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GulfSlope Energy, Inc. and Texas South Energy, Inc. Enter Into Strategic Partnership With Delek Group, Ltd.
GulfSlope Energy, Inc. and Texas South Energy, Inc. Enter Into Strategic Partnership With Delek Group, Ltd..
About this update from Gulfslope Energy, Inc.
[{"type":"text","content":"\nGulfSlope Energy, Inc. and Texas South Energy, Inc. Enter Into Strategic Partnership With Delek Group, Ltd.\n\nGulfSlope Energy, Inc. and Texas South Energy, Inc. Enter Into Strategic Partnership With Delek Group, Ltd.\n\nHOUSTON, TX--(Marketwired - January 08, 2018) - GulfSlope Energy, Inc. (OTCQB: GSPE) and Texas South Energy, Inc. (OTC PINK: TXSO) (collectively, the \"Companies\") announced today that they entered into a strategic partnership with Delek Group Ltd., a global independent oil and gas company based in Israel (\"Delek\"), whereby the Companies and Delek have mutually agreed to pursue oil and natural gas opportunities in the Gulf of Mexico. The initial transaction of this partnership is the execution of a participation agreement, whereby Delek GOM Investments LLC, a subsidiary of Delek, acquired rights to a 75% record title interest in nine prospects (Photon, Quark, Pomeron, Tau, Tanker, Graviton, Tachyon, Selectron, and Canoe) in the shallow waters of the Gulf of Mexico. GulfSlope will retain a 20% record title interest and Texas South will retain a 5% record title interest in each of these nine prospects. Delek shall bear 90% of the gross cost and expense for each well until the test well reaches its objective depth. Thereafter, Delek will be responsible for 75% of the costs and expenses and GulfSlope and Texas South will be responsible for their pro-rata ownership interest of all such remaining costs and expenses while partially carried and thereafter. In addition, Delek shall pay $1.5 million to the Companies (73% to GulfSlope and 27% to Texas South) upon the filing of each well's exploration plan with the BOEM. \"GulfSlope and Texas South are pleased to have Delek Group Ltd. join with us to drill our exciting portfolio of prospects in the US Gulf of Mexico which we estimate to contain almost 1 billion barrels of recoverable oil and gas equivalent,\" stated John Seitz, Chairman and CEO of GulfSlope and Michael Mayell, President and CEO of Texas South. \"Our partnership brings together management and technical teams who have enjoyed great success in discovering and developing world class fields. This partnership is designed to create significant shareholder value through new field discoveries and production from high quality conventional reservoirs.\" They added, \"Since GulfSlope's success at the competitive ...