MIDLAND, Texas, June 9, 2010 (GLOBE NEWSWIRE) -- Doral Energy Corp. (OTCBB:DRLY) ("Doral" or "the Company"), is pleased to announce to shareholders that the divestiture of Doral's Hanson Oil and Gas assets is on schedule to close Tuesday, June 15, 2010. This will allow Doral to pay all debt obligations associated with their $50MM Senior Credit Facility with Macquarie Bank Limited upon closing.
Additionally, Doral has executed an amendment to the Letter of Intent announced to shareholders dated May 20, 2010 for the acquisition of 6,800 acres of oil and gas assets located within the Permian Basin. Per the original Letter of Intent, Doral was to enter into a definitive Purchase and Sale Agreement by June 4, 2010. This date has now been rescheduled to June 14, 2010. Doral does not anticipate any further delays regarding entering into a binding Purchase and Sale Agreement by such date.
About Doral Energy Corporation
Doral Energy Corp. (OTCBB:DRLY) is an oil and gas exploitation and production company headquartered in Midland, Texas. Doral Energy Corp.'s strategy is to grow a portfolio of under-developed production and exploitation assets with the potential for generating near-term increases in existing production through operational improvements, and longer-term development of proved undeveloped reserves by infill drilling. Doral focuses on identifying acquisitions that generate immediate cash flow from production, but which also have strong proved developed non-producing and proved undeveloped reserves that can be tapped for significant growth. The prolific Permian Basin of Texas and New Mexico is the geographic region of focus for the Company's future acquisition activity. Shareholders and investors are encouraged to visit Doral Energy's website at www.DoralEnergy.com for more information.
Forward Looking Statements
In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, this news release contains forward-looking statements that are not historical facts and are subject to risks and uncertainties. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined, and assumptions of management. Forward looking statements are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions or that events or conditions "will", "would", "may", "can", "could" or "should" occur. In particular, there is no assurance that Doral will close on the divestiture of their Hanson Oil and Gas assets on or before June 15, 2010. Additionally, there is no assurance that Doral will enter into a binding Purchase and Sale Agreement by June 14, 2010 as set forth in this update to shareholders. Additional information on risks for the Company can be found in the Company's filings with the US Securities and Exchange Commission.