OilVoice - Enegi Oil Provides Operational and Corporate Update

Enegi Oil Provides Operational and Corporate Update

Sunday, July 19, 2009

Enegi, the Newfoundland focused oil and gas company, provides the following operational and corporate update.

The Company continues, as announced in February,to review its options with regard to its portfolio of assets. These options include, but are not limited to, exploring farmout opportunities on its current assets and the expansion of its portfolio through the acquisition of additional new projects. The board of Enegi expect that a further update on these options will be announced in the near future.

The Company is also pleased to provide an update on the financial position of its Newfoundland operating subsidiary, PDI Production Inc. (‘PDIP’). PDIP informed Enegi, in February this year, as announced on February 16th, that it was technically insolvent. Since then PDIP has continued discussions with its creditors and has now informed the Company that it believes that it will be able to restructure the majority of its debt so that it will be repayable over the course of the next 12 months.

Alan Minty Chairman & Chief Executive commented:
“Whilst the last few months have been very difficult for the Company we are pleased with the progress that both the Enegi and PDIP have made. With the PDIP situation resolving itself we expect that, with the plans we are in the process of finalising, we can now get back to doing what we do best; building Enegi into a leading oil and gas exploration and development company”.