Sea Dragon Energy Inc. has entered into a share purchase agreement (the "Agreement") dated September 9, 2013 with a private company (the "Purchaser") to sell all of the issued and outstanding shares of its indirect wholly-owned subsidiary Sea Dragon Energy (Kom Ombo) Ltd. for cash consideration of US$6 million, to be paid at closing, plus adjustments in favour of Sea Dragon estimated to be approximately US$1.2 million, to be paid in four equal monthly installments, commencing the month following closing (the "Disposition").

Sea Dragon owns a 50% participating interest in the Kom Ombo Concession which is located in the southern part of the Arab Republic of Egypt, approximately 1000 kms south of Cairo. The concession, which was acquired in April of 2010, consists of 2 producing fields, Al Baraka and West Al Baraka produces approximately 412 BOPD of which 206 is net to Sea Dragon. Management estimates of the concession reserves as of year-end 2012 were approximately 1.3 mmbbls of which 0.65 mmbbls was net to the Company.

Tags: Sea Dragon Energy Inc.