We refer to the announcements dated 14 July 2016, 9 August 2016, 10 August 2016, 30 August 2016, 2 September 2016 and 5 September 2016 in relation to the petition to wind up the Company (“Winding Up”) and the announcements dated 14 July 2016, 1 August 2016 and 26 August 2016 in relation to the claim by Law Asia Pte Ltd (“Law Asia”) (“Claim”).

Following the above, the Board of Directors of Sona Petroleum (“Board”) wishes to update that Law Asia’s Claim had been settled by a third party, without admission of liability on the part of Sona Petroleum and that Law Asia:

1.   has filed a Notice of Discontinuance of its Claim with no liberty to file afresh and with no order as to costs; and

2.  has withdrawn its opposition to the Winding Up with no liberty to file afresh and with no order as to costs.

In relation to the Winding Up, the High Court of Malaya at Kuala Lumpur (Commercial Division) (“High Court”) had on 15 September 2016 granted an order (“Order”) to wind up the Company and to appoint Lim San Peen (NRIC No. 580910-03-5477) and Datuk Mohd Anwar bin Yahya (NRIC No. 540731-03-5205), both of PricewaterhouseCoopers Advisory Services Sdn. Bhd., as the joint and/or several liquidators of the Company (collectively, “Liquidators”). The Company's solicitors are in the process of extracting the sealed Order from the High Court as soon as possible. 

The Board further wishes to inform the shareholders of the Company of the following:

1. pursuant to Section 228 of the Companies Act 1965 (“Act”), the Liquidators are required to notify the Registrar of Companies of their appointment and deposit with the Official               Receiver a security deposit before they are empowered to act. This will be done by the Liquidators upon extraction of the sealed Order;

2. subject to (1) above:

    (i)    the Liquidators will take over the administration of the affairs of the Company with powers provided under Section 236 of the Act. They will be subject to the supervision of the                High Court;

    (ii)   the powers of the Board to deal with the Company’s property or to manage its undertakings have ceased and the Board is in the course of preparing a statement of the                         Company’s affairs to be submitted to the Liquidators; and

    (iii)   the Liquidators intend to distribute the monies held in the cash trust account in two tranches as follows:

           (a) 97% of the monies to eligible shareholders by November 2016 ("First Distribution"); and

           (b) the balance 3% of the monies to eligible shareholders within 2 years from the First Distribution after deducting direct expenses related to the liquidation distribution and                         obtaining tax clearance

           The Liquidators will make separate announcements on the distribution of the monies held in the cash trust account; and

3.  as at the date of this announcement, the total gross amount of monies held in the cash trust account is RM543,251,582.23. Therefore, the gross distribution value is equivalent  to RM0.4938 per share (excluding tax and other distribution cost).

Any queries which the shareholders of the Company may have, should be directed at the Liquidators. The Liquidators’ office is at PricewaterhouseCoopers Advisory Services Sdn Bhd, Level 10, 1 Sentral, Jalan Rakyat, Kuala Lumpur Sentral, PO Box 10192, 50706 Kuala Lumpur, Malaysia and their contact number is 03 2173 1188.

This announcement is dated 19 September 2016.