PDP Testing And Sale Of Argentina Assetts

Petrolifera provides update on La Pinta testing program


12:53 EDT Tuesday, June 16, 2009

CALGARY, June 16 /CNW/ - Petrolifera Petroleum Limited (PDP - TSX) announces today that to date it has been unable to test prospective zones in the La Pinta well on its Sierra Nevada License in Colombia, due to both the late arrival of certain equipment and certain mechanical failures encountered while running the test assembly. These issues have now largely been overcome and it is now anticipated testing will commence in the next several days and continue for an indeterminate period until completed. Events to date in no way reflect on the possible outcome of the testing program as prospective zones have not yet been perforated.

We also wish to reaffirm that the deadline for submission of bids for the company's Argentinean operations was, as previously announced, extended until July 10, 2009.


Petrolifera is a Calgary-based crude oil and natural gas exploration, development and production company active in Argentina, Peru and Colombia.


FORWARD LOOKING INFORMATION:


This press release contains forward-looking

Commodity stocks lead TSX lower; N.Y. little changed on economic concerns

Commodity stocks lead TSX lower; N.Y. little changed on economic concerns

By Malcolm Morrison – 48 minutes ago

TORONTO — The Toronto stock market was lower Thursday morning as investors remain cautious after four losing sessions and took in news that Canada's annual inflation rate fell to virtually zero last month.

The S&P/TSX composite index moved 18.3 points lower to 10,047.8 after a selloff led by the commodities sector pushed the main index down 241 points on Wednesday.

The Canadian dollar rose 0.21 cent to 88.63 cents US after Statistics Canada reported the overall annual inflation stood at 0.1 per cent in May. Prices were held back by a plunge of almost 25 per cent year to year in the price of gasoline.

But overall prices were 0.7 per cent higher last month, led by the cost of food, which continues to remain the leading force behind whatever remains of inflation in Canada.

Food costs rose 6.4 per cent last month from a year ago.

The Toronto energy sector was down 0.65 per cent as the July crude contract on the New York Mercantile Exchange stepped back 27 cents to US$70.76. Canadian Natural Resources (TSX:CNQ) lost 84 cents to $58.06.

The Toronto stock market is coming off four straight days of losses that carved 648 points, or almost 6.5 per cent, from the main index. The market lost almost 250 points on Wednesday.

The TSX had soared as much as 40 per cent during a rally that began in early March. But investors have turned cautious on fears a hoped-for economic turnaround will not be in place by the end of the year.

Commodity stocks have been the big decliner as oil prices in particular have weakened from seven month highs of US$73 a barrel.

The TSX Venture Exchange was up 2.76 points to 1,18.13.

New York markets have also been moving lower this week and that trend continued Thursday but investors were pleased with data showing the overall number of people drawing unemployment benefits fell for the first time since early January.

New York's Dow Jones industrial average moved up 5.2 points to 8,502.4 following a flat close as the government reported that total unemployment insurance rolls fell last week by 148,000 to 6.76 million, the largest drop in more than seven years.

The Nasdaq composite index moved 8.13 points lower to 1,799.93 while the S&P 500 index added 1.1 points to 911.8.

Investors are awaiting testimony from Treasury Secretary Timothy Geithner on the White House's proposed overhaul of the nation's financial regulatory system.

Geithner is expected to testify before Senate and House committees on the proposals outlined by President Barack Obama on Wednesday. The plan would give new powers to the Federal Reserve to oversee the entire financial system and would also create a consumer protection agency to guard against credit and other abuses.

The base metals sector was 0.8 per cent higher as the July copper contract moved down two cents to US$2.24 a pound.

Teck Resources Ltd. (TSX:TCK.B) shares were up 43 cents to $17.75 after it said Wednesday it has signed a deal to sell a one-third interest in its Waneta Dam in southeastern B.C. to BC Hydro for $825 million. The Vancouver-based mining company said it expects to book a pre-tax gain of $625 million on the sale that will be used to reduce debt.

The August bullion contract on the Nymex was up $3.50 to US$939.50 an ounce but the gold sector eased 1.3 per cent.

Iamgold Corp. (TSX:IMG), a Toronto-based miner with gold miner with projects in West Africa and specialty mineral output from Quebec, says it expects higher production and lower costs for this year. The company now projects production of about 910,000 to 920,000 ounces of gold, an increase of 30,000 to 40,000 ounces over previous guidance and its shares fell 15 cents to $10.73.

In other corporate news, pilots at WestJet Airlines Ltd. (TSX:WJA) have voted 89 per cent in favour of a new four-year contract, the company said Wednesday. Terms of the deal were not immediately available. Its shares were five cents higher at $10.79.

Shares in Magellan Aerospace (TSX:MAL) surged 30 cents or 17 per cent to $2.05 after it said it has been awarded a US$60 million contract to supply machined titanium components for three variants of the F-35 Lightening II fighter jet.

Asian stocks suffered their fourth straight day of losses Thursday amid a growing belief the markets were due for a reality check after the recent surge. European markets weakened in early trade.

Japan's benchmark Nikkei 225 stock average fell 1.4 per cent and Hong Kong's Hang Seng dropped 1.7 per cent.

London's FTSE 100 index declined 0.4 per cent, the German DAX inched up 0.6 per cent while the Paris CAC 40 added 0.15 per cent.

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