TORONTO, Aug. 27, 2004 (PRIMEZONE) -- Bontan Oil & Gas Corporation, a wholly owned subsidiary of Bontan Corporation Inc. (OTCBB:BNTNF), is pleased to announce that InterOil Corporation has announced a private placement of up to US$40 Million of Senior Convertible Debentures. Details of InterOil's private placement can be reviewed at www.interoil.com.
Bontan holds 0.75% Indirect Participation Interest ("IPI") in phase one of an onshore oil exploration program in Papua New Guinea. The IPI agreement is with PNG Drilling Ventures Limited, which is a contract party to InterOil Corporation. The IPI agreement provides for the participation in a multi-well drilling program on separate and independent structures located in over 8 million exploration acres in three principle prospecting licenses in Papua New Guinea. All structures are oil-prone and each with a pre-drill estimated undiscovered resource potential of over 300 million bbl. To date, two structures, Moose and Sterling, have been subject to exploratory drilling. The Moose structure has confirmed oil shows in the secondary target (limestones).
About Bontan Corporation Inc.:
Bontan Corporation Inc. (OTCBB:BNTNF) is an international diversified natural resource company that operates and invests in major exploration prospects. Bontan is currently active in oil exploration in Papua New Guinea through its wholly-owned subsidiary Bontan Oil & Gas Corporation and in diamond exploration in Brazil through its wholly-owned subsidiary, Bontan Diamond Corporation.
Through its wholly owned subsidiaries, Bontan seeks highly visible opportunities in countries around the globe with a history of natural resource production that offer exciting and attractive propositions. The company will seek to minimize risk by bringing in either joint venture, carried or working interest partners, depending on the size and scale of the project.
For further information, please contact Kam Shah, CEO and CFO, at 416-860-0175. Visit www.bontancorporation.com for more information.
For Media Relations, contact Rob Kennedy at Current Capital Corp. at 416-860-0211 or visit www.currentcapital.com.
No regulatory authority has approved nor disapproved the content of this release.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "plans," "confident that," "believe," "expect," or "intend to," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements.