Oyster Oil and Gas Ltd.

Oyster Oil and Gas Ltd.

October 24, 2013 09:30 ET

Oyster Oil and Gas Ltd. Closes Acquisition of an Oil and Gas Property in Madagascar

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 24, 2013) - Further to the news release dated September 6, 2013, Oyster Oil and Gas Ltd. (TSX VENTURE:OY) ("Oyster" or the "Company") is pleased to announce it has closed the transaction with Candax Energy Inc. ("Candax") to acquire a 10% working interest in Block 1101 located onshore Madagascar (the "Transaction").

Michael Wood, President & CEO, commented: "Oyster is very excited to complete the purchase of the Madagascar acquisition and we look forward to working with both Afren plc and the Government of Madagascar as we develop this world class potential exploration play."

Background information on Block 1101, Onshore Madagascar & Afren plc.:

Block 1101 is located onshore in the north western part of Madagascar and the PSC covers an area of some 15,000km² (3.7 million acres). Since 2006 airborne gravity and magnetic surveys and some 430km 2D seismic have been acquired as well as extensive geological field work and mapping undertaken. A number of substantial prospects and leads have been identified mainly in the potential Triassic and Jurassic sandstone reservoir formations.

Afren plc. is listed on the London stock markets and is a highly successful E&P company with a strong African focus; the current market capitalization of Afren is approximately $2.5 Billion. Afren holds a 90% Working Interest in Block 1101.

About Oyster Oil and Gas Ltd.

Oyster is an oil and gas exploration company with a focus on eastern Africa. Oyster holds a production sharing contract with the Government of Djibouti with respect to four blocks comprising approximately 3.5 million acres onshore and offshore in the Republic of Djibouti; and has acquired a 10% working interest in an onshore block in Madagascar covering approximately 3.7 million acres.

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

This press release contains forward-looking information within the meaning of applicable securities laws, and such forward-looking information is based on the expectations, estimates and projections of the management of Oyster as of the date of this news release unless otherwise stated. The use of any of the words "expects", "anticipates", "continues", "estimates", "objective", "ongoing", "may", "will", "projects", "develop", "should", "believes", "plans", "intends", and similar expressions are intended to identify forward-looking information. More particularly and without limitation, this press release contains forward-looking information concerning future anticipated exploration activities conducted on the working interest in the Madagascar. Since forward-looking information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to the risks associated with the industries and countries in which Oyster operates in general, such as operational and exploration risks; delays or changes in plans with respect to growth projects or capital expenditures; delays in obtaining governmental approvals, permits or financing or political risks in the completion of exploration, development or construction activities; access to drilling rigs, completion equipment, seismic equipment and operational personnel; costs and expenses; political risks; title disputes; health, safety and environmental risks; commodity price, interest rate and exchange rate fluctuations; environmental risks; competition; ability to access sufficient capital from internal and external sources; and changes in legislation, including but not limited to tax laws and environmental regulations. The foregoing list of risk factors is not exhaustive. Additional information on other risk factors that could affect the operations or financial results of Oyster are included in reports on file with applicable securities regulatory authorities, and particularly the Company's most recent Management Discussion & Analysis, which may be accessed on Oyster's SEDAR profile at www.sedar.com.

Contact Information

  • Oyster Oil and Gas Ltd.
    Martin Bajic
    Chief Financial Officer
    (604) 628-5621
    (604) 662-7950 (FAX)