Invicta Oil & Gas Ltd.
TSX VENTURE : IGG

Invicta Oil & Gas Ltd.

October 11, 2007 21:22 ET

Invicta Executes Memorandum of Understanding With InterOil Corporation

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 11, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES

Invicta Oil & Gas Ltd. (the" Company") (TSX VENTURE:IGG) announced that it has signed a memorandum of understanding (the "MOU") with InterOil Corporation ("InterOil") with regards to three adjacent Petroleum Prospecting Licenses ("PPL") in Papua New Guinea, two of which are held indirectly by Cheetah Oil and Gas Ltd. (the "Invicta Properties") and one of which is held by InterOil (the "InterOil Properties"). As previously announced by the Company, the Company has entered into various agreements under which the Company has the right to purchase 90% of the shares of Cheetah, thereby acquiring a 90% indirect interest in the Invicta Properties.

Under the terms of the MOU, the Company and InterOil propose to enter into agreements to share data in respect of Invicta Properties and the InterOil Properties (collectively, the "Properties"), to undertake a joint exploration and development program in respect of up to four wells on the Properties (two on the Invicta Properties and two on the InterOil Properties), and for offtake arrangements for the supply of natural gas from the Invicta Properties to InterOil's planned LNG facilities in Papua New Guinea should natural gas be discovered on the Invicta Properties.

The MOU is subject to a number of conditions, including but not limited to the execution of definitive agreements contemplated by the MOU and Invicta's completion of the acquisition of its interest in Cheetah Oil and Gas Ltd. (which acquisition requires the approval of the TSX Venture Exchange). The MOU expires on December 31, 2007 unless it has been replaced by formal agreements or has been extended by the consent of the parties. There can be no assurance that these conditions will be fulfilled.

This news release may contain forward-looking statements based on assumptions and judgments of management of Invicta regarding future events or results. Such statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward looking statements. Invicta disclaims any intention or obligation to revise or update such statements except as may be required by law.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States or to U.S. persons absent registration or an exemption from registration.

Shares Outstanding: 53,552,125

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Invicta Oil & Gas Ltd.
    Paul Larkin
    President
    (604) 687-7767
    (604) 688-9895 (FAX)
    or
    Invicta Oil & Gas Ltd.
    Arlen Hansen
    Investor relations
    1-866-568-9528
    Email: info@newdawngroup.com