PNG Ventures to Acquire Earth LNG

PNG Ventures has announced the execution of a binding letter of intent with Earth Biofuels, whereby PNG has agreed to purchase a 100% ownership interest in Earth Biofuels’s wholly owned subsidiary, Earth LNG.

Pursuant to the terms of a binding letter of intent, PNG Ventures is to acquire 100% ownership of Earth LNG and all of its subsidiaries, including Applied LNG Technologies and its production facility located in Topock, Arizona.

PNG Ventures and Earth Biofuels have agreed to close the transaction on or before June 30, 2008, and have agreed to a break-up fee to be paid to PNG Ventures in the event the transaction does not close.

Kevin Markey, interim CEO of PNG Ventures, said: “The execution of the binding letter of intent with Earth Biofuels is PNG Ventures’s first step towards building a platform to deliver affordable clean energy solutions to the western part of the US and beyond.”