By Alex C
Oando Energy Resources, a Toronto-listed oil and gas producer and explorer, has completed the acquisition of $5 million oil firm Medal Oil.
In a statement made by Oando “The purchase price of US$5,000,000 was satisfied by the issuance of 3,491,082 units, each unit consisting of one common share of the Company and one-half of one warrant to purchase an additional common share at a price of C$ 2.00 per common share for a period of 24 months from the date on which the Company closes the acquisition of the Nigerian upstream oil and gas business of ConocoPhillips (CoP).”
Oando Energy Resources is the new trading name of Exile Resources Inc (Exile) after the acquisition of certain shareholding interests in Oando PLC’s upstream subsidiary.
“Medal Oil holds a 5 percent interest in OML 131. Upon completion of the CoP acquisition, OER will own a 100 percent interest in OML 131,” Oando continued.
Recently, Oando Energy Resources entered into an agreement with ConocoPhillips to extend the outside date for completion of the proposed acquisition of the Nigerian Upstream Oil and Gas Business of ConocoPhillips to July 31, 2014.
The two companies extended the outside closing date for completion of the ConocoPhillips’ purchase to allow them to finish off activities needed to complete the deal having received the required approval of the Minister of Petroleum Resources in Nigeria.