Magnum, Partners Enter PSA Contract for Viking Assets

Magnum announced that all of the parties have now signed a definitive legal Purchase and Sale Agreement. Magnum, together with Nextraction, will purchase the Viking oil assets of a private company in the Provost Area of Eastern Alberta. The acquisition is effective February 1, 2011 and is scheduled to close on March 15, 2011.

The private company is currently producing approximately 30 barrels of sweet light crude per day from its 100% owned and operated vertical wells situated on 3.25 sections of largely undeveloped land. The 100% owned infrastructure includes a battery, disposal well, and pipelines.