Canada Energy to Acquire Interests in Peace River Project
Canada Energy Partners Inc. has agreed to acquire an additional 0.5% working interest in the Peace River Coalbed Methane Project (the "Project") and 1% working interest in the deep conventional petroleum and natural gas rights ("Deep Rights") on the lands covered by the Project.
Upon the closing of the acquisition, the Company will have completed the acquisition of all non-operator owned working interests in the Project and will increase its ownership to a 50% working interest and an additional 3.71% after payout working interest for a total interest of 53.71% after payout. In addition, the Company will increase its ownership in the Deep Rights to a 23.5% working interest and a 5% overriding royalty payable on 80% of the production, convertible on payout into an additional 23% working interest for a total interest of 46.5% after payout.
Under the terms of the agreement, the Company has agreed to issue to the Vendor 143,000 common shares (the "Shares") in the capital of the Company. The Shares are subject to a 4 month hold period required by applicable securities laws and the TSX Venture Exchange (the "Exchange"). The Acquisition is subject to acceptance of the Exchange. The Vendor is at arm's length to the Company. The closing of the Acquisition is scheduled for June 14, 2007, or such other date as is mutually agreed by the parties.
The Project consists of approximately 44,468 acres of prospective acreage in the Peace River area near Hudson's Hope, British Columbia. GeoMet Inc., an experienced coalbed methane producer, is the operator and 50% working interest owner of the Project. GeoMet Inc. expects to make the commercial development decision on the Project in June 2007. Triumph Pacific Oil & Gas Corporation is the operator and a 53% after payout working interest owner in the Deep Rights.
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Company: Triumph Pacific Oil & Gas Corp. more info
- Canada Energy to Acquire Interests in Peace River Project (Jun 07)
- Canada Energy Acquires New Peace River Leases (Mar 27)