SOCO International plc ("SOCO" or "the Company")

SOCO is an international oil and gas exploration and production company, headquartered in London traded on the London Stock Exchange and a constituent of the FTSE 250 Index. The Company has continuing interests in Vietnam, Yemen, Libya and Thailand with ongoing production operations in Yemen.

SOCO announces the completion of the sale of its wholly owned subsidiaries holding the entirety of its interests in the Tamtsag Basin in Mongolia to Daqing Oilfield Limited Company, a subsidiary of PetroChina, as set out in its announcement of 1 April 2005. The transaction was approved by SOCO shareholders at an EGM on 10 May 2005.

Following completion of the sale, the Company has received the first tranche of cash consideration of approximately US$ 29.6 million, following the applicable settlement adjustments. As agreed the second tranche of cash consideration of US$10 million has been paid into an escrow account for release to the Company in 18 months contingent upon the conditions as earlier announced. A subsequent payment of up to US$53 million will be tied to future production from the divested interests in excess of 27.8 million barrels.

With the receipt of the first tranche cash consideration, SOCO currently has a net cash balance of approximately US$90 million.

18 August 2005


ENQUIRIES:

SOCO International plc
Roger Cagle
Deputy Chief Executive and Chief Financial Officer
Tel: 020 7747 2000

Pelham Public Relations
James Henderson Tel: 020 7743 6673
Charles Vivian Tel: 020 7743 6672
 
 
 
 
 
 
 
 

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