October 21, 2008
Pluris Energy Business Update
Pluris Energy Group Inc. (OTCBB: PEYG) ("Pluris Energy" or "the Company") provides the following update to its shareholders related to the Company's ongoing business development efforts in South America.
As recent international financial events have resulted in significant selling pressure on public company stocks, Pluris Energy's stock value and market capitalization has also experienced some erosion. Pluris Energy Chairman and CEO, Sacha H. Spindler stated, "Although the devaluation of our company's share price can raise concerns for some of our shareholders related to the Company's operations and performance, recent selling pressure on the Company's stock is attributable only to the general market forces that started shaping several months ago and have just recently peaked. The world-class energy opportunity sets being developed by Pluris Energy, of which our efforts are currently focused on the acquisition of the Cerro Negro concession in Chubut Province, Argentina remain on-track and without any negative issues arising as a result of the current global financial crisis and corresponding volatility in the international stock markets." Mr. Spindler continued by stating, "Pluris Energy's funding efforts are progressing as anticipated and we feel very confident that we have secured and are currently moving toward completion of acquisitions that represent company making opportunities through a funding initiative that provides the best opportunity for Pluris Energy to be successful in developing its business plans."
Currently, the Company is completing the drafting of the operations and joint participation agreements between its wholly owned Argentine subsidiary, Pluris Sarmiento Petroleo SA and Clear SRL related to the Company's acquisition of a 75% operated interest in the Cerro Negro concession, located in the Golfo San Jorge Basin, Argentina. The Company anticipates the completion of those agreements shortly. Additionally, Pluris Sarmiento is progressing with its qualifying requirements with Petrominera Chubut, the government regulating body for the energy sector in Chubut Province, Argentina. Mr. Spindler commented, "The requirements to qualify as operator of the Cerro Negro concession are moving along well and we anticipate that the Company should timely receive its approvals to facilitate the completion of our acquisition of Cerro Negro and be positioned to commence developments on the concession as planned."
On other corporate matters, management of the Company believes that a final decision will be rendered by the International Chamber of Commerce related to the dispute that has arisen with the acquisition of 100% of the shares of San Enrique Petrolera, SA by the Company's wholly owned subsidiary, Pluris Energy Group Inc. (BVI). Mr. Spindler stated, "We have fulfilled all of the requirements requested of us by the ICC Tribunal and have recently been advised by them that we could potentially receive a final rendering of the dispute as early as this quarter. We greatly look forward to the outcome of this process, which we have remained vigilant toward for two years due to the value we believe some of San Enrique's assets represent toward the Company's business objectives and because we believe our position related to Pluris Energy's rights under the terms of the agreements entered into with San Enrique is very strong."
Mr. Spindler concluded by saying, "All of the salient attributes of our business development progress this year continue to fuel management's conviction, dedication and patience toward developing our Company's opportunities. Due to these factors, management has been motivated to purchase over five million shares of Pluris Energy through fiscal 2008, evidencing our continued investment and commitment towards the objectives we've put forward for the Company. We have captured what we believe to be world class energy development opportunity sets that can potentially provide the platform for the realization of Pluris Energy's fiscal objectives and for creating long term shareholder value."
About Pluris Energy
Pluris Energy Group Inc. is an international energy company engaged in the acquisition and development of producing oil and gas interests in South America. For further information, please visit the Company's website at www.pluris.com
This news release contains "forward-looking statements." Statements in this press release, which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among others, the expectation and/or claim, as applicable, that: (i) the Cerro Negro concession possesses exploration and development opportunities that could result in the development and production of marketable quantities of oil; (ii) the financial closing of the Cerro Negro acquisition will complete and/or will be completed; (iii) the Company will be able to raise the necessary capital to complete the financial closing of the Cerro Negro acquisition and to develop the Cerro Negro concession; (iv) measurable quantities of oil will be produced from the Cerro Negro concession; (v) any new well drills undertaken on the Cerro Negro concession can result in productive oil wells capable of producing marketable quantities of oil; (vi) the Cerro Negro concession possesses oil reserves; (vii) the financial affiliations made with the Company will result in financing being raised by the Company to fund its business plans in Argentina; (viii) the Company's approval as operator of the Cerro Negro concession will be timely provided to the Company by Petrominera Chubut; (ix) a positive outcome related to the ICC arbitration between the Company and San Enrique will be rendered by the ICC in favor of the Company.
It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others: (i) the continued demand for oil and gas; (ii) the failure to complete the acquisition of the Cerro Negro concession for whatever reason, (iii) the failure of the Cerro Negro concession or the assets owned by San Enrique to possess development potential to the extent that they can profitably generate commercially viable quantities of hydrocarbons; (iv) the failure to raise proceeds necessary to complete the Cerro Negro acquisition and the acquisition of San Enrique; (v) the failure to raise the proceeds necessary to move forward with the intended development platform over the Cerro Negro concession and the assets of San Enrique; (vi) the accuracy of the predicted reserves for the Cerro Negro concession and the assets of San Enrique; (vii) the uncertainty of the requirements demanded by environmental agencies; (viii) the company's ability to raise debt or equity financing for operations, inability to maintain qualified employees or consultants, and the likelihood that no commercial quantities of oil and gas or new energy sources are found or recoverable. For more risk factors about our company, readers should refer to risk disclosure in our recent forms 10-KSB and 10-QSB filed with the SEC on Edgar.
Company Contact Louis J. Fruchier 604-607-1677
SOURCE: Pluris Energy Group, Inc.