Primeline Suspends Planned Merger With Loyz Energy Due to Volatile Market
Primeline Energy Holdings Inc. (Primeline or the Company) announced Wednesday that it has terminated its previously announced proposed merger with Loyz Energy Limited due to to current market volatility and sentiment. Primeline will continue discussing potential opportunities with Loyz and reiterates its intention to list its shares independently in Asia in the future.
Dr. Ming Wang, CEO, commented: “We have undertaken constructive and comprehensive discussions with Loyz over the past year and remain hopeful of reaching an agreement with them to work together in future. Both sides see the merits and potential of their respective asset positions, but with extreme market volatility, both companies’ boards were unable to conclude an agreement at this time. We’re now turning our attention to resolving the gas sale issue for LS36-1, and eagerly anticipate the results of the LS23-1-1 exploration well, which was spud recently, to tap into resources near our LS36-1 gas field production facility.”
About Primeline Energy Holdings Inc.
Primeline is an exploration and production company focusing exclusively on China natural resources to become a major supplier of gas and oil to the East China market. Primeline has a 100 percent Contractor’s interest in, and is the operator of, the petroleum contract with CNOOC for Block 33/07 2,269 square miles (5,877square kilometers) and a 49 percent interest in the producing LS36-1 gas field in Block 25/34, together with CNOOC (51 percent interest and acting as Operator). Both blocks are located in the East China Sea. LS36-1 has been in production since July 2014.
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