Business
Farm-In Agreement
Farm-In Agreement.
About this update from Nativo Resources Plc
[{"type":"text","content":"\n \nRNS Number : 1824V Echo Energy PLC 01 November 2017 \n\n1 November 2017 \n \nEcho Energy plc\n(\"Echo\" or the \"Company\")\n \nCountry Entry: Argentina\n \nSignature of Onshore Farm-In Agreement covering 4 assets\n \nEcho Energy plc, the South and Central American focused upstream gas company, is pleased to announce that it has entered into a binding farm-in agreement (the \"Farm-In\") with Compañía General de Combustibles S.A. (\"CGC\"), a privately-owned subsidiary of the Argentinian conglomerate Corporación América International, for the acquisition by Echo of a 50% interest in each of the Fracción C, Fracción D, Laguna de los Capones and Tapi Aike licences, onshore Argentina (the \"Transaction\"). \n \nThe Fracción C, Fracción D, Laguna de los Capones and Tapi Aike licences (the \"Licences\") all sit in the prolific Austral Basin of Santa Cruz province in Argentina and cover a total of 11,153 square kilometres. The Transaction will provide the Company with a compelling blend of multi Tcf exploration potential, appraisal and production.\n \nCompletion of the Transaction is conditional, inter alia, on receipt of third party, legal and regulatory approvals or consents in relation to the Transaction, including Echo shareholder approval.\n \nThe Transaction is expected to deliver:\n \n· A material position in Argentina with a well-respected local strategic partner.\n· Access to multi Tcf exploration potential on the Tapi Aike licence.\n· Access to transformational exploration and appraisal potential across the Fracción C and Fracción D licences. \n· Existing gross production of approximately 11.4 MMscfe/d on the Fracción C & D licences, with potential to significantly increase current production to approximately 80 MMscfe/d, underpinned by strong local Argentinian gas prices.\n· First drilling in Q1 2018, followed by a period of significant drilling and operational activity. \n· Technical Operatorship of the Fracción C & D licences.\n \nThe Company would like to invite investors to a live Q & A session hosted via the Company website at 11:00 a.m. (UK time) on 2 November 2017. \n \nFiona MacAulay, Chief Executive Off...