10th Sep 2013 10:58
LONDON (Alliance News) - Nostra Terra Oil and Gas company PLC Tuesday said that the proposed sheriff's sale of six leases in Russell County, Kansas, by Richfield Oil & Gas Company to help pay off owed debts to Nostra Terra is under review.
The US based oil and gas development and production company said Richfield Oil & Gas are taking part in a hearing Tuesday to discuss the proposed sheriff sale, which may be cancelled in recognition of receipt of full or partial settlement to Nostra Terra by Richfield.
A sheriff's sale is a public auction sale of property pursuant to a court order to seize and sell the property to satisfy a judgment.
Richfield Oil & Gas has been ordered by a US court to pay Nostra Terra in excess of USD1.5 million.
Nostra said three of the leases, including two producing wells and one saltwater disposal well were originally auctioned on June 27. However, it had decided to set aside the sales in order for the leases to be auctioned together with the three additional leases.
The company also has a lien, or right to keep property, on all of Richfield's real property assets in Utah, and last month Richfield announced it has increased its lease position from 10,562 acres to 15,375 acres.
The company said that to date, there has been no ruling from the court cancelling the sheriff's sale nor has the company received the remaining balance from Richfield.
Nostra Terra shares were up 0.016 pence, or 4.1% to 0.411p Tuesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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