• 17 Oct 2011
  • Global

TAQA Invests C$46.6 Million in WesternZagros

Abu Dhabi, United Arab Emirates – The Abu Dhabi National Energy Company PJSC (“TAQA”), a publicly listed company on the Abu Dhabi Securities Exchange (ADX: TAQA), is pleased to announce a strategic investment agreement (the “Agreement”) with WesternZagros Resources Ltd. (“WesternZagros” or “the Company”). Under the Agreement, TAQA will purchase, through a private placement, 74 million common shares in the Company at CDN$0.63 per share for gross proceeds of CDN$46,620,000. When this private placement is completed, TAQA will own approximately 19.9% of the Company’s issued and outstanding common shares.Carl Sheldon, General Manager of TAQA, said “This investment in WesternZagros reflects our focus on developing TAQA’s footprint in the MENA (Middle East-North Africa) region. TAQA brings technical and operational expertise and a proven track record in developing challenging oil and gas projects, while WesternZagros has already built successful operations in the Kurdistan region of Iraq. We believe that the fit between these complementary strengths will yield the potential for significant added value through future developments.WesternZagros’s Chief Executive Officer, Simon Hatfield adds, “This landmark agreement represents a significant leap forward for us. TAQA is an excellent strategic investor for WesternZagros given their proven track record, their support for our direction and their deep knowledge of our operating region. We are excited about the opportunities we are pursuing in the next twelve months, including further appraisal of the Sarqala and Kurdamir discoveries, and exploration drilling at Mil Qasim. We remain confident that our conservative, step-wise approach to realizing the full potential of our exceptional exploration assets will deliver results for our shareholders in the future.”Under the terms of the Agreement, a representative from TAQA will join WesternZagros’s Board of Directors. In addition, WesternZagros has granted certain rights to TAQA to participate for its pro-rata share in future equity issuances by the Company. The Shares issued under the Agreement will be subject to a hold period until June 30, 2012.The proceeds from the private placement will be used towards WesternZagros’s 2011/2012 capital and operating program. The Agreement is subject to certain customary conditions and regulatory approvals, including the approval of the TSX Venture Stock Exchange. The closing is expected to occur on or about October 31, 2011.About WesternZagros Resources Ltd.WesternZagros is an international natural resources company engaged in acquiring properties and exploring for, developing and producing crude oil and natural gas in Iraq. WesternZagros, through its wholly-owned subsidiaries, holds two Production Sharing Contracts with the Kurdistan Regional Government in the Kurdistan Region of Iraq. WesternZagros’ shares trade in Canada on the TSX Venture Exchange under the symbol “WZR”.About TAQAAbu Dhabi National Energy Company (TAQA) is a global energy company majority owned by the Abu Dhabi Government and listed on the Abu Dhabi Securities Exchange. Main activities include their oil and gas business, power generation and water desalination across four continents.TAQA is one the largest independent power producer in the world and the majority owner of the facilities that provide 98 per cent of the water and electricity requirements in the Emirate of Abu Dhabi. TAQA’s power plants are located in the United Arab Emirates, Morocco, Oman, Saudi Arabia, Ghana, India, and the United States.With operations in Canada, the United Kingdom, the Netherlands and the United States, TAQA’s oil and gas business includes exploration and production, gas storage and pipeline transportation.Their entrepreneurial culture, along with a commitment to people, safety and the environment, has created strong foundations for the long-term sustainable growth of their business.For further information please contact:Allan Virtanen
TAQA Media Relations, Abu DhabiTel +971 2 691 4894; Mob +971 56 685 2717
Allan.Virtanen@taqa.com

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