Taipan Resources Inc. Farms Out 15% of Block 2B Kenya to Tower Resources

Taipan Resources Inc. Farms Out 15% of Block 2B Kenya to Tower Resources 
NEWS RELEASE TRANSMITTED BY Marketwired 
FOR: Taipan Resources Inc. 
TSX VENTURE SYMBOL:  TPN 
APRIL 9, 2014 
Taipan Resources Inc. Farms Out 15% of Block 2B Kenya to Tower Resources 
VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 9, 2014) - Taipan Resources
Inc. ("Taipan") (TSX VENTURE:TPN), through its wholly owned
Kenya-based subsidiary Lion Petroleum Corp., has signed a binding farm-out
agreement with Tower Resources (Kenya) Limited, a subsidiary of AIM-listed
Tower Resources plc (LN:TRP) ("Tower"), whereby Tower will acquire a
15-per-cent participating interest in Block 2B onshore Kenya. Taipan will
retain a 30-per-cent operated interest in Block 2B.  
The principal terms of the farm-out agreement are as follows: 
/T/ 
--  Tower will pay to Taipan US$4.5-million in cash at completion; 
--  Tower will issue to Taipan 9-million shares in Tower Resources Plc in 
two tranches (the "Farm-In-Shares), 50% at completion and 50% three 
months following completion; 
--  Tower will make a US$1.0-million payment to Taipan conditional upon the 
spud of a second well in Block 2B; 
--  Completion is conditional solely on approval from Premier Oil 
Investments Limited; 
--  Tower will, on and from the effective date of transfer, pay its 
participating interest share of costs incurred in conducting joint 
operations as per the provision of the joint operating agreement, the 
initial phase of which, are estimated to cost gross US$29.5 million; 
--  Tower will provide guarantees for its share of the minimum work and 
expenditure obligations required under the PSC for Block 2B; 
/T/ 
Taipan, is presently preparing to drill the Badada Prospect on Block 2B in
Kenya. The Badada prospect has been independently estimated by Sproule
International Limited ("Sproule") to have Mean Gross Unrisked
Prospective Resources of 251 MMBOE and High (P10) Estimate Gross Unrisked
Prospective Resources of 498 MMBOE. The total estimated Mean Gross Unrisked
Prospective Resources on Block 2B is 1,593 MMBOE based on 19 exploration
leads(1). 
Taipan, through its subsidiary Lion Petroleum will retain operatorship of Block
2B during the exploration phase. 
Maxwell Birley, Chief Executive Officer, commented: "We have further
de-risked our prospect in Block 2B with this farm out to Tower. The farm out to
Tower is being completed at a favorable premium to the farm down to Premier
announced in December of last year, and is reflective of the increased
sentiment towards the value of our acreage in Block 2B. Between this farm down
and the recent private placement, Taipan is now fully-funded and exposed to the
drilling of a well on each of Block 1 and Block 2B in 2014. We have now set our
sights not only on the drilling of these two exciting targets, but also on
other sub-Saharan assets which will allow us to expand our portfolio of
exploration assets in 2015 and beyond". 
1. Sproule completed an updated independent assessment of the Company's
prospective resources on Block 2B with an effective dated of December 31, 2013.
The independent assessment was carried out in accordance with the standards
established by the Canadian Securities Administrators in National Instrument
51-101 Standards of Disclosure for Oil and Gas Activities. 
About Tower Resources plc 
Tower Resources plc (LSE:TRP) is an AIM-listed, London-based independent oil
and gas exploration company with a regional focus on sub-Saharan Africa. 
The Company holds a 30% working interest in a license comprising three Blocks
offshore Namibia and a 50% interest in three contiquous licenses, onshore and
offshore, in the Sahawari Democratic Republic. The company plans to spud their
Welwitschia-1 well offshore Namibia with partners Repsol in late April 2014. 
On April 9, 2014, the Company announced the proposed acquisition of Rift
Petroleum Holdings Limited, a company with interests offshore South Africa and
onshore Zambia. 
About Taipan Resources Inc. 
Taipan Resources Inc. (TSX VENTURE:TPN) is an independent, Africa-focused oil
exploration company with interests in Block 1 and Block 2B onshore Kenya
through its wholly owned subsidiary Lion Petroleum Corp. 
After the farmout, Taipan will hold a 30% working interest in Block 2B (1.35
million acres / 5,464 km2). The Company's 20% working interest in Block 1
(5.497 million acres / 22,246 km2) is operated by East Africa Exploration
(Kenya) Ltd, a subsidiary of Afren plc.  
Prospective Resources are those quantities of petroleum that are estimated, as
of a given date, to be potentially recoverable from undiscovered accumulations
by application of future development projects. Prospective Resources have both
an associated chance of discovery and a chance of development. Prospective
Resources are further subdivided in accordance with the level of certainty
associated with recoverable estimates assuming their discovery and development
and may be sub-classified based on project maturity. 
There is no certainty that any portion of the Prospective Resources will be
discovered. If discovered, there is no certainty that it will be commercially
viable to produce any portion of the resources. 
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release. The statements
contained in this release that are not historical facts are forward-looking
statements, which involve risks and uncertainties that could cause actual
results to differ materially from the targeted results. The Company relies upon
litigation protection for forward looking statements. 
The reader is cautioned that assumptions used in the preparation of any
forward-looking information may prove to be incorrect. Events or circumstances
may cause actual results to differ materially from those predicted, as a result
of numerous known and unknown risks, uncertainties, and other factors, many of
which are beyond the control of Taipan. As a result, Taipan cannot guarantee
that any forward-looking statement will materialize and the reader is cautioned
not to place undue reliance on any forward-looking information. Such
information, although considered reasonable by management at the time of
preparation, may prove to be incorrect and actual results may differ materially
from those anticipated. Forward-looking statements contained in this news
release are expressly qualified by this cautionary statement and include, but
are not limited to, statements with respect to estimates of resources, future
drilling and other exploration activities, and ultimate recovery of resources.
The forward-looking statements contained in this news release are made as of
the date of this news release and Taipan will only update or revise publicly
any of the included forward-looking statements as expressly required by
Canadian securities law. Statements concerning resource estimates constitute
forward-looking statements and reflect conclusions that are based on certain
assumptions that the resources can be economically exploited. 
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FOR FURTHER INFORMATION PLEASE CONTACT: 
Taipan Resources Inc.
Maxwell Birley
CEO
mbirley@taipanresources.com
or
Taipan Resources Inc.
Joel Dumaresq
CFO
jdumaresq@taipanresources.com
or
Kin Communications Inc.
Investor Relations
604-684-6730 or 1-866-684-6730
TPN@kincommunications.com 
INDUSTRY:  Manufacturing and Production - Mining and Metals 
SUBJECT:  BFC 
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-0- Apr/09/2014 12:45 GMT
 
 
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