March 1, 2012 [Condor Petroleum Inc.] - Condor Petroleum Inc. is pleased to announce the signing of a Letter of Intent (“LOI”) to purchase a 90% interest in an existing oil storage and rail terminal in Kazakhstan. The oil terminal is located 12 kilometers northwest of Condor’s Zharkamys West 1 Contract Territory (the “Zharkamys Territory”).
The terminal includes 1,200 m3 (7,500 barrels) of oil storage capacity and is designed to load 4 rail cars simultaneously. The terminal has a rail spur which ties directly into the main rail line between Aktobe and Atyrau. In addition to providing expected transportation cost savings, the terminal’s existing access to the rail system should expand Condor’s future oil marketing options.
The LOI is subject to certain conditions including facility upgrades and reâ€licensing of the terminal, and the execution of a definitive purchase and sale agreement.
