Lions Petroleum signs letter of intent for acreage & pipeline acquisition
  by: OilOnline
  Friday, September 15, 2006

Lions Petroleum Inc. has signed a Letter of Intent (LOI)for the acquisition of 26,635 acres of oil & gas leases located in SE Kansas. This includes the rights to all depths. Included in this acquisition are 26 coal bed methane wells that are in various stages of production and completion.

This Letter of Intent also includes the acquisition of approximately 20 miles of 6-inch pipeline with compression and a tap into a main transport pipeline in SE Kansas. The total purchase price for this acquisition is $3,000,000.00 and has 90 days to close.

A separate Letter of Intent (LOI) has also been signed for the acquisition of 1,336 acres of oil & gas leases in SE Kansas that has 14 coal bed methane wells in various stages of production and completion. This acreage is located close to the above-mentioned pipeline. The purchase price on this acquisition is $250,000.00 and will have 120 days to close.