Niko Provides Corporate Update

CALGARY, AB—(Marketwired – August 31, 2017) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) provides the following update:

As disclosed in its August 11, 2017 press release announcing its operating and financial results for the quarter ended June 30, 2017, in order to fund the projected cash requirements of the Company's assets in India and its other cash requirements over the next few months, the Company requested consent from the Lenders under its amended and restated facilities agreement to use a portion of the funds in a restricted cash reserve account. A decision from the Lenders on this request is now expected before the end of September 2017. An adverse decision from the Lenders will have a material adverse impact on the Company's ability to fund its operations and is likely to lead the Company to take steps which could be adverse to all stakeholders.

Forward–Looking Information

Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the Company's ability to receive consent from the Lenders for the release of funds from a restricted cash reserve account and such funds being sufficient to fund the projected cash requirements of the Company's assets in India and its other cash requirements over the next few months. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company, including that the consent of the Lenders can be obtained on a timely basis and the expected cash flow of the Company over the next few months. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the risks discussed under the heading “Risk Factors” in the Company's Annual Information Form for the year ended March 31, 2017 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.

Niko Provides Corporate Update

CALGARY, AB—(Marketwired – August 24, 2017) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) provides the following update:

As previously disclosed, in May 2016, a writ petition was filed before the Supreme Court of Bangladesh, High Court Division (the “Court”) in Dhaka by a citizen of Bangladesh (the “Petitioner”) against (i) the Government of Bangladesh (the “GOB”), (ii) Bangladesh Oil, Gas and Mineral Corporation (“Petrobangla”), (iii) Bangladesh Petroleum Exploration & Production Company Limited (“Bapex”), (iv) Niko Resources (Bangladesh) Ltd. (“NRBL”), the Company's indirect subsidiary, and (v) Niko. The writ petition relates to the Feni Gas Purchase and Sales Agreement (the “Feni GPSA”) between Petrobangla and NRBL for the Feni gas field and the Joint Venture Agreement (the “JVA”) between Bapex and NRBL for the Feni and Chattak fields in Bangladesh, which agreements are currently the subject of previously disclosed arbitration disputes to be decided upon by a tribunal panel constituted under the rules of the International Centre for Settlement of Investment Disputes (“ICSID”).

In the Court today, the presiding judge announced its decision in favor of the Petitioner and declared:

  • the Feni GSPA and the JVA to be without legal authority and of no legal effect; and
  • the assets of NRBL and Niko, including its shareholding in the indirect subsidiary that holds a 60 per cent interest in the Block 9 production sharing contract (“Block 9 PSC”), are seized to provide adequate compensation for the blowouts that occurred in 2005 in the Chattak field in Bangladesh.

An application has been filed to receive the full written judgement of the Court.

Niko believes that ICSID has exclusive jurisdiction to decide all disputes relating to the Feni GPSA and the JVA and the Block 9 PSC provides for ICSID arbitration as the default dispute resolution mechanism to decide disputes relating to the Block 9 PSC. Niko will vigorously pursue its rights in this matter.

For further information, please visit the Company's website at www.nikoresources.com.

Forward–Looking Information

Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the Company's view of ICSID's jurisdiction in respect of disputes concerning the Feni GPSA, the JVA and Block 9 PSC and the Company's plans to pursue its rights in this matter. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. There can be no assurances that the Company will be able to successfully pursue its rights in respect of the writ petition. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the risks discussed under the heading “Risk Factors” in the Company's Annual Information Form for the year ended March 31, 2017 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.

Niko Provides Corporate Update

CALGARY, AB—(Marketwired – August 24, 2017) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) provides the following update:

As previously disclosed, in May 2016, a writ petition was filed before the Supreme Court of Bangladesh, High Court Division (the “Court”) in Dhaka by a citizen of Bangladesh (the “Petitioner”) against (i) the Government of Bangladesh (the “GOB”), (ii) Bangladesh Oil, Gas and Mineral Corporation (“Petrobangla”), (iii) Bangladesh Petroleum Exploration & Production Company Limited (“Bapex”), (iv) Niko Resources (Bangladesh) Ltd. (“NRBL”), the Company's indirect subsidiary, and (v) Niko. The writ petition relates to the Feni Gas Purchase and Sales Agreement (the “Feni GPSA”) between Petrobangla and NRBL for the Feni gas field and the Joint Venture Agreement (the “JVA”) between Bapex and NRBL for the Feni and Chattak fields in Bangladesh, which agreements are currently the subject of previously disclosed arbitration disputes to be decided upon by a tribunal panel constituted under the rules of the International Centre for Settlement of Investment Disputes (“ICSID”).

In the Court today, the presiding judge announced its decision in favor of the Petitioner and declared:

  • the Feni GSPA and the JVA to be without legal authority and of no legal effect; and
  • the assets of NRBL and Niko, including its shareholding in the indirect subsidiary that holds a 60 per cent interest in the Block 9 production sharing contract (“Block 9 PSC”), are seized to provide adequate compensation for the blowouts that occurred in 2005 in the Chattak field in Bangladesh.

