Lundin Petroleum Acquires Valkyries Petroleum for US$700M

On August 1, 2006, Lundin Petroleum AB, a Swedish independent oil and gas exploration and production company, acquired all of the outstanding shares of Valkyries Petroleum Corp., an upstream oil and gas company with exploration and producing interests in Russia, in exchange for Lundin Petroleum shares in an all share transaction. Valkyries shareholders received one Lundin Petroleum share for each Valkyries common share held. The transaction values Valkyries at approximately US$700 million.

Lundin Petroleum was represented in Canada by Cassels Brock & Blackwell LLP with a team that includes John Craig and Mark Bennett (mining and securities), Jay King (securities) and Chris Norton (tax) and in Sweden by Linklaters with a team that included Erik Nerpin, Lisa Edblom and Emma Lenné. Valkyries was represented by McCullough O'Connor Irwin LLP with a team that included Kevin Hisko and Jonathan McCullough. The special committee of the Valkyries board of directors was represented by Bob Wooder of Blake, Cassels & Graydon LLP.