar Association Contract area. The Company is working on expanding the scope of authorizations under its current environmental license while simultaneously working with Jefferies towards the best alternative for development wells (including Olivo #2) of its Bolivar Contract area. The Company looks forward to working with the eventual partners selected to develop our exciting Middle Magdalena shale oil properties."

For further information please contact

Global Energy Development PLC

 
 Anna Williams, Finance Director    +001 817 310 0240 
  awilliams@globalenergyplc.com 
   www.globalenergyplc.com

Buchanan (Financial PR)

 
 Tim Thompson            +44 (0)20 7466 5000 
 Ben Romney 
 
 
 Northland Capital Partners Limited 
                                        +44 (0)20 7796 
  Louis Castro                           8800

Lauren Kettle

Westhouse Securities +44 (0) 20 7601 6100 Petre Norton

Andrew Matharu

This information is provided by RNS

The company news service from the London Stock Exchange

END

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