Centillion Industries Inc.

Centillion Industries Inc.

February 21, 2007 12:59 ET

Centillion Enters Into Assignment Agreement With Peninsula Merchant Syndications Corp. to Acquire an Interest in the Bankers Petroleum Ltd. Texas Palo Duro Oil and Gas Field

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 21, 2007) - Centillion Industries Inc. (NEX BOARD:CID.H) ("Centillion" or the "Company") announced today it has entered into an assignment agreement with Peninsula Merchant Syndications Corp.("Peninsula") ( the "Assignment Agreement") to take an assignment of Peninsula's rights and obligations under a letter agreement between Peninsula and Bankers Petroleum (US) Inc., a wholly owned subsidiary of Bankers Petroleum Ltd. (TSX- BNK)("Bankers")(the "Letter Agreement"). The particulars of the Letter Agreement are set out in the Bankers press release dated January 30, 2007 and relate to the purchase of 27% of Bankers' working interest in 375,000 net acres of prospective oil and gas properties in the Palo Duro basin, Texas. The Letter Agreement provides the total consideration to be paid for the acreage is US$19.5 million, of which a minimum of US$15.0 million is to be in cash, and Bankers will continue as operator for the properties.

The Assignment Agreement remains subject to: a) the consent of Bankers; b) the negotiation and execution of definitive agreements; c) shareholder approval; d) the completion of required financings; and e) the approval of all regulatory bodies including the Toronto Stock Exchange (the "TSX"). The shares of the Company will remain halted until certain requirements of the TSX, including a comprehensive news release, have been fully complied with.

Shares Outstanding: 25,049,202


Stephen Barley, President

This news release may contain forward-looking statements based on assumptions and judgments of management of the Company 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. The Company disclaims any intention or obligation to revise or update such statements except as may be required by law.

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

Contact Information

  • Centillion Industries Inc.
    Stephen Barley
    (604) 926-4300
    Email: sbarley@shaw.ca