Laserfiche WebLink
%i <br />~_ <br />w <br />Q <br />w <br />w <br />w <br />z <br />CONTACT <br />company. <br />Miefiul Owen <br />f naun,an <br />Rnyai Re. <br />1660 W Vn Ai ipp`SI WeI <br />suer umo lemn lio„~ <br />~rneet (~W~u1o B1B02 <br />00)1 5~]-0660 <br />ROYAL RESIJIlRCES CORPORATION <br />1660 WYNKOOP STREET SUITE 1000 TENTH FLOOR <br />DENVER, COLORADO 80202 (303) 573-1660 <br />NEWS FOR RELEASE: IMMEDIATE: FEBRUARY 27, 1987 <br />III IIIIIIIIIIIIIIII <br />DENVER, COLORADO: ROYAL RESOURCES CORPORATION (NASDAQ:RRCO), <br />announced today that it has reached agreement on this date with <br />Victoria Exploration Inc, a Colorado corporation and wholly-owned <br />subsidiary of Victoria Exploration N.L. of Perth, Western Australia <br />for the sale of Royal's oil and gas properties and production effective <br />January 1, 1987 for $3.65 million. The Company will report a loss <br />of approximately $400,000 when the sale is closed. <br />Mr. Michael Owen, Chairman of Royal, stated "The sale of Royals <br />oil and gas properties is a final step in implementing the Company's <br />decision to change its primary line of business from oil and gas <br />exploration, development and production to gold exploration, <br />development and production. Various offers were received. <br />Victoria made tFle highest offer and is the firm which the Company <br />believes is in t:he best position among those bidding to deal with <br />the Australian exploratory property." The agreement reached with <br />Victoria is subject to Royal stockholders' approval. The Company <br />anticipates it will call a special stockholder meeting in the near <br />future to vote on the action. Victoria has agreed to deposit <br />$365,000 into are escrow account in Denver with the balance of the <br />purchase price payable at closing. If Victoria does not close, <br />this $365,000 would be paid to Royal as liquidated damages. Closing <br />is scheduled for May 30, 1987. Victoria has also agreed to enter <br />into a management agreement with Royal to manage the properties <br />until closing. <br />Royal Resources Corporation, a publicly-held company based in <br />Denver, Colorado, is engaged in the exploration, development and <br />production of gold. <br />End <br />