Primeline Energy Holdings Inc. has received disinterested shareholder approval for the loan memorandum with China Development Bank (CDB) regarding the project finance facility for the development of the LS36-1 gas field previously announced on November 8, 2012, at its Annual General Meeting (the "Meeting") held in Toronto on November 19, 2012. 99.88% of votes cast on the resolution to approve the Loan Memorandum were in favour, with shares owned directly or indirectly by Mr. Victor Hwang, Chairman and controlling shareholder of the Company, excluded from voting in accordance with the policies of the TSX Venture Exchange.

The Loan Memorandum is non-binding, and subject to the approval of CDB's credit committee. Conditions precedent to entry into a legally binding loan agreement as set out in the Loan Memorandum include approval of the ODP by the PRC National Development and Reform Commission, and a support letter from Mr. Hwang confirming his undertaking to arrange for additional funding to be made available to the extent necessary to ensure the completion of the Development, that the design production level specified in the ODP is achieved, and that the borrowers are able to timely repay principal and interest on the loan.

Tags: Primeline Energy Holdings Inc.