Newton Energy Corporation announces that one-year extensions to Licences PEDL254 and PEDL208 have been granted by the Department of Energy and Climate Change of the Government of the United Kingdom. The extensions provide the Company with additional time to meet and to drill the outstanding commitment well on each of PEDL254 and Belvoir. The second term date of the licenses has not changed.
"The Company is actively in discussions to farm-out and/or joint venture its licenses to see its Belvoir and PEDL254 prospects drilled and this extension paves the way to conclude our negotiations," said Merv Chia, Interim CEO.
The Company announces that further to the Company's previously announced farm-in agreement (the "Farm-In Agreement") with Buried Hill Gambia BV ("Buried Hill") to earn a 13.33% equity working interest in two offshore blocks in Gambia, the licenses for the two offshore blocks owned by Buried Hill have expired so the Farm-In Agreement has been terminated. There are no additional obligations or costs incurred in this termination.