Scandinavian Oil-Gas Magazine
http://www.scandoil.com/moxie-bm2/news/northcote-energy-acquires-us-assests-of-north-amer.shtmlNorthcote Energy acquires US assests of North American Petroleum
Northcote has signed an agreement with NAPP to acquire the entire issued share capital of NAPP's wholly owned US subsidiary
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Northcote has signed an agreement with NAPP to acquire the entire issued share capital of NAPP's wholly owned US subsidiary, NAP USA Inc.
Highlights
• Acquisition significantly enhances Northcote's field level cash flow, lease acreage and net production, providing the enlarged Company with a robust platform for future production and cash flow growth even during times of oil price weakness: ◦ materially increases working interests ('WI') in core producing projects; ◾ a 100% increase in working interest from 35% to 70% at Shoats Creek ◾ a 55% increase in working interest from 55% to 85% at Zink Ranch
◦ Northcote has been high-grading its portfolio and has identified a number of low cost conventional drilling candidates with strong economics at current and lower oil prices, particularly at Shoats Creek ◦ The low-cost high impact Shoats Creek wells are expected to be the initial focus for the enlarged group ◦ pro-forma net production to 174 BOEPD (54.9% oil) as at 31 December 2014
