8th May 2014 13:53
LONDON (Alliance News) - Global energy Development PLC Thursday said it is selling a 50% interest in its Bocachico association contract area, to Everest Hill Energy Group Ltd.
The Bocachico association contract area is in the Middle Magdalena Basin in Colombia.
The Latin America-focused exploration, development and production company, with operations in Columbia, said that as part of the farm-out agreement, Everest will acquire a 50% interest in the contract area, including any and all rights, obligations and duties in respect of the contract area, in exchange for payment of the work commitments and the cash payment of USD1 million.
It said that the agreement is subject to certain conditions, including Ecopetrol approval. It also said the work programme shall be governed by a joint-venture agreement to be agreed between Global and Everest.
The company now holds a 50% interest in the area.
Global Energy shares were trading 4.2% higher Thursday afternoon, at 70.85 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
GED.L