Sea Dragon Announces Successful Result of Court Application for Stay of Litigation Proceedings
November 13, 2008 -- Calgary, Alberta, (SDX-TSX.V) Sea Dragon Energy Inc. ("Sea Dragon" or the "Company") has announced today the successful result of a court application (the "Application") made on the Companyâ€™s behalf in respect of the previously disclosed litigation commenced on May 30, 2008 against the Company, among others (the "Defendants") (the "Action") by TransPacific Petroleum Corp. and Ghareeb Awad (the "Plaintiffs").
The Application was made on November 10, 2008 to the British Columbia Supreme Court (the "Court") on the grounds that the Plaintiffs did not have a legal right to initiate a court action against the Company in respect of a contractual dispute involving the East Wadi Araba Concession (the "EWA Concession") in Egypt. The basis for such position was a series of contracts (the "Contracts") relating to the EWA Concession wherein the parties had agreed to resolve any disputes arising from the Contracts by arbitration, not though court proceedings. The Court agreed with the submissions made on behalf of the Company and ordered a stay of proceedings with respect to the Action against the Company and another Defendant. The Court further ordered that the Plaintiffs pay court costs of the Application forthwith to each of the Company and another Defendant.
As a result of the Court's ruling, the matter will now move to arbitration in Alberta if it is pursued by the Plaintiffs involved.
For further information please see the website of the Company at www.seadragon.ca or the Companyâ€™s filed documents at www.sedar.com
Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed under the heading Risk Factors and elsewhere in the Companyâ€™s filings with Canadian securities regulators. Such information contained herein represents managementâ€™s best judgment as of the date hereof based on information currently available. The Company does not assume any obligation to update any forward-looking statements, save and expect as may be required by applicable securities laws.
Sea Dragon is an international exploration and development company with oil and gas interests in the Gulf of Suez, Egypt. The Company holds a 75% working interest in the East Wadi Araba Concession ("EWA Concession") pursuant to the deed of assignment awarded by the Arab Republic of Egypt and Egyptian General Petroleum Corporation ("EGPC") for the purposes of the exploration and exploitation of petroleum. The EWA Concession covers 193 square kilometers, or approximately 47,691 acres (37,768 net acres), located in mainly shallow water off-shore in the Gulf of Suez, Egypt.
The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.
For further information please contact:
President, CEO and Director
President, Brisco Capital Partners