Business
Acquisition and Operational Update
Acquisition and Operational Update.
About this update from Sunda Energy Plc
[{"type":"text","content":"\n \n\n\n\nFOR IMMEDIATE\nRELEASE\n8 July 2008\n\n GOLD OIL plc (\"Gold\" or \"the Company\")\n ACQUISITION AND\n OPERATIONAL UPDATE\n\nAcquisition\n\nThe Company is pleased to announce that, through its 100% owned\nsubsidiary Gold Oil Caribbean Limited, it has entered into an Option\nAgreement for $1 to purchase ninety five percent (plus five percent\nin the name of Gold Oil subsidiaries and the parent, held in trust\nfor Gold Oil Caribbean Limited) of all of the issued shares in\nInversiones Petroleras de Colombia S.A. (\"Invepetrol\") for a\nconsideration of $4 million.\n\nInvepetrol owns an 18.05% participating interest in the Union\nTemporal II & B that is the Operator and Licence holder of the Nancy,\nBurdine and Maxine oil fields in the Putumayo Basin in Southern\nColombia. The Company already owns a 40% interest in Union Temporal\nand this will takes the Company's total interest to 58.05% (27.29% of\nnet production.)\n\nThe Option Agreement allows thirty days for due diligence on\nInvepetrol and gives the Company the right to enter into a Sale and\nPurchase Agreement for the purchase of the shares with an initial\npayment of $1 million and the balance at a later date.\n\nFor the year ended 31 December 2007, the profits before taxation and\ngross assets as shown in the unaudited joint venture accounts\nattributable to the additional interest in Union Temporal being\nacquired are £79,000 and £510,000 respectively (based upon a\nconversion rate of £1=3,635 Columbian pesos). There is no valuation\nof the assets which are being evaluated by the reserve report on\nNancy 1 well referred to below.\n\nThe Nancy 1 well was re-entered in late 2006 with an initial\nproduction of 700 bopd, which has now declined to an average monthly\nrate of 383 bopd. The 2008 work programme has been delayed over\nenvironmental approval and includes five re-entries on the existing\nBurdine wells and, if encouraging, workovers of the five wells. Some\nadditional infill seismic on both the Nancy and Burdine fields is\nplanned if justified by a full field reserves report that is\ncurrently under preparation following a full field geological report\nto establish the reserves held by the Company.\n\n\nOperational Update\n\nRosa Blanca, Onshore Colombia (Gold's interest 36.8% Net Revenue\nInterest - NRI)\nThe Rosa Blanca licence with the ANH was recen...