Kodiak Energy Acquires Thunder River Assets
Kodiak Energy concluded a binding agreement to acquire 100% of the assets of Thunder River Energy Inc. for a purchase price of up to $27,000,000. The purchase price is comprised of $1,000,000 in cash and $26,000,000 in common shares issued at the previously agreed price of $2.00 per share, which was set under the original share purchase agreement signed January 16, 2007. 6 million shares will be subject to performance of the assets. The balance of the shares issued will be subject to the applicable restrictions under SEC regulations. Under that agreement which was negotiated prior to completion of the 2007 winter seismic program, Kodiak would have effectively only acquired indirectly 57% of the assets. With this agreement in place, the previously announced engineering study can now be concluded as expeditiously as possible.
Little Chicago or EL 413 comprising 200,000 acres in the Canadian Mackenzie River Valley Corridor in the North West Territories. A previous engineering study completed on EL 413, estimated a potential of up to 1 billion barrels and 600 bcf. The 2007 winter seismic, recently completed by Kodiak, has identified multiple new structures and potential drill targets. Additional seismic is being permitted to assist in finalizing drill locations for the next season.
In addition to Little Chicago, Thunder through its subsidiary, CIMA Holding Inc. - has 95% of 55,000 acres of P&NG leases in New Mexico. Natural gas potentials and commercial volumes of CO2 have been identified in existing wells on or adjacent to property - estimated at 587 bcf of CO2. This opportunity will provide for long term cash flow and growth. In addition, there are potential oil and helium resources at shallow depths offering the possibility of dynamic short term growth and significant near term cash flow. By acquiring 100% of the Thunder assets, a very aggressive development program can now be initiated to exploit these major assets.
- Kodiak Energy, Subsidiary Appoint VP Finance and CFO (Nov 05)
- Kodiak Energy's Subsidiary Snaps Up Additional Assets (Aug 11)
- Kodiak Energy's Subsidiary Collects Assets from Private Co (Jul 20)
Company: Thunder River Energy, Inc. more info
- Kodiak Energy Closes Acquisition of Thunder River & CIMA Holdings (Oct 01)
- Kodiak Energy Acquires Thunder River Assets (Jul 12)
- Kodiak Announces Terms of Thunder River Acquisition (Mar 19)