Palisades Petroleum, Baltimore, Md., (Pink Sheets: PAPT) has cancelled its merger with Strat Petroleum Ltd. (Pink Sheets: SPRL) due to failed negotiations and timing.

Strat has oil and gas opportunities in Russia and former CIS countries. Palisades planned to merge with Strat Petroleum with Strat as the surviving entity.

Palisades reports “greater opportunities” have arisen for contracts in the West African and Asian petroleum industry that shall be vended into Palisades from Durst Fund LLC.

“The aforementioned planned acquisition of West African and Asian petroleum distribution contracts from Durst Fund LLC would not have been possible had there been further delay with the merger with Strat which would have resulted in a correspondingly smaller benefit,” says chairman Makusha Gozo.