An application has been filed to receive the full written judgement of the Court.

Niko believes that ICSID has exclusive jurisdiction to decide all disputes relating to the Feni GPSA and the JVA and the Block 9 PSC provides for ICSID arbitration as the default dispute resolution mechanism to decide disputes relating to the Block 9 PSC. Niko will vigorously pursue its rights in this matter.

For further information, please visit the Company's website at www.nikoresources.com.

Forward–Looking Information

Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the Company's view of ICSID's jurisdiction in respect of disputes concerning the Feni GPSA, the JVA and Block 9 PSC and the Company's plans to pursue its rights in this matter. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. There can be no assurances that the Company will be able to successfully pursue its rights in respect of the writ petition. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the risks discussed under the heading “Risk Factors” in the Company's Annual Information Form for the year ended March 31, 2017 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.

Niko Provides Corporate Update

CALGARY, AB—(Marketwired – June 27, 2017) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) provides the following corporate update:

Minimum Contracted Quantities Dispute — India

As previously disclosed, in accordance with previous contracts for natural gas sales from the Hazira field in India, the Company had committed to deliver certain minimum quantities. For the period ended December 31, 2007, the Company was unable to deliver the minimum quantities to certain customers and the Company's joint operating partner in the Hazira field delivered the shortfall volumes from other gas sources. The Company's joint operating partner filed arbitration claims for losses incurred as a result of the delivery of these shortfall volumes.

In June 2017, the arbitration tribunal issued an award in favour of the Company's joint operating partner in an amount of approximately $17.8 million along with the interest thereon at the rate of 10% per annum from 2012 to the date of award (approximately $9.7 million) plus further interest at 10% per annum from the date of the award until payment. The Company plans to appeal the award in the Indian court system under the rules governing Indian arbitration.

Forward–Looking Information

Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the Company's plans to appeal the award of the arbitration tribunal. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. The failure by the Company to appeal the award of the arbitration tribunal or otherwise prevail against the claim of its joint operating partner in the Hazira field could have a material adverse impact on the Company. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, some of which are not within the control of the Company. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, unforeseen litigation and the risks discussed under “Risk Factors” in the Company's Annual Information Form for the year–ended March 31, 2017 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control.

The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.

Niko Provides Corporate Update

CALGARY, AB—(Marketwired – May 24, 2016) – Niko Resources Ltd. (“Niko” or the “Company”)(TSX: NKO) provides the following updates.

Commencement of Consent Solicitation
The Company now expects that it will, on or about May 31, 2016, commence the solicitation of consents to amend the trust indenture governing its 7% senior unsecured convertible notes due December 31, 2017 so as to give effect to its previously disclosed strategic plan of maintaining its core assets for a period of time with the goal of enhancing the value of such assets for the benefit of all of the Company's stakeholders. For additional information, noteholders should refer to the Company's press release of March 24, 2016.

Diamond Settlement Agreement
As previously disclosed, in complying with the terms of the facilities agreement (as amended) governing the Company's senior term loan facilities, the Company is restricted from making any payments under the terms of the Diamond Settlement Agreement, and, as such, continues to be in default of certain obligations under the Diamond Settlement Agreement. On June 30, 2015, the Company did not make a scheduled payment of US$5 million under the terms of the Diamond Settlement Agreement and in July, 2015, Diamond filed suit in a court in Texas seeking to enforce the payment and other obligations. On September 30, 2015, December 31, 2015, and March 31, 2016, the Company did not make additional scheduled payments totaling US$15 million. The Texas court has issued a summary judgment in the amount of $20 million plus interest and legal costs. The Company is currently considering the implications of this judgement and evaluating all its options, including an appeal. For further information regarding this matter, please see the disclosure in the Company's MD&A for the three‐ month period ended December 31, 2015, filed on the Company's SEDAR profile at www.sedar.com.

Forward‐Looking Information
Certain statements in this press release constitute forward‐looking information. Specifically, this press release contains forward looking information relating to the ability of the Company to successfully complete its strategic plan. Such forward‐looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. There can be no assurances that the Company will be able to obtain the required approvals to successfully complete its strategic plan on a timely basis or to reach a satisfactory agreement with the parties to the Diamond Settlement Agreement. The failure to meet or satisfy any of the foregoing is expected to have a material adverse impact on the Company and could significantly impair or entirely erode the value of securityholders' interest in the Company. Undue reliance should not be placed on forward‐looking information. Such forward‐looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward‐looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the ability of the Company to obtain the requisite consents from noteholders, and the consent of all the lenders to the agreements and documents, needed to give effect to the Company's strategic plan, the ability of the Company to obtain regulatory approval of the transactions contemplated herein, the ability of the Company to reach an acceptable resolution with the parties to the Diamond Settlement Agreement and the risks discussed under “Risk Factors” in the Company's Annual Information Form for the year‐ended March 31, 2015 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

The forward‐looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward‐looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.

