JOHANNESBURG, South Africa--(BUSINESS WIRE)--Centurion Gold Holdings, Inc. (OTCBB:CGHI)
/ Escopeta makes the following announcement. For the past 11 months
Centurion has been working diligently to acquire and explore certain oil
leases, covering some 130,000 acres, in Alaska. These leases were being
acquired from Escopeta Oil based in Houston.
The board of directors of Centurion decided that the best way to raise
the necessary capital for the acquisition and exploration would be to
list these leases separately on the AIM market of the London Stock
Exchange. For this purpose a new company, Arrik Energy, Inc. was
incorporated in Delaware.
Centurion and Arrik appointed Investec Bank as Nominated Advisor
and Broker, Deloitte and Touche LLP as Auditors and Reporting
Accountants, Ashursts Legal Advisors to the Company and
Gaffney, Cline & Associates, Inc Independent Competent Person.
The AIM Admission Document was prepared and accepted by the London Stock
Exchange and Arrik was approved for listing. Under extremely harsh
market conditions Investec Bank was able to get commitments for $15
million from various institutions. This was not sufficient for the
required exploration and the stated use of funds, in addition the terms
had become exceptionally dilutive to Centurion as the major shareholder.
As a result your directors decided to withdraw the offering and
admission to AIM.
The documentation prepared for the admission to AIM, including a
research report by Investec Bank and the Gaffney Cline Independent
report, give the project upside potential and credibility, as a result a
lot of private interest has been expressed in the project.
Centurion is currently negotiating with a private investor to raise the
necessary funds to go ahead with the acquisition and exploration of the
oil leases for gas and oil and then bring them into production.
Centurion Gold Holdings (OTCBB:CGHI)
is a resource development company that acquires, develops and mines or
spins out natural resource assets. The Company's mineral assets
generally have combined the potential for a near term revenue stream and
existing low cost production operations with turnaround opportunities.
Based in South Africa, the Company is ideally suited to exploit new
legislation implemented by the South African government in May 2004.
This legislation enforces a "use it or lose it" strategy, whereby all
mining claims must be prospected within a designated time frame;
otherwise, such prospects revert to the state, thereby creating
never-before-seen opportunities, particularly for smaller companies like
Centurion. The Company has built a strong team of experienced management
and operations mining professionals to exploit these opportunities and
is positioning itself to become a major producer by continually
implementing its "growth through acquisition" strategy. www.centuriongold.com
Forward-Looking Statements
Statements about the Company's future expectations, including future
revenues and earnings, and all other statements in this press release
other than historical facts are "forward-looking statements" within the
meaning of section 27A of the Securities Act of 1933, Section 21E of the
Securities Exchange Act of 1934 and as the term is defined in the
Private Securities Litigation Reform Act of 1995. The company's actual
results could differ materially from expected results. The Company
undertakes no obligation to update forward-looking statements to reflect
subsequently occurring events or circumstances. Should events occur
which materially affect any comments made within this press release the
Company will appropriately inform the public.
