CALGARY, AB–(Marketwired – January 24, 2017) – Point Loma Resources Ltd. (TSX VENTURE: PLX) (the “Corporation” or “Point Loma“) is pleased to announce that it has entered into a definitive agreement to acquire oil & gas assets from a private oil and gas company (the “Acquisition“) for the consideration of $1.6 million with the issuance of four million shares of Point Loma. The Acquisition will be subject to customary closing conditions and regulatory approvals including the approval of the TSX Venture Exchange, and is anticipated to close in February 2017.
- The assets are concentrated in the west central area of Alberta contiguous to Point Loma’s existing area of focus.
- Production of approximately 410 boe/d, comprised of 95 percent natural gas.
- Approximately 55,000 net acres of land contiguous to Point Loma’s current assets in the area with an average working interest of 78 percent.
- Purchase price of Cdn. $1.6 million paid with the issuance of four million common shares of Point Loma.
- The acquired properties have identified upside for future exploitation and exploration.
“This acquisition will continue Point Loma’s growth in size and strength as a junior oil and gas company. We continue to seek quality assets that will extend our core focus area at favorable metrics,” said Terry Meek, President and CEO of Point Loma. “The expansion of our focus area will continue to build shareholder value as Point Loma develops the Mannville trend in west central Alberta.”
About Point Loma
Point Loma is a public oil and gas development and exploration company focused on horizontally exploiting conventional oil and gas reservoirs in west central Alberta. Point Loma’s business plan is to utilize its experience to drill, develop and acquire accretive assets with potential for horizontal multi-stage frac technology and exploit opportunities for secondary recovery. For more information and our current presentation please visit Point Loma’s website at www.pointloma.ca or Point Loma’s profile on the System for Electronic Document Analysis and Retrieval website at www.sedar.com.