Opinion

Energy Firm Acquiring Oil & Gas Assets Extends Closing and Option Dates


The company relayed the recent changes made to its existing agreements for Eagle Ford assets in South Texas.

Oracle Pump Jack

Oracle Energy Corp.'s (OEC:TSX.V; OECCF:OTC) wholly owned subsidiary Oracle Oil and Gas extended the dates of two existing agreements, one for its acquisition of Eagle Ford assets, the other for its purchase of mineral rights on adjoining acreage.

Regarding acquisition of the Eagle Ford assets, called the HBP assets, Oracle and a private owner agreed in an amendment to push back the closing date by six months, to March 29, 2019, from Sept. 28, 2018. They also agreed to delay the effective date to Jan. 1, 2019, from July 1, 2018. Pursuant to the amendment reflecting those changes, Oracle must deposit another $250,000 in cash before Oct. 31, 2018, which is to be applied toward the purchase price.

Earlier in the year, Oracle agreed to acquire a 100% working interest and a 74% net revenue interest in those HPB assets, which encompass 2,490 acres of oil and gas leases, six wells currently producing 80 barrels of oil equivalent per day, seven shut-in wells and the existing production infrastructure on the properties.

In other news, Oracle initiated an amendment to the May 2019 option agreement in which it agreed to acquire the mineral rights on 5,000 net acres adjoining the HBP assets. The recently signed amendment called for extending the period for the option to be exercised to Jan. 15, 2019.

That is contingent upon on three conditions. Oracle must make a $250,000 nonrefundable extension payment on or before Oct. 1, 2018, which the company says it has done; it must make a second $250,000 payment before Oct. 31, 2018, which the company says it will dp; and it must agree to an increase in lease payments per acre upon exercising the option.

Chairman and CEO Darrell L McKenna commented, "We continue to advance our plans on what we consider to be the best basin to operate, the Lower Eagle Ford oil window. The negotiations and the resultant amendments granted is a true testament in the deep-rooted relationships that we have built over the years from working in Texas. The team and I continue to work hard to bring this phenomenal project to its full potential and remain committed to spudding the first well in the first quarter of 2019."



New service from OilVoice
Trip Shepherd is for companies who need to track their staff in areas of risk.
It's free to use, so we invite you to try it.

Visit source site

https://streetwisereports.com/article/2018/10/11/e...

Streetwise ReportsEnergyEagle FordTexasonshoreUSAUnited StatesOracle EnergyTSX VentureOracle Oil and Gas

More items from oilvoice


Cyber Security Experts Unite to Protect Europe’s Critical Industries

CS4CA Summit Returns to London this October Staying abreast of fast-paced industry developments is crucial for cyber security professionals. And while one can learn a lot from publications and social media, it's hard to beat the value of insights gained first-hand from peers. This is why 150+ IT ...

OilVoice Press - OilVoice


Posted 13 days agoPress > cybereurope

Africa E&P Summit

The organisers of the Africa E&P Summit are bringing together Africa's leading exploration companies and governments, just one of the many reasons why you should be attending frontier's event that they are organising and hosting in London at the IET: Savoy Place, 22-23 May. Over 200 key senior exec ...

OilVoice Press - OilVoice


Posted 4 months agoPress > Africasummitoil summit +2

Equinor Deepens in Offshore Wind in Poland

Equinor has exercised an option to acquire a 50 % interest in the offshore wind development project Bałtyk I in Poland from Polenergia. This transaction is a follow-up of the agreement between the two companies which came into force in May 2018 , by which Equinor acquired a 50 % inter ...

OilVoice Press - OilVoice


Posted 9 months agoPress > EquinorEquinor EnergyPoland +2

Nigeria has highest capex on crude and natural gas projects in sub-Saharan Africa Over Next Seven Years, says GlobalData

Nigeria accounts for more than 34% of the proposed capital expenditure (capex) on planned and announced crude and natural gas projects in the sub-Saharan Africa over the period 2018–2025, according to GlobalData , a leading data and analytics company. The company's report: ‘H2 2018 Production ...

OilVoice Press - OilVoice


Posted 9 months agoOpinion > GlobalDataNigeriaCrude +5

CNOOC Signs Strategic Cooperation Agreements with 9 International Oil Companies

HONG KONG, Dec. 18, 2018 /PRNewswire/ -- CNOOC Limited (the "Company", SEHK: 00883, NYSE: CEO, TSX: CNU) announced today that its parent company, China National Offshore Oil Corporation (CNOOC), has signed Strategic Cooperation Agreements with 9 international oil companies including: Chevron, Conoco ...

OilVoice Press - OilVoice


Posted 9 months agoPress > CNOOCChina National Offshore Oil CorporationChevron +11
All posts from oilvoice