Petro Matad (PRTDF)

[plumo]

Petro Matad: Mongolia Government Approves Farmout to BG Group

LONDON-- Oil explorer Petro Matad Ltd (MATD.LN) Thursday said the Government of Mongolia has formally approved the farmout of a portion of Petro Matad's interests in Blocks IV and V in Central Mongolia to sector giant BG Group PLC (BG.LN).

The transaction remains subject to one further condition from BG, Petro Matad said, adding that its cash reserves are low, but that it is "highly confident that the remaining condition to the farm-out will be resolved before these reserves are depleted."

-Write to Rory Gallivan at [e-mail]; Twitter: @RoryGallivan