Monumental Energy Corp. (“Monumental” or the “Company”) (TSX-V: MNRG; FSE: ZA6; OTCQB: MNMRF) is pleased to announce that, further to its October 25, 2024 news release, it has received final approval from the TSX Venture Exchange (the “Exchange”) for the non-arm’s length call option and royalty agreement (the “Agreement”), enabling the Company to participate in the refurbishment and restart of two significant previously producing oil wells in New Zealand and royalty interest upon renewed production.
Pursuant to the Agreement between Monumental ’s wholly-owned subsidiary, Monumental Energy Corp. NZ Limited, and Taranaki Ventures Limited (“TVL”), a wholly owned subsidiary of New Zealand Energy Corp. (TSXV: NZ) (“NZEC”), dated October 25, 2024, the Company will participate in the repair and workover operation in order to restart production of two wells, Copper Moki 1 & 2 (“CM 1 & 2”), which are located on a permitted block PMP 55491 in Taranaki, New Zealand, for which TVL holds a 100% interest.
Max Sali, VP Corporate Development and Director of Monumental, comments: “I want to thank all our shareholders for their patience in this process of completing this fundamental acquisition and thank our partners NZEC for giving us the opportunity to work with them on Copper Moki and other additional prospects in 2025. I am very excited about the success of the Tariki-5A gas well that is currently in the flow testing stage and look forward to a prosperous 2025 resulting in growth for Monumental.”
Mike Adams, CEO and Director of NZEC, comments: “We look forward to working with Monumental on the Copper Moki oil and gas well workovers early in 2025 as well as potential additional appraisal and exploration projects that NZEC has access to in country. We appreciate the active support from such a large shareholder of NZEC.”
In accordance with a detailed budget and work plan, the Company will make monthly cash payments to complete the repair and workover of CM 1 & 2, which is expected to commence in Q1 2025 and estimated to take approximately three weeks to complete. Consent of the Minister in New Zealand has been received, as required in accordance with the New Zealand Crown Minerals Act 1991. Application for consent was made by TVL following the execution of the Agreement and was received in December 2024.
The total cost to complete the workover of CM 1 & 2 is estimated at approximately NZ$800,000. Once production is achieved, Monumental will be entitled to 75% of the oil and gas revenue, net of production costs, until its investment is recovered, after which it will have a 25% net revenue royalty regarding the permit.
The Company’s common shares were halted in connection with the announcement of the Agreement and will recommence trading effective at market opening on December 31, 2024.
About Monumental Energy Corp.
Monumental Energy Corp. is an exploration company focused on the acquisition, exploration, and development of properties in the critical and clean energy sector. The Company has an option to acquire a 75% interest and title to the Laguna cesium-lithium brine project located in Chile. The Company holds a 2% net smelter return royalty on Summit Nanotech’s share of any future lithium production from the Salar de Turi Project. The Company owns securities of New Zealand Energy Corp. and holds an option to acquire a royalty interest in the Copper Moki 1 & 2 oil wells in New Zealand.
On behalf of the Board of Directors,
/s/ “Michelle DeCecco”
Michelle DeCecco, CEO
Contact Information:
Michelle DeCecco, Chief Executive Officer and Director
Email: [email protected]
Or
Maximilian Sali, VP Corporate Development and Director
Email: [email protected]
Phone: 1-604-367-8117
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Forward Looking Information
This news release contains “forward‐looking information or statements” within the meaning of applicable securities laws, which may include, without limitation, the potential plans for the Company’s projects, terms of the Agreement and the royalty, availability of equipment and personnel, timing and duration of the anticipated workover of CM 1 & 2, completion of the workover and commencement of production of CM 1 & 2, potential oil and gas transactions, potential additional appraisal and exploration projects in New Zealand, date of trade resumption, other statements relating to the technical, financial and business prospects of the Company, its projects, its goals and other matters. All statements in this news release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Such statements are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the price of metals and the price of oil and gas, the ability to achieve its goals, that general business and economic conditions will not change in a material adverse manner and that financing will be available if and when needed and on reasonable terms. Such forward-looking information reflects the Company’s views with respect to future events and is subject to risks, uncertainties and assumptions, including the risks and uncertainties relating to the interpretation of exploration results, risks related to the inherent uncertainty of exploration and cost estimates and the potential for unexpected costs and expenses and those other risks filed under the Company’s profile on SEDAR+ at www.sedarplus.ca. While such estimates and assumptions are considered reasonable by the management of the Company, they are inherently subject to significant business, economic, competitive and regulatory uncertainties and risks. Factors that could cause actual results to differ materially from those in forward looking statements include, but are not limited to, continued availability of capital and financing and general economic, market or business conditions, failure to secure personnel and equipment for work programs, adverse weather and climate conditions, risks relating to unanticipated operational difficulties (including failure of equipment or processes to operate in accordance with specifications or expectations, cost escalation, unavailability of materials and equipment, government action or delays in the receipt of government approvals, industrial disturbances or other job action, and unanticipated events related to health, safety and environmental matters),risks relating to inaccurate geological assumptions, failure to maintain or obtain all necessary government permits, approvals and authorizations, failure to obtain or maintain surface access agreements or understandings from local communities, land owners or Indigenous groups, fluctuation in exchange rates, the impact of viruses and diseases on the Company’s ability to operate, capital market conditions, restriction on labour and international travel and supply chains, decrease in the price of lithium, cesium and other metals, decrease in the price of oil and gas, loss of key employees, consultants, or directors, failure to maintain or obtain community acceptance (including from the Indigenous communities), increase in costs, litigation, and failure of counterparties to perform their contractual obligations. The Company does not undertake to update forward‐looking statements or forward‐looking information, except as required by law.