Sefton Signs PSA with Cholla
Sefton has signed a binding conditional purchase and sale agreement with Cholla Production.
The assets to be acquired from Cholla are in Leavenworth County Kansas and include acreage (leases), wellbores, equipment and technical data in close proximity to the Cholla Pipeline which was acquired by Sefton in December 2010.
Subject to final due diligence, which is currently taking place, the purchase price is US $200,000 USD, which will be satisfied from existing resources. It is expected that the conditional aspects of the Agreement will be finalized by mid April with completion taking place by the end of April 2011.
Commenting today, Jim Ellerton, Acting Chairman and CEO of Sefton Resources said, "These assets are in proximity to the Cholla Pipeline which we acquired in December 2010. They complement our strategy to aggregate and transport gas in the region by giving us a our own potential gas production base as well as the volumes of third party gas expected to move through our pipeline system."