Simba Energy Inc. has terminated negotiations with Ajax Exploration Ltd. ('Ajax') of a definitive farmout agreement in respect of a farmout of a 66% interest and operatorship of the Company's 100% owned Block 2A, onshore Kenya.

The parties originally executed a memorandum of understanding which contemplated that Ajax would carry out additional exploration and drill one exploration well. The parties subsequently attempted to complete negotiations for a definitive farmout agreement but were unable to come to agreement on an acceptable program. Accordingly, both parties have mutually decided to terminate negotiations.

Tags: Simba Energy Inc.