SKANA Capital Corp.
TSX VENTURE : SKN

January 31, 2011 09:30 ET

SKANA Capital and MENA Hydrocarbons Announce Appointment of Mr. Graham Lyon as President and Chief Executive Officer of MENA

CALGARY, ALBERTA--(Marketwire - Jan. 31, 2011) -

NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

SKANA Capital Corp. ("SKANA") (TSX VENTURE:SKN) and MENA Hydrocarbons Inc. ("MENA") are pleased to announce that Mr. Graham Lyon has been appointed as the President and Chief Executive Officer of MENA as it continues to build out its strategy and focus in the Middle East and North Africa region.

Mr. Lyon is a senior energy executive with over 30 years experience encompassing global technical, operational and commercial leadership roles. Mr. Lyon graduated from Imperial College, University of London with a Bachelor of Science degree (Eng) Honours in Petroleum Engineering with post grad education from the Ivy School of Business (Canada), SMU Cox school of Business (US) and INSEAD (Europe) in energy related leadership, business administration and M&A disciplines.

Mr. Lyon worked with Petro-Canada as an officer and director and through its predecessor companies for 25 years. He held various senior positions, including Vice President Business Development, International and Offshore, Regional Manager for the Middle East and Caspian, Head of Business Development and Production Manager for Egypt. As Vice President of Business Development for Petro-Canada's International and Offshore Business unit, he was also responsible for the strategic planning and economical development of this largest business unit.

A petroleum engineer by qualification, Mr. Lyon began his career with Chevron and Shell. He then headed the Petroleum Engineering group of Deminex UK Oil & Gas Ltd. ("Deminex"), the German international oil company with offices and business in the UK producing over 50,000 boepd during his tenure. In 1989, Mr. Lyon began his international career as Manager of Drilling and Production in Germany leading Deminex's technical affairs in over 15 countries. Significantly, this included the 100,000 boepd oil producing assets in the Gulf of Suez, Egypt and the Al Furat assets in Syria which culminated in over 20 discoveries and production in excess of 500,000 boepd.

Mr Lyon lived in Egypt from 1992 to 1997 and was a senior leader in SUCO, (Suez Oil Company) the joint venture between Deminex and the Egyptian General Petroleum Corporation. He then became production manager of Deminex in Egypt where he oversaw corporate capital budgets, production and plans. He grew the existing Egyptian oil portfolio and assisted in establishing the new Nile Delta gas business. In 1997, he returned to the UK and was integral in the development of the corporate strategy which ultimately led to the sale of the whole upstream business to Petro-Canada for around $2 billion in 2002.

Commencing 2002, Mr. Lyon created and led the Petro-Canada international growth team undertaking further rationalization of minor assets in the international portfolio, but more significantly in acquiring material new assets such as in the UK (Buzzard – 1.0 billion barrels) and in Syria, ( Elba Gas - 500 bcf). New country exploration entries were achieved into Norway (where the company made multiple discoveries), Morocco, Trinidad and Tobago (with a 1.0 TCF of natural gas discovery). Regeneration contracts were achieved such as with the contract renegotiations and extension in Libya an asset set consisting of 100,000 boepd with significant upside and the Hebron field development in Newfoundland, Canada. New venture projects were undertaken in all North African countries and many in the Middle Eastern countries; Kuwait with Project Kuwait and Qatar, with a LNG and GTL projects. Mr. Lyon has developed significant relationships in the MENA region and has strong relationships with several regional NOC'S and sovereign wealth funds.

Mr. Lyon was a past director of the Society of Petroleum Engineers. He has also worked closely with the UK Government on various joint industry/government working groups established to enhance the industry's performance in that region. He was also a member of the Environmental Protection Committee in Egypt, the Energy Chair for the Canadian - Eurasian Russia Business Association and a member of the Canadian Arab Council.

Mr Lyon is a member of the Energy Institute, the Society of Petroleum Engineers, the Petroleum Exploration Society of Great Britain and the American institute of Petroleum Negotiators. Mr Lyon was awarded the Egyptian recognition for environmental protection and the Russian award for contribution to business in St Petersburg.

Mr. Lyon stated: "I am pleased to bring my skill set, knowledge and energy to MENA and look forward to once again leading a team of experienced professionals that will deliver the future growth and establishment of a Canadian force in the region."

Mr. Abby Badwi, Chairman of MENA stated: "We are very pleased to have Graham join our company. His experience in the Middle East and North Africa region is exactly what we were looking for. His previous achievements and knowledge will be very valuable and will help in pursuing MENA's strategy to source and acquire a portfolio of oil and gas assets that will complement our existing properties in Egypt and Syria."

Cautionary Statement

For more information regarding the Transaction, see the joint press release of Skana and MENA dated December 17, 2010 and filed on the SEDAR profile of SKANA. Readers are cautioned that the Transaction disclosed in the December 17, 2010 press release cannot close until the requisite shareholder approval is obtained. There can be no assurance that the Transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the joint management information circular to be prepared in connection with the Transaction, any information released or received with respect to the Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of SKANA should be considered highly speculative.

Forward Looking Statements

This document contains forward-looking statements. The forward-looking statements are based on certain key expectations and assumptions made by SKANA or by MENA, as applicable, including expectations and assumptions concerning the timing of receipt of required shareholder and regulatory approvals and third party consents and the satisfaction of other conditions to the completion of the reverse take-over.

Although SKANA and MENA, as applicable, believe that the expectations and assumptions on which the forward-looking statements made by such party are based are reasonable, undue reliance should not be placed on the forward-looking statements because no assurance can be provided that they will prove to be correct. Since forward-looking statements 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, risks that required shareholder, regulatory and third party approvals and consents are not obtained on terms satisfactory to the parties within the timelines provided for in the definitive agreement, or at all, and risks that other conditions to the completion of the reverse take-over are not satisfied.

The forward-looking statements contained in this press release are made as of the date hereof and neither SKANA nor MENA undertake an 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.

Note: Boe means barrel of oil equivalent on the basis of 1 boe to 6,000 cubic feet of natural gas. Boe's may be misleading, particularly if used in isolation. A boe conversion ratio of 1 boe for 6,000 cubic feet of natural gas is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

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 release.

Contact Information

  • SKANA Capital Corp.
    Greg Clarkes
    Chairman
    (604) 669-4899
    or
    MENA Hydrocarbons Inc.
    Sam Charanek
    Director
    (403) 618-8115