October 22, 2013
TORONTO, ONTARIO - October 22, 2013 - Sintana Energy Inc. (TSX-V: SNN) ("Sintana") announces that it has commenced an arbitration action, through the International Chamber of Commerce in Paris, France, against Petrodorado Energy Ltd. (TSX-V: PDQ) and Petrosouth Energy Corp., the Operator, (together "Petrodorado") relating to the Talora Block located in the Magdalena Basin, Colombia ("Talora Block").
Sintana and Petrodorado entered into a Farmout Agreement dated October 16, 2011 ("Agreement") to further the exploration and development of the Talora Block. Sintana contends that Petrodorado committed multiple breaches of the Agreement.
Since the commencement of this dispute, it has been the strong preference of Sintana to amicably reach an acceptable compromise and preserve the Agreement. These attempts have proven unsuccessful. Accordingly, Sintana has referred the matter to arbitration and will vigorously pursue its claims in accordance with the terms and conditions of the Agreement.
On behalf of Sintana Energy,
Chief Executive Officer
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Forward Looking Statements - Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company, including, but not limited to the results of the arbitration proceedings, any future exploration programs to be conducted on the Property or the results thereof, the impact of general economic conditions, industry conditions, government requirements, the availability of financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
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