July 17, 2006. British Virgin Islands/Dubai: SeaBird Exploration Limited (BVI) ('SeaBird'or 'SBX') has acquired the remaining 50% ownership in the Joint Venture entity Sana Navigation Company Limited ('Sana') which charters the M/V Northern Explorer from Russian owners on a long term bareboat charter.
The purchase price is USD 25.500.000. The Joint Venture is now terminated in all respects.
All alleged claims and arbitration proceedings against SeaBird and its shareholders as disclosed in SeaBird prospectus dated 27th March have been waived and dropped without financial settlement or other consideration.
The acquisition of the 50% interest in Sana includes the long term bareboat contract, the liquid cash, other current assets, and fixed assets including the seismic equipment, and all future earnings.
After the acquisition, SeaBird owns and controls 100% of Sana and its present and future cash flows. Sana has exercised an option to buy the M/V Northern Explorer in accordance with the charter terms with transfer of title to SeaBird expected to be in 2006 and subsequently the vessel will be fully reflected in the balance sheet assets of SeaBird.
The M/V Northern Explorer is on contract to TGS until October 2006 under a contract entered into in 2004. SeaBird has experienced considerable interest for the vessel thereafter and is currently evaluating further employment opportunities in line with current market rates.
For further queries contact:
CEO SeaBird Exploration Limited
Phone +97150 453 9075
- - -
SeaBird Exploration Limited (BVI) `SeaBird` is a global provider of marine 2D and 3D seismic data solutions for seabed acquisition of 2D, 3D and 4D multimode seismic, and associated products and services to the oil and gas industry. SeaBird specializes in high quality operations within the high end of the source vessel and 2D market, as well as in the shallow water 2D/3D market. Main focus for the company is proprietary seismic surveys (contract seismic). SeaBird does not have a multi-client data library. Main success criteria for the company are an unrelenting focus on Quality, Health, Safety and Environment (QHSE), combined with efficient collection of high quality seismic data. SeaBird operates a seismic fleet of 4 vessels with two additional vessels under conversion with expected completion during the first half of 2006.
All statements in this press release other than statements of historical fact are forward-looking statements and are subject to a number of risks, uncertainties and assumptions that are difficult to predict, and are based upon assumptions as to future events that may not prove accurate. These factors include SeaBird`s reliance on a cyclical industry and the utilization of the company's vessels. Actual results may differ substantially from those expected or projected in the forward-looking statements.