Palisades Petroleum Corporation has entered into an acquisition financing agreement with Landbank Canada Investments Ltd. (Landbank). Under the terms of the agreement, PAPT and Landbank will jointly pursue purchasing producing oil and gas properties in the United States. The properties that PAPT presents will be screened by Landbank as to their eligibility for funding.
Landbank will review new acquisition targets including existing PAPT properties. Both parties will then work together to structure financing solutions to optimize fundings in order to lower the total cost of acquisition capital and minimize dilution. Landbank's existing financial partners have approved the business model presented and are ready to complete a number of potential projects.
Sean Wilton, President of Landbank Canada Investments Ltd., recently stated, "Having completed our initial screening of the acquisition targets that Palisades has assembled, we are looking forward to the detailed acquisition structure phase. Some of the producing assets in particular are an excellent option for investment groups seeking to cover their cost of capital while hedging against a declining US dollar and taking advantage of the trend of oil and natural gas prices increasing in value."
Palisades Petroleum Corporation's management team and its industry analysts continue to evaluate a number of advanced exploration and development oil and gas properties located throughout the USA.
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