OilVoice - IFR Announces North Sea Corporate Sale

IFR Announces North Sea Corporate Sale

Wednesday, February 24, 2010

International Frontier Resources Corporation ('IFR') reports that the Company has entered into a Letter of Intent to sell 100% of the issued share capital of its wholly owned U.K. subsidiary, Britcana Energy Ltd, to a U.K. based international oil and gas company ('Purchaser'). The price for the shares will be five million US Dollars ($5,000,000) to be satisfied at the times and subject to satisfaction of the following conditions;

(a) Three million US Dollars ($3,000,000) on completion of the sale and purchase agreement.
(b) One million US Dollars ($1,000,000) on approval by the UK Department of Energy and Climate Change of a Field Development Plan for a joint or unitised development of the Bugle Field between the licensees of UKCS Block 15/23c (P.1465) and 15/23d (P.815); and
(c) One million US Dollars ($1,000,000) on the sale of the first lifting of hydrocarbons attributable to Britcana's participation in such a joint or unitised development.

The offer is conditional on IFR and the Purchaser entering into a mutually acceptable share purchase and sale agreement, certain warranties and financial information provided by the Company to the Purchaser. Closing is anticipated to occur on or before March 12th, 2010.