Far East Energy Corporation Announces Tentative Term Sheet Arranged for an Equity Placement with the International Finance Corporation.HOUSTON -- Far East Energy Corporation (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB:FEEC FEEC Faculty of Electrical Engineering and Communication ) announced that it has agreed to a tentative term sheet for a proposed equity investment of $15 million by the International Finance Corporation (IFC (Internet Foundation Classes) A class library from Netscape that provides an application framework and graphical user interface (GUI) routines for Java programmers. IFC was later made part of the Java Foundation Classes (JFC). See JFC, AFC and AWT. See also ICF. ), the private sector arm of the World Bank Group based in Washington, D.C. The financing would support FEEC's coal bed methane projects in China's Shanxi and Yunnan Provinces. The final terms and closing of the offering are subject to entering into definitive documentation and approval of the boards of directors of IFC and Far East Energy as well as other requirements. Closing is anticipated to occur prior to the end of the third calendar quarter of 2007. The IFC has also indicated that it is interested in considering future long-term project financing Project financing A form of asset-based financing in which a firm finances a discrete set of assets on a stand-alone basis. . In addition to this potential project financing, IFC, as a member of the World Bank Group, can potentially render political risk mitigation, guidance on developing a long term strategy to leverage potential carbon finance opportunities under the Kyoto Protocol Kyoto Protocol: see global warming. , and assistance on other aspects of Far East Energy's activities in China. About the IFC IFC, a member of the World Bank Group, fosters sustainable economic growth in developing countries by financing private sector investment, mobilizing capital in the international financial markets, and providing advisory services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal to businesses and governments. IFC's vision is that poor people have the opportunity to escape poverty and improve their lives. In FY06, IFC committed $8.3 billion, including syndications, to 284 investments in 66 developing countries. For more information, please visit www.ifc.org Far East Energy Corporation Far East Energy's operations in China include the Shouyang and Qinnan Blocks, which are part of 1,057,650 acre coalbed methane Coalbed methane is a form of natural gas extracted from coal beds. In recent decades it has become an important source of energy in United States, Canada, and other countries. (CBM CBM Commodore Business Machines CBM Coalbed Methane CBM Christoffel Blindenmission CBM Condition Based Maintenance CBM Confidence-Building Measures CBM Curriculum Based Measurement (education) CBM Cubic Meter ) project in Shanxi Province that Far East Energy holds under farmouts from ConocoPhillips, Far East Energy also has a 264,863 acre CBM project in Yunnan Province. Based in Houston, Texas, with offices in Beijing, Kunming, and Taiyuan City, China, Far East Energy is focused on CBM exploration and development in China through its agreements with ConocoPhillips and China United Coalbed Methane Company, Ltd. (CUCBM). Statements contained in this press release that state the intentions, hopes, beliefs, anticipations, expectations or predictions of the future of Far East Energy Corporation and its management are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. It is important to note that any such forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties. Actual results could differ materially from those projected in such forward-looking statements. Factors that could cause actual results to differ materially from those projected in such forward-looking statements include: the preliminary nature of well data, including permeability and gas content, and commercial viability of the wells; risk and uncertainties associated with exploration, development and production of oil and gas; drilling and production risks; our lack of operating history; limited and potentially inadequate cash resources; expropriation The taking of private property for public use or in the public interest. The taking of U.S. industry situated in a foreign country, by a foreign government. Expropriation is the act of a government taking private property; Eminent Domain is the legal term describing the and other risks associated with foreign operations; anticipated pipeline construction and transportation of gas; matters affecting the oil and gas industry generally; lack of availability of oil and gas field goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. ; environmental risks; changes in laws or regulations affecting our operations, as well as other risks described in our Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. and subsequent filings with the Securities and Exchange Commission. Far East Energy Corporation has filed a registration statement and a prospectus with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and the other documents Far East Energy Corporation has filed with the SEC for more complete information about the company and this offering, including the prospectus dated May 8, 2006 and any prospectus supplement thereto. An offering may be made only by means of a prospectus and a related prospectus supplement. You may get these documents for free by visiting EDGAR Edgar or Eadgar (both: ĕd`gər), 943?–975, king of the English (959–75), son of Edmund, king of Wessex. In 957 the Mercians and Northumbrians rebelled against Edgar's brother Edwy and chose Edgar as their king. on the SEC website at www.sec.gov. |
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