Posting of circular

24 May 2006 15:42

Island Oil and Gas PLC24 May 2006 24 May 2006 ISLAND OIL & GAS PLC Posting of Circular Island Oil & Gas plc ("Island" or "the Company") today confirms that further toits announcement on 16 May 2006 regarding a strategic investment in Island by Platinum Petroleum Ltd of up to Stg£21million, the Company has now posted a circular to its shareholders providing details of the proposed investment. Platinum currently holds 15,000,000 ordinary shares in Island, amounting toapproximately 23% of the current issued share capital of 65,141,000 ordinaryshares. Following completion of all elements of Platinum's proposed investmentin Island, that shareholding may rise to 41.11%. In order to facilitate theinvestment, Island applied to the Irish Takeover Panel for a waiver from anyobligation on the part of Platinum to make a general offer to all shareholdersthat might otherwise arise under Rule 9 of the Irish Takeover Rules ("theWaiver"). The Takeover Panel has granted the Waiver subject to the approval ofthe Independent Shareholders. The circular, which has been sent to all shareholders, details an ordinary resolution asking the independent shareholders of Island to approve the Waiver, and contains a notice convening an Extraordinary General Meeting ("EGM") of shareholders at the Conrad Hotel, Dublin at 11.30am on 9 June 2006, at which approval for the Waiver will be sought. Copies of the circular will be availablefor inspection during normal business hours on any weekday (public holidays excepted) at the Company's registered office at: 27 Fitzwilliam Square, Dublin 2. The Directors consider the investment by Platinum and the Waiver to be in thebest interests of the Company and the independent shareholders as a whole.Accordingly, the Directors unanimously recommend that shareholders vote infavour of the Waiver Resolution to be proposed at the EGM as they intend to door procure be done in respect of their own beneficial holdings, which amount inaggregate to 7,409,461 existing Ordinary Shares, representing approximately11.4% of the existing issued share capital. Enquiries: Lisa J Newman MCIPR MIRSNewman Consulting Tel: +44 (0)1252 878682 Ends. This information is provided by RNS The company news service from the London Stock Exchange