Dart Energy Announces Sale Of Liulin In China

July 16, 2013

Dart Energy (ASX: DTE) has entered into an agreement to sell 100% of its wholly owned Singaporean subsidiary company, Dart Energy (FLG) Pte Ltd, to Hong Kong HuiHua Global Technology Ltd, a Hong Kong subsidiary of the Shenzhen-listed China Oil HBP Science & Technology Corporation Ltd, the company reported in a news release.

Dart Energy (FLG) Pte Ltd is the holder of 50% of the issued share capital of Fortune Liulin Gas Ltd, a Hong Kong company which in turn holds a 50% interest in the Liulin Production Sharing Contract in China.

Consideration for the sale is approximately US$20.8 million, cash.

Completion is subject to satisfaction of customary conditions precedent, including obtaining the approval of  various Chinese government bodies, and is expected to occur within 2-3 months.

Dart CEO John McGoldrick said, "In March 2013 Dart was restructured so as to focus the business on our extensive, high-prospect shale and CBM acreage in the United Kingdom. As part of the restructure various assets were identified as being noncore to the revised strategy, and we began processes in multiple countries that sought to sell, farm-out or exit these non-core assets."

Source: Dart Energy, 2013.