SOURCE: Longreach Oil & Gas Limited

December 16, 2010 12:16 ET

Longreach Oil and Gas Limited Issue of Options to Management and Directors

JERSEY, CHANNEL ISLANDS--(Marketwire - December 16, 2010) - LONGREACH OIL AND GAS LIMITED (TSX-V: LOI), an oil & gas company focused on North Africa, announces that, subject to Shareholder approval at the next AGM, the Board has approved the issue of 625,000 options to Management and Directors at an exercise price of $1.20, representing a discount of approximately 16% to the $1.40 per share closing price of the shares on the TSX Venture Exchange on December 10, 2010. This issue of options is approximately 4.5% of undiluted share capital of Longreach.

About Longreach

Longreach holds varying interests in 4 exploration licenses in southern onshore and offshore Morocco, totalling approximately 11.8 million acres of exploration acreage, accounting for approximately 15% of the country's total license area. 

Longreach's Zag license is located in the Zag-Tindouf Basin Complex in southern Morocco, and is on trend with what are believed to be significant gas discoveries in Algeria. 

The Company holds a 30% interest in the Zag license. The Tarfaya license represents the Company's nearest term development opportunity. Multiple prospective structures have been identified based on current 2D seismic and a further seismic programme is planned for Q4 this year.The Company holds a 10% interest in each of the offshore Sidi Moussa and Foum Draa licenses. Multiple prospects have been identified on each license, nine of which have resource potential greater than 50 million barrels. Seismic reprocessing is currently underway. 

Additional information on Longreach Oil and Gas Limited can be found at www.sedar.com.

Or Longreach's investor relations agent:

Pelham Bell Pottinger
Mark Antelme / Philip Dennis
+44 207 861 3232

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • For Further Information:
    Longreach
    Bryan Benitz
    Chairman & CEO
    +44 20 3137 7756