News and Press Releases

Banking Finance

August 15, 2007

Sefton Resources Inc ("Sefton" or the "Company") is pleased to announce that it has reached agreement with the Bank of the West for a $10m. line of credit. An initial $1.5m will be drawn down, secured on the Tapia and Eureka leases, wells and equipment. The funds are by way of a senior secured note carrying an interest rate of 0.5 per cent over the US Prime Rate. In order to establish this line of credit, which is committed for 2 years, the Company has paid upfront commitment fees of $7,500.

Commenting, Chairman, Jeremy Delmar-Morgan said "proceeds will be used to increase production at Tapia. A rig is now available to start on two of our wells in September. In addition we will begin our pilot steaming programme also at Tapia".

The Company expects to report its interim financials in early September at which time more detailed information will be provided.

For further information, contact:

John James (Jim) Ellerton, CEO Tel: 001 303 759 2700
Jeremy Delmar-Morgan, Chairman Tel: 077 8900 4874
David Millham, Investor Relations Tel: 020 7796 9999
Nicola Marrin, Seymour Pierce Limited Tel: 020 7107 8000

 

Further information on Bank of the West

Bank of the West is a wholly owned subsidiary of BNP Paribas. It has branch offices in California, Colorado and Kansas where Sefton's main assets and production facilities are based. Bank of the West, founded in California in 1874, is the third largest commercial bank headquartered west of the Mississippi, with over $66 billion in total assets and 681 banking locations in 19 states. The bank's Energy Lending group offers a complete range of treasury management, interest and commodity hedging, leasing, and credit services tailored to independent exploration and production companies, and companies in various sectors of the energy industry.