Pan Orient Energy Corp.

Pan Orient Energy Corp.

June 25, 2012 08:30 ET

Pan Orient Energy Corp.: $0.75 Per Share Special Distribution Planned

CALGARY, ALBERTA--(Marketwire - June 25, 2012) - Pan Orient Energy Corp. ("Pan Orient" or the "Corporation") (TSX VENTURE:POE) is pleased to announce that it plans to pay a $0.75 per share special distribution to shareholders, subject to shareholder and regulatory approval.

The distribution is intended to be a return of capital, which will require a capital reorganization approved by shareholders. Pan Orient anticipates that the required shareholder meeting will be held in late August. If approved by shareholders, the record date for the determination of shareholders entitled to receive the distribution would follow thereafter and the distribution paid in early September 2012. The distribution by return of capital is expected to be generally more tax advantageous to shareholders than a dividend.

The distribution would occur in the course of a reorganization of Pan Orient's business after the recently completed sale of a portion of its Thailand assets and be funded from the net proceeds of that sale. The remaining net proceeds, plus ongoing cash flow from Concession L53 in Thailand, are expected to be sufficient to fund the needs of Pan Orient's continuing business operations for the remainder of 2012 and through 2013. The Corporation plans to issue a press release within the next seven days that will contain an update on operations and details regarding Pan Orient's planned capital program through the remainder of 2012.

Pan Orient is a Calgary, Alberta based oil and gas exploration and production company with operations currently located onshore Thailand, Indonesia and in Western Canada.

This press release contains forward-looking information. Forward-looking information is generally identifiable by the terminology used, such as "plan", "intend", "expect", "believe", "estimate", "should", "anticipate" and "potential" or other similar wording. Forward-looking information in this press release includes, but is not limited to, payment, amount and structure of the special distribution, shareholder meeting date and required approval, record and payment dates, tax consequences, cash resources and anticipated expenditures and upcoming press releases. By its very nature, the forward-looking information contained in this press release requires Pan Orient and its management to make assumptions that may not materialize or that may not be accurate. In addition, the forward-looking information contained in this press release is subject to known and unknown risks and uncertainties and other factors, some of which are beyond the control of Pan Orient, which could cause actual results, expectations, achievements or performance to differ materially. Although Pan Orient believes that the expectations reflected in its forward-looking information are reasonable, it can give no assurances that those expectations will prove to be correct. Pan Orient undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

Neither 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 release.

Contact Information

  • Pan Orient Energy Corp.
    Jeff Chisholm
    President and CEO
    (403) 294-1770

    Pan Orient Energy Corp.
    Bill Ostlund
    Vice President Finance and CFO
    (403) 294-1770