Niko Provides Corporate Update

CALGARY, AB—(Marketwired – May 16, 2016) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) announces that a writ petition has been filed before the Supreme Court of Bangladesh, High Court Division (the “Court”) in Dhaka by a citizen of Bangladesh against (i) the Government of Bangladesh (the “GOB”), (ii) Bangladesh Oil, Gas and Mineral Corporation (“Petrobangla”), (iii) Bangladesh Petroleum Exploration & Production Company Limited (“Bapex”), (iv) Niko Resources (Bangladesh) Ltd. (“NRBL”), the Company's indirect subsidiary, and (v) Niko. The writ petition relates to the Feni Gas Purchase and Sales Agreement (the “Feni GPSA”) between Petrobangla and NRBL for the Feni gas field and the Joint Venture Agreement (the “JVA”) between Bapex and NRBL for the Feni and Chattak fields in Bangladesh, which agreements are, as previously disclosed, currently the subject of arbitration disputes to be decided upon by a tribunal panel constituted under the rules of the International Centre for Settlement of Investment Disputes (“ICSID”).

Pending resolution of the writ petition, the Court has stayed for a period of one month (ending June 9th, 2016) any kind of benefit given by the GOB, Petrobangla or Bapex to NRBL or Niko or any of their affiliates or subsidiaries, including payments made for gas supplied from the Block 9 PSC in which a separate indirect subsidiary of the Company owns a 60 percent interest. This decision of the Court was granted without any notice to NRBL or Niko.

Niko intends to respond to the writ petition and stay and believes that ICSID has exclusive jurisdiction to decide all disputes relating to the Feni GPSA and the JVA. Niko will therefore vigorously pursue its rights in this matter.

Forward–Looking Information

Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the Company's view of ICSID's jurisdiction in respect of disputes concerning the GPSA and the JVA. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. There can be no assurances that the Company will be able to successfully pursue its rights in respect of the writ petition. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the process and future determinations of the Court, and the risks discussed under the heading “Risk Factors” in the Company's Annual Information Form for the year–ended March 31, 2015 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.

Niko Provides Corporate Update

CALGARY, AB—(Marketwired – April 25, 2016) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) provides the following updates.

100% Support of Strategic Plan by Lenders
On March 14, 2016, the Company announced that it had executed a support agreement with its institutional lenders holding approximately 85% of the senior term loan facilities in support of the Company's previously disclosed strategic plan of maintaining its core assets for a period of time with the goal of enhancing the value of such assets for the benefit of all of the Company's stakeholders. The Company is pleased to announce that it has now received executed support agreements from 100% of its institutional lenders. 

Commencement of Consent Solicitation
The Company now expects that it will, on or about May 2, 2016, commence the solicitation of consents to amend the trust indenture governing its 7% senior unsecured convertible notes due December 31, 2017 so as to give effect to its previously disclosed strategic plan. For additional information, noteholders should refer to the Company's press release of March 24, 2016.

Diamond Settlement Agreement
As previously disclosed, in complying with the terms of the facilities agreement (as amended) governing the Company's senior term loan facilities, the Company is restricted from making any payments under the terms of the Diamond Settlement Agreement, and, as such, continues to be in default of certain obligations under the Diamond Settlement Agreement. On June 30, 2015, the Company did not make a scheduled payment of US$5 million under the terms of the Diamond Settlement Agreement and in July, 2015, Diamond filed suit in a court in Texas seeking to enforce the payment and other obligations. On September 30, 2015, December 31, 2015, and March 31, 2016, the Company did not make additional scheduled payments totaling US$15 million. In April, 2016, the court in Texas issued an order granting Diamond's motion for summary judgment, but did not specify the amount of the judgment. The Company is currently considering the implications of the order. Representatives of the Company are in discussions with parties to the Diamond Settlement Agreement in order to seek to resolve this matter. For further information regarding this matter, please see the disclosure in the Company's MD&A for the three–month period ended December 31, 2015, filed on the Company's SEDAR profile at www.sedar.com.

Forward–Looking Information
Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the ability of the Company to successfully complete its strategic plan and the possibility of resolving the dispute in connection with the Diamond Settlement Agreement. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. There can be no assurances that the Company will be able to obtain the required approvals to successfully complete its strategic plan on a timely basis or to reach a satisfactory agreement with the parties to the Diamond Settlement Agreement. The failure to meet or satisfy any of the foregoing is expected to have a material adverse impact on the Company and could significantly impair or entirely erode the value of securityholders' interest in the Company. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the ability of the Company to obtain the requisite consents from noteholders, and the consent of all the lenders to the agreements and documents, needed to give effect to the Company's strategic plan, the ability of the Company to obtain regulatory approval of the transactions contemplated herein, the ability of the Company to reach an acceptable resolution with the parties to the Diamond Settlement Agreement and the risks discussed under “Risk Factors” in the Company's Annual Information Form for the year–ended March 31, 2015 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.

The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.