SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 of 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): FEBRUARY 3, 1997
FORTUNE PETROLEUM CORPORATION
(Exact name of Registrant as specified in its charter)
DELAWARE 1-12334 95-4114732
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
515 W. GREENS ROAD, SUITE 720, HOUSTON, TEXAS 77067
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (281) 872-1170
Registrant's telecopier number, including area code: (281) 872-1213
N/A
(Former name or former address, if changed since last report)
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ITEM 5. OTHER EVENTS
DISMISSAL OF PENDING LITIGATION
On February 3, 1997, the Delaware Federal District Court, presiding over the
litigation involving the Registrant and one of the purchasers in Registrant's
December 1995 offering under Regulation S, signed an order dismissing the case
without prejudice and returning all shares of Registrant's common stock, which
had been held in escrow pending a resolution of the case, to Registrant. Each
side was directed to bear its own costs and fees, and no other award was made.
INABILITY TO REACH AGREEMENT ON ACQUISITION OF INTEREST
Registrant suspended discussions with National Energy Group, Inc. ("NEG"), on
February 5, 1997, over the acquisition of approximately 11.5% of the leases
purchased by NEG from Panaco, Inc., and covering portions of the Bayou Sorrel
Field within the parties' East Bayou Sorrel area of mutual interest in Iberville
Parish, Louisiana. The parties were unable to reach an agreement as to a
mutually acceptable method of handling production from the field through
treatment and transportation facilities which NEG elected to exclude from the
transaction.
Registrant had previously stated its intention to use a portion of the
proceeds from a private placement of common stock, completed in January 1997, to
fund this acquisition. Those proceeds will now be used for Registrant's other
planned acquisitions and exploration activities, which may include the purchase
of an additional interest in its East Bayou Sorrel Field, currently scheduled to
close by February 28, 1997.
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SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
FORTUNE PETROLEUM CORPORATION
BY: /s/ J. MICHAEL URBAN
J. Michael Urban
Vice President
and Chief Financial Officer
Date: February 18, 1997
