Tanzania, East Africa
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Artumas has fulfilled all conditions and has received final approval from the Government of Tanzania to complete the sale of a portion of its participating interest in the Mnazi Bay Development License to Maurel & Prom S.A. (38.22% all operations other than exploration operations, 47.775% exploration operations) and Cove Energy Tanzania Mnazi Bay Ltd (16.38% all operations other than exploration operations, 20.475% exploration operations).
As previously announced on September 17, 2009 the sale leaves Artumas with a 25.4% participating interest in all operations other than exploration operations (31.75% exploration operations) and will transfer Operatorship to Maurel & Prom.
As a result of this sale and the transfer of Operatorship, Artumas will be undergoing a substantial reorganization and rationalization of its position in Tanzania.
Also in connection with the completion of the sale Artumas announced that it has successfully negotiated the termination of a Gross Overriding Royalty Interest ("GORI") related to Mnazi Bay production previously held by Sunorca Development Corp. of Vancouver Canada ("Sunorca"). Under the terms of the agreement Artumas will provide Sunorca $400,000 CAD in cash and $600,000 CAD in AGI shares in exchange for the termination of the GORI.
According to President and CEO Cameron Barton, "The completion of this sale and the royalty termination means that Artumas has now reached its restructuring objectives. Artumas is now able to move on to the next stage of its exploration and development objectives without the further need for capital."