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Strategies & Market Trends : Dino's Bar & Grill -- Ignore unavailable to you. Want to Upgrade?

To: Goose94 who wrote (255)	12/14/2012 9:52:16 AM
From: Goose94	Read Replies (1) \| Respond to of 203667

Lateral Capital (LCP-V) to buy Saskatchewan light oil assets Dec 14, 2012 - News Release Lateral Capital Corp. has entered into a purchase-and-sale agreement with an undisclosed company to acquire certain light oil reserves in southeast Saskatchewan. The agreement provides for total consideration of $69.0-million with a non-refundable deposit of $2.0-million. The transaction will be financed through a combination of equity and debt financings, the terms and conditions of which will be announced shortly. The transaction is subject to customary closing conditions, including TSX Venture Exchange approval. The transaction is scheduled to close in early 2013. Acquisition highlights Through the transaction, Lateral is acquiring an operated light oil asset, with an average working interest of 99 per cent in southeast Saskatchewan. The transaction has the following characteristics The production is 749 barrels per day as of October, 2012, of 100 per cent light oil producing from the Tilstoncarbonate reservoirs; Total proved reserves(1) of 1,527,000 bbl and proved plus probable reserves of 2,688,000 bbl; Proved plus probable reserve life index of 10.3 years; 18,755 gross acres and an undeveloped land base of 15,634 acres with year-round access (average 99-per-cent working interest); 124 square kilometres of recent 3-D proprietary seismic; Estimated annualized cash flow of $16.80-million(2); Operating netback of $63.00 per boe(2); The upside potential includes 60 identified horizontal wells, 24 of which have been booked by a third party engineering firm.