Referring to the press release posted on april 7, 2011 regarding a letter of
intent regarding a Russian oilcompany. Specialists from Petrogrand AB has during
April-May 2011 conducted due diligence of a Russian Oil company in the Orenburg
region. To increase the production of this company, consider our experts that
the seismic are not of satisfactory quality, and needs to be supplemented and
rearranged. This means significant delays of further geological, engineering and
production-related activities, which are necessary for the implementation of the
main requirements concerning the most important rights and obligations of the
license agreement.
The Board has noted that the current total capital requirements in the company
make that this investment does not reach Petrogrand's high profitability
requirements. As a result, Petrogrand will not to go forward in the process of
acquisition of that company.
NIZNEPANINSKY
After compilation of seismic data, completed during the winter/spring 2011
along with the revised seismic from 60/70 's, noted by Integra Geophysics, in
consultation with our geologists, the interpretation of the quantitatively large
material, will require more time than planned.
Because of that has Integra requested to postpone the report to the end of
August. Petrogrand believes that this is necessary, in order to ensure a high
quality and to determine the optimal locations for the planned exploration
drillings.
Petrogrands global business concept is to administer and refine Russian oil
resources as well as from the favorable occasions dispose earned assets and
licenses ".
For further information, please contact:
Maks Grinfeld, CEO, phone: +46 8 5000 7810
Sven-Erik Zachrisson, Chairman, phone: +46 8 41 05 45 96
Certified Adviser First North: Mangold Fondkommission AB
Reasonable caution notice: The statement and assumptions made in the company's
information regarding Petrogrand AB's ("Petrogrand") current plans, prognoses,
strategies, concepts and other statements that are not historical facts are
estimations or "forward looking statements" concerning Petrogrand's future
activities. Such future estimations comprise but are not limited to statements
that include words such as "may occur", "concerning", "plans", "expects",
"estimates", "believes", "evaluates", "prognosticates" or similar expressions.
Such expressions reflect the management of Petrogrand's expectations and
assumptions made on the basis of information available at that time.
These statements and assumptions are subject to a large number of risks and
uncertainties. These, in their turn, comprise but are not limited to i) changes
in the financial, legal and political environment of the countries in which
Petrogrand conducts business, ii) changes in the available geological
information concerning the company's projects in operation, iii) Petrogrand's
capacity to continuously guarantee sufficient financing to perform their
activities as a "going concern", iv) the success of all participants in the
group, or of the various interested companies, joint ventures or secondary
alliances, v) changes in currency exchange rates, in particular those relating
to the RUR/USD rate. Due to the background of the many risks and uncertainties
that exist for any oil-prospecting venture and oil production company in its
initial stage, Petrogrand's actual future development may significantly deviate
from that indicated in the company's informative statements.
[HUG#1523437]
