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CGX and Frontera Complete Joint Operating Agreement Amendment, Participating Interest in Corentyne Block is 32% CGX and 68% Frontera
Government of Guyana Confirms Corentyne License Remains in Full Force and Effect and Good Standin...
About this update from Cgx Energy Inc.
[{"type":"text","content":"CGX and Frontera Complete Joint Operating Agreement Amendment, Participating Interest in Corentyne Block is 32% CGX and 68% FronteraGovernment of Guyana Confirms Corentyne License Remains in Full Force and Effect and Good StandingToronto, Ontario--(Newsfile Corp. - December 1, 2022) - CGX Energy Inc. (TSXV: OYL) (\"CGX\") and Frontera Energy Corporation (TSX: FEC) (\"Frontera\"), joint venture partners (the \"Joint Venture\") in the Petroleum Prospecting License for the Corentyne block offshore Guyana (the \"License\"), announce today that, further to its announcement on November 28, 2022, due to circumstances beyond the reasonable control of the Joint Venture related to ongoing exploration activities by a third-party operator that have delayed the release of the NobleCorp Discoverer drilling unit contracted by CGX, the Government of Guyana has agreed with the Joint Venture's declaration of force majeure regarding Phase Two of the Second Renewal Period of the Corentyne Block Petroleum Agreement (\"Petroleum Agreement\") and a corresponding extension of the License to January 31, 2023. The Joint Venture remains committed to executing its drilling activities in the Corentyne block and the declaration of force majeure is a procedural step which preserves the Joint Venture's interests in the License. The Government of Guyana has confirmed that the Petroleum Agreement for the Corentyne block and License will remain in full force and effect and good standing. The Joint Venture also announces that it has completed the previously announced agreement to amend the Joint Operating Agreement originally signed between CGX and a subsidiary of Frontera on January 30, 2019, as amended (the \"JOA Amendment\"). All conditions precedent to the JOA Amendment have been satisfied. As a result of the JOA Amendment, CGX has a 32.00% participating interest and Frontera has a 68.00% participating interest in the Corentyne block, pending the filing of customary documentation with the Government of Guyana. Please see below for more information.Professor Suresh Narine, Executive Co-Chairman of CGX's Board of Directors, commented: \"The Joint Venture is well-prepared and excited to begin Wei-1 well drilling operations, scheduled to spud in January 2023. All pre-drill activities are complete and all necessary services, materials and support vessels are contra...