August 12, 2008
Brownstone Increases Brazilian Interests; Partners With Petro Vista Energy
Brownstone Ventures Inc. (TSX VENTURE: BWN) ("Brownstone") is pleased to announce that it has entered into a farm-in by way of a Head Farmout Agreement with Petro Vista Energy Corp. (TSX: PTV) ("Petro Vista"), whereby Brownstone's Brazilian subsidiary can earn a 20 percent working interest in on-shore blocks SEAL-T-413 and SEAL-T-428 (the "Sergipe Blocks"), in the Sergipe-Alagoas Basin, in north-east Brazil. The blocks represent 9,300 net acres and were initially acquired during the Round 7 auctions of the Brazilian National Petroleum, Natural Gas and Bio-Fuels Agency (the "ANP") in 2007.
Under the terms of the Head Farmout Agreement, Brownstone will be obligated to incur twenty percent of the actual costs to be incurred in the conduct of the work on the second exploration period, and provide the guarantee for the minimum work program for the second exploration period, as specified in agreements with the ANP.
Past work on the Sergipe Blocks include 2D and 3D seismic and Brownstone understands that targets have been identified and are near drill-ready. The consortium partners in the Sergipe Blocks following the farm-in by Brownstone will be: Brownstone (20%); Petro Vista (30%); BrazAlta Resources Corp. (25%) and W.Washington Petroleo S.A. (25%). Presently W.Washington Petroleo S.A. is the operator of the Sergipe Blocks and will be replaced by Petro Vista subject to ANP approval that is being sought.
Brownstone Ventures Inc. is a well-financed Canadian-based, energy focused investment company with equity interests and direct interests in oil and gas exploration projects, including working interests in almost 300,000 acres in the Piceance/Uinta Basins of Colorado and Utah, 295km2 in the Assam/Arakan Basin, Northeast India, 253,000 acres in Rio Negro, Argentina and interests in several projects in Brazil. For additional information, please see Brownstone's website: www.brownstoneventures.com.
About Petro Vista Energy
Headquartered in San Clemente, California, Petro Vista Energy Corp., is an independent exploration company engaged in the acquisition, exploration and development of oil and natural gas properties located in South America. The Company has exploration, development and production rights to over 230,000 acres gross (81,000 net) leasehold acres in Colombia and Brazil. The Company's website at www.pvecorp.com provides additional information about the Company's plans, including photographs and other information with respect to its operations and assets.
This press release may contain statements within the meaning of safe harbour provisions as defined under US Laws and Regulations. The above statements are based on the current expectations and beliefs of management and are subject to a number of risks and uncertainties that may cause the actual results to differ materially from those described above. Brownstone neither takes nor undertakes any responsibility with regard to the accuracy of this press release nor the obligation to update the abovementioned information.
This press release contains certain forward-looking statements within the meaning of applicable securities law. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The Corporation cannot assure that actual results will be consistent with these forward looking statements. They are made as of the date hereof and are subject to change and the Corporation assumes no obligation to revise or update them to reflect new circumstances, except as required by law. Prospective investors should not place undue reliance on forward looking statements. These factors include the inherent risks involved in the exploration for and development of crude oil and natural gas properties, the uncertainties involved in interpreting drilling results and other geological and geophysical data, fluctuating energy prices, the possibility of cost overruns or unanticipated costs or delays and other uncertainties associated with the oil and gas industry. Other risk factors could include risks associated with negotiating with foreign governments as well as country risk associated with conducting international activities, and other factors, many of which are beyond the control of the Corporation.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Contacts: Brownstone Ventures Inc Richard Patricio Vice-President Corporate and Legal Affairs (416) 941-8900 Email: [email protected] Website: www.brownstoneventures.com
SOURCE: Brownstone Ventures Inc.