Jura has acquired 66.7% of the shares of Pyramid Energy International Inc. from Asia Resources Oil Ltd. and Industrial Support Limited. The consideration for Jura's interest in Pyramid was approximately US$4.8 million in cash, as well as an adjustment for working capital, plus 1,608,889 common shares of Jura.
Pyramid's only asset is a 15.7895% interest in Block 22, which is situated in the Central Gas Basin in Pakistan. The Block 22 assets comprise three gas fields, Hasan, Khanpur and Sadiq, together with the Hamza appraisal area. The fields are currently producing approximately 16 MMcf/d of gas into a processing facility located adjacent to the Hasan Field from where it is delivered and sold to the Sui Northern Gas Pipeline Ltd. Two new production wells have been budgeted and are currently scheduled to be drilled in the first half of 2007. Block 22 is operated by Petroleum Exploration (Pvt.) Limited ("PEL"). Jura's portion of the budgeted costs for the drilling of these production wells is US$421,000.
"We are extremely please to have added this producing interest to our assets in Pakistan, said Jura's President and CEO, Nigel McCue, "Jura now holds a balanced portfolio of production, development, appraisal and exploration projects."
A technical report in compliance with National Instrument 51-101 in respect of Jura's net 10.53% interest in Block 22 has been prepared by McDaniel & Associates Consultants Ltd, Calgary.
The remaining 33.3% of the shares of Pyramid have been acquired in trust for PEL, with funds of approximately US$3.1 million advanced by Jura, pending approval of the State Bank of Pakistan. If PEL or its nominated company does not acquire the shares within 60 days, beneficial ownership of the shares will revert to Jura.
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