Tulip Oil Holding acquires a 75% majority shareholding in Rhein Petroleum, an oil and gas subsidiary of Deutsche Rohstoff

Tulip Oil Holding B.V. ('Tulip Oil') has agreed to acquire a 55% shareholding in Rhein Petroleum GmbH ('Rhein Petroleum') from Deutsche Rohstoff AG ('Deutsche Rohstoff'). This will reduce Deutsche Rohstoff's shareholding in Rhein Petroleum from its current 80% to 25%. Rhein Petroleum GmbH's other shareholder Herzford International Limited is selling its entire 20% shareholding to Tulip Oil. Following these transactions, Tulip Oil will hold 75% and Deutsche Rohstoff 25% of Rhein Petroleum GmbH's shares.

Investment of more than 20 million Euro expected into Rhein Petroleum

Heidelberg. Tulip Oil Holding B.V. (‘Tulip Oil’) has agreed to acquire a 55% shareholding in Rhein Petroleum GmbH (‘Rhein Petroleum’) from Deutsche Rohstoff AG (‘Deutsche Rohstoff’). This will reduce Deutsche Rohstoff’s shareholding in Rhein Petroleum from its current 80% to 25%. Rhein Petroleum GmbH’s other shareholder Herzford International Limited is selling its entire 20% shareholding to Tulip Oil. Following these transactions, Tulip Oil will hold 75% and Deutsche Rohstoff 25% of Rhein Petroleum GmbH’s shares.

Deutsche Rohstoff AG will receive 6.7 million Euro in cash as well as up to 5.1 million Euro depending on the achievement of certain milestones. Deutsche Rohstoff AG will also be refunded its shareholder loan of 0.5 million Euro.

Tulip Oil (www.tulipoil.com) is an oil and gas company founded in July 2010. Its management consists of former senior Shell managers and the company is focusing its activities on Western Europe. Tulip Oil is co-owned and financed by Barclays Natural Resource Investments (www.bnri.com), a global private equity business focused on natural resource investment opportunities, together with Tulip Oil management.

Dr Titus Gebel, CEO of Deutsche Rohstoff AG, said: ‘We are very pleased to have found a partner that has excellent technical know-how and backing from a strong investor. We look forward to developing together the great potential existing in the licence areas of Rhein Petroleum in Southern Germany’.

Dr.Ir. Roelof Platenkamp, Executive Chairman of Tulip Oil, added: ‘We see substantial potential in the licence areas of Rhein Petroleum which fit perfectly into our business model. Both partners complement each other’s abilities and it is very important for us to continue to make use of the expertise of Rhein Petroleum’s former managers.’

Ir. Erik Steenken, who is CEO of Tulip Oil Holding and will be appointed as CEO and managing director of Rhein Petroleum following completion of the acquisition, explained: ‘We are convinced that through application of modern technology we will be able to extract oil and gas from former, abandoned fields as well as from yet to be discovered oil and gas accumulations which will boost the local economy. Tulip Oil’s management team brings a broad experience gained in Germany, Austria, and the Netherlands required to efficiently produce oil and gas in an environmentally sensitive way.’

For 2011 and 2012, Tulip Oil Holding and Deutsch Rohstoff have agreed to acquire extensive 3D-seismic over Rhein Petroleum’s licence areas in the Rhine Valley and in Bavaria. State of the art seismic interpretation will give a better understanding of the composition and structure of potentially oil and gas bearing layers and thereby significantly increases the chances of discovery. Over the last 20 years, 3D seismic technology has been considerably enhanced. However, it has barely been applied in the Rhein Petroleum licence areas as oil and gas exploration has only been carried out on a small scale in Southern Germany since the end of the 1980s.

After analysing the seismic results, Rhein Petroleum intends to commence drilling and test production from 2012 onwards. In the years to come, Rhein Petroleum and its shareholders are planning an investment of more than 20 million Euro.

Heidelberg and The Hague, 14 January 2011

Deutsche Rohstoff AG (Heidelberg, Germany), listed in the Entry Standard segment of the Frankfurt Stock Exchange, is establishing a new primary producer. The company’s focus is placed on gold, oil/gas and so called high tech metals such as indium, gallium, rare earth metals, cobalt. All projects are located in countries marked by political stability, the core area being Germany. The business concept is based on redeveloping deposits which have been well explored in the past. For more information please visit www.rohstoff.de.

Tulip Oil Holding B.V. (The Hague, Netherlands) is a company with a focus on oil and gas assets in Western Europe. The business was established in July 2010 by BNRI and Tulip Oil’s management to exploit opportunities in undeveloped oil and gas field discoveries. In addition, Tulip will look at late-life, mature assets, which still hold incremental value for a value conscious, technically astute, and innovative management team. For more information please visit www.tulipoil.com

Barclays Natural Resource Investments (London, UK) finds and partners with best-in-class operational management teams with specific expertise and significant experience and track-record within the global natural resources sector, primarily in upstream oil & gas, upstream mining, and power, including renewables BNRI is an active investor and insists on board representation in every transaction it completes. BNRI has offices in London, New York, Sydney and Dubai and is staffed with 21 investment professionals and a highly experienced advisory panel. For more information please visit www.bnri.com

Contact:

Dr. Thomas Gutschlag
Deutsche Rohstoff AG
+49 6221 87 100-0
info@rohstoff.de

Hilde van den Braak
Tulip Oil Holding B.V.
+31 70 250 0898
info@tulipoil.com

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