Niko Resources Ltd.

Niko Resources Ltd.

September 02, 2009 09:00 ET

Niko Resources Acquires Additional 10% Interest in Qara Dagh Production Sharing Contract

CALGARY, ALBERTA--(Marketwire - Sept. 2, 2009) - Niko Resources Ltd. (TSX:NKO) is pleased to announce that it has entered into an agreement with the Kurdistan Regional Government of Iraq (the "Government" or "KRG") to acquire an additional 10% net working interest in the Qara Dagh Production Sharing Contract (the "PSC"). As a result of the acquisition, Niko will hold an aggregate 37% net working interest in the PSC.

Niko has completed the acquisition and processing of the initial 2D seismic survey. Preliminary evaluation of the seismic data identifies a 60 km subsurface structure extending almost the entire length of the block. Analysis of the seismic data is underway and the first drilling location is being selected.

Of interest, the northwest corner of the Qara Dagh block is adjacent to the Heritage Oil Ltd. block on which Heritage recently announced the successful drilling and testing of the Miran West-1 well. On the southeast corner of the Qara Dagh block Western Zagros is currently drilling an exploration well.

September 2, 2009

Certain statements in this press release are forward-looking statements. Specifically, this press release contains forward-looking statements relating to management's approach to operations, estimates of future sales, production and deliveries, business plans for drilling and development, estimated amounts and timing of capital expenditures, anticipated operating costs, royalty rates, cash flows, transportation plans and capacity, anticipated access to infrastructure or other expectations, beliefs, plans, goals, objectives, assumptions and statements about future events or performance. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable by Niko at the time of preparation, may prove to be incorrect. Actual results achieved during the forecast period will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. Such factors include, but are not limited to: general economic, market and business conditions; industry capacity; competitive action by other companies; fluctuations in oil and gas prices; the results of exploration and development drilling and related activities; the uncertainty of estimates and projections relating to productions, costs and expenses; uncertainties as to the availability and cost of financing; fluctuations in currency exchange rates; the imprecision in reserve estimates; risks associated with oil and gas operations, such as operational risks in exploring for, developing and producing crude oil and natural gas; risks and uncertainties involving geology of oil and gas deposits; the weather in the Company's area of operations; the ability of suppliers to meet commitments; changes in environmental and other regulations; actions by governmental authorities including changes in laws and increases in taxes; decisions or approvals of administrative tribunals; risks in conducting foreign operations (for example, political and fiscal instability or the possibility of civil unrest or military action in countries such as India and Bangladesh); the effect of acts of, or actions against international terrorism; and other factors, many of which are beyond the control of Niko. There is no representation by Niko that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

Contact Information

  • Niko Resources Ltd.
    Edward S. Sampson
    Chairman of the Board, President & CEO
    (403) 262-1020
    Niko Resources Ltd.
    Murray Hesje
    VP Finance & CFO
    (403) 262-1020