Doral Completes Permian Basin Divestitiure
Doral has completed on schedule its divestiture of its Hanson Energy Oil and Gas Assets for $10,000,000.00. Use of proceeds will include the re-payment of its Senior Secured Debt with Macquarie Bank Limited, the payoff of all trade debt associated with the Hanson Energy Oil and Gas Assets, and the payoff of two notes, that are now mature due to the divestiture of the assets, in the amount of approximately $725,000.00 leaving the Company enough surplus cash to successfully close on the acquisition of certain South Eastern New Mexico Permian Age producing oil assets described in the Company's press release dated June 15, 2010.
Mr. E.W. Gray II, Chairman and CEO stated, "We are pleased to announce that the divestiture of our Hanson Energy Oil and Gas Assets in now complete. The ability to re-structure the company in a way that can potentially provide greater shareholder value, without having to enter bankruptcy, has now been successful achieved. Doral is now poised to execute on our original business model of acquiring under-valued producing oil and gas assets within the Permian Basin in order to achieve the goal of increasing shareholder value. We appreciate the patience of all shareholders during this process and look forward to working relentlessly in our efforts to increasing the market capitalization of Doral Energy."