TransAtlantic Petroleum Corp.

TransAtlantic Petroleum Corp.

December 01, 2008 18:13 ET

TransAtlantic Petroleum Corp. Announces Lodging of Bidder's Statement for Incremental Petroleum

CALGARY, ALBERTA--(Marketwire - Dec. 1, 2008) - TransAtlantic Petroleum Corp. (TSX:TNP) announced today that its wholly-owned subsidiary, TransAtlantic Australia Pty. Ltd. ("TransAtlantic Australia"), has lodged with the Australian Securities & Investments Commission a bidder's statement (the "Bidder's Statement") in connection with an all cash takeover offer (the "Offer") for all of the shares in Incremental Petroleum Limited ("Incremental"). The Company believes that Incremental's operations and properties would be highly complementary if combined with TransAtlantic.

Subject to the conditions contained in the Bidder's Statement, TransAtlantic Australia will offer $1.05 Australian dollars in cash for each Incremental share. This represents a premium of 12.9% to the Incremental share closing price of $0.93 Australian dollars on October 24, 2008, the trading day immediately prior to the Company's announcement of its intention to acquire the Incremental shares. The Offer will be conditional on TransAtlantic Australia obtaining a relevant interest in at least 75% of the Incremental shares, and on a number of other conditions. There are 79,735,605 Incremental shares currently outstanding.

The Company has entered into a credit agreement with Dalea Partners, LP ("Dalea"), an entity controlled by the Company's Chairman, N. Malone Mitchell 3rd, for the financing of the Offer. Under this arrangement, Dalea will advance to the Company funds up to an amount which will be sufficient to enable TransAtlantic Australia to acquire all of the Incremental shares under the Offer, plus pay TransAtlantic Australia's transaction costs. The Dalea credit agreement is for a term of one year and will bear interest at a rate of 10% per annum.

TransAtlantic Petroleum Corp. is engaged in the exploration and development of crude oil and natural gas properties in Morocco, Turkey and Romania. Common shares of the Company are listed on the Toronto Stock Exchange under the symbol "TNP."

This news release contains statements concerning plans to raise capital and plans to acquire shares in a company, as well as other expectations, plans, goals, objectives, assumptions, information or statements about future events, conditions, results of operations or performance that may constitute forward-looking statements or information under applicable securities legislation. Such forward-looking statements or information are based on a number of assumptions which may prove to be incorrect. In addition to other assumptions identified in this news release, assumptions have been made regarding, among other things, oil and gas prices remaining relatively consistent with their current prices, access to the fields, availability of drilling rigs and other equipment, obtaining drilling success consistent with expectations, stock exchange, shareholder and regulatory approvals being obtained and estimated timelines being met and the actual costs being consistent with estimated costs.

Although the Company believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by the Company and described in the forward-looking statements or information. These risks and uncertainties include but are not limited to the political stability of the countries in which the Company operates, reliance on those countries' current hydrocarbon and tax laws and regulations, operating hazards, drilling risks, inherent uncertainties in interpreting engineering and geological data, competition, reduced availability of drilling and other well services, volatility of oil and gas prices, fluctuations in currency and interest rates, the Company's ability to access external sources of debt and equity capital, imprecision in estimating the timing and costs of drilling and development, the Company's ability to secure adequate product transportation, changes in environmental and other regulations or the interpretation of such regulations, the ability to obtain necessary stock exchange, shareholder and regulatory approvals, satisfaction of closing conditions, weather and general economic and business conditions.

The forward-looking statements or information contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.


Contact Information

  • TransAtlantic Petroleum Corp.
    Scott C. Larsen
    (214) 220-4323