CGX Energy Inc. announced that its wholly-owned subsidiary, CGX Resources Inc., has entered into an agreement that may lead to the farmout of 5% of its 25% participating interest in the Georgetown block in Guyana to Repsol Exploración S.A.

The agreement is subject to government of Guyana approval. If approved, the revised interest in the Georgetown petroleum prospecting license would be Repsol Exploración S.A., operator, 20%; CGX Resources Inc., 20%; Tullow Oil plc, 30%; and YPF Guyana Ltd., 30%.