APALACHICOLA, Fla., April 17, 2007 (PRIME NEWSWIRE) -- Phillip Ware, President and Chief Executive Officer of Coastal Caribbean Oils & Minerals, Ltd. (OTCBB:COCBF) ("Coastal Caribbean" or the "Company"), announced today that the Company's wholly owned subsidiary, Coastal Petroleum Company ("Coastal"), has learned that Victory Energy Corporation ("Victory") does not intend to comply with the terms of its Letter of Intent and will not execute a Formal Agreement with Coastal to conduct a drilling program on Coastal's Valley County, Montana leases ("Leases") within the time period required in the Letter of Intent.
Under the Letter of Intent, Victory agreed to complete and execute a Formal Agreement ("Agreement") within 60 days and to pay Coastal $250,000 upon the execution of that Agreement. The 60 days has expired, and although Victory requested an extension, it can give no assurances that it would be able to complete the transaction even with the extension. Therefore, an agreement could not be reached regarding an extension of the time to execute a Formal Agreement and the Letter of Intent has expired. Ware said: "This is disappointing, but our Montana Leases have tremendous potential for both oil and gas and we believe Coastal will be able to team with another entity to unlock that potential." Coastal will now look to team with someone else to work with on its Montana and North Dakota leases.
Now in its 55th year, Coastal Caribbean Oils & Minerals, Ltd. is engaged in the exploration for and development of oil and gas reserves through its wholly owned subsidiary, Coastal Petroleum. Coastal Petroleum's principal assets are its cash and its non-producing oil and gas leases within the Williston Basin, covering approximately 9,000 net acres in North Dakota and approximately 137,000 net acres in Montana.
Certain statements included in this press release, which are not historical in nature, are intended to be forward-looking statements. Coastal Caribbean cautions readers that forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.