Imperial Energy Meets with Russian, Tomsk Officials

Imperial Energy Corp. PLC on Friday said that it has attended a meeting with the Deputy Head of Rosprirodnadzor Oleg Mitvol and the Governor of Tomsk region Victor Kress. Following this meeting, the Ministry of Natural Resources published the statement below. (Imperial noted that it accepts no responsibility for the accuracy of the translation of the statement, which originated from the Press Service of the Ministry of Natural Resources.)

"On 19 April 2007, Deputy Head of Rosprirodnadzor Oleg Mitvol held a working meeting with Victor Kress in the course of which he discussed the issues related to the violations of the license obligations by certain subsidiaries of Imperial Energy group.

"Representatives of the company, Chairman Peter Levine, and General Representative of the company in Tomsk region Youri Zelvenski, also attended the meeting.

"In the course of the meeting, Oleg Mitvol informed the company representatives about the violations found in the course of the Rosprirodnadzor inspections.

"Representatives of the company, in their turn, assured that the company was prepared to remedy all violations, noting that the pipeline construction within the fire protection zone had been performed at the contractors' fault, and the company was not informed about that. Representatives of the company also advised that they would provide all reserve data for the purposes of inclusion into the state reserve records in relation to all license areas for which data were not provided previously.

"Oleg Mitvol noted that the issue of discrepancies between official data and independent reserve audit data should be considered separately and resolved in the legislation.

"In his turn, Tomsk region governor Viktor Kress expressed his hope that Federal Service for Control over the Use Of Natural Resources [Rosprirodnadzor] and the company representatives would settle all disputed issues in the nearest future."

Peter Levine, Chairman of Imperial Energy, commented:

"We continue to engage the Ministry in constructive discussions."