Jul. 15, 2010 (Filing Services Canada) -- McLaren Resources Inc. (MCL - CNSX, 3ML - FWB),("McLaren" or the "Company") announces that it has decided not to proceed with the proposed merger with Shoal Point Energy Limited, as announced in its prior press release of March 15, 2010. The Board of Directors determined after lengthy analysis and review that it would have been overly dilutive to the shareholders of McLaren and therefore it was not in the best interests of the McLaren shareholders to proceed with the merger.
"McLaren's focus is to actively engage in the acquisition and exploration of shale oil plays in the Green Point Formation, both on shore and near shore throughout Western Newfoundland", said Ivan Buzbuzian, President and CEO of McLaren.
The Green Point Formation is the northern extent of the Major North American shale trend, that begins in Texas and trends North through the Eastern USA into Quebec, New Brunswick and Western Newfoundland. The recent development of the North American shale trend has generated a new and potentially large hydrocarbon resource.
As previously published in the May 10, 2010 press release of the Company, the independent Resource Evaluation of AJM Petroleum Consultants of Calgary on the EL 1070 licence in respect of which the Company has a farm-in agreement, indicated 1.555 Billion of Barrels of Oil in place as measured by the P 50 category, thus supporting the company's continued interest in Eastern Canada.
McLaren is also pleased to announce that the company has agreed to the terms and conditions of an offer from Ascent Resources Inc. to sell its North Sea interests to Ascent. . In consideration for entering into this agreement, McLaren will receive $125,000 CDN dollars and a 3% NPI in exchange for McLaren's 27% interest. The transaction is conditional upon Ascent obtaining extensions of the North Sea licences. Due to the unfavorable conditions in the gas industry, the Board of McLaren has decided that the economics do not support continuing the expenditures on this project.
McLaren Resources Inc. is an independent Canadian-based energy company with interests in petroleum exploration and development in the politically stable region of the exciting new Canadian shale oil play in Western Newfoundland.
Contact Information:
Ivan Buzbuzian
President and CEO
McLAREN RESOURCES INC.
65 Queen Street West, Suite 500
Toronto ON, M5H 2M5
Tel.: 416-203-6784/ Fax: 416-368-1539
E-mail: ibuzbuzian@mclarenresources.com
For more information visit our web site at www.mclarenresources.com or contact Ivan Buzbuzian, President and CEO of McLaren Resources, at 416-203-6784 x 4850.
The Canadian National Stock Exchange has neither approved, nor disapproved on the contents of this press release.
McLaren Resources Inc.(MCL - CNSX) www.mclarenresources.com
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