KS Energy Sets Up JV Company
KSAM2 Petrodrill Offshore, an associated company of KS Energy was set up for the purpose of a Joint Venture to build and construct a Super M2 Jackup Drilling Rig worth US $148 million. KS Energy has a 50% equity interest in KSAM2.
KSAM2 was incorporated in the British Virgin Islands, with an authorized share capital of US $50,000, comprising 50,000 shares of US $1.00 each and with an issued and paid-up share capital of US $100.00. The principal activities of KSAM2 are providing offshore rig services, such as, leasing jackup rigs to the oil and gas industry.
An internal resource funded the above-mentioned acquisition and is not expected to have any material effect on the earnings per share and net tangible assets per share of the Company for the financial year ending December 31, 2007.