Heavy Earth Resources reports signing of LOI

Heavy Earth Resources Inc.

Heavy Earth Resources Inc. (OTCQB: HEVI), an oil and gas exploration and production company focused on Central and South America, has entered into a non-binding letter of intent (LOI), through its wholly owned subsidiary Deep Core Barbados, with New Horizon Exploration Inc., an oil and gas exploration and production company based in the US with principal operations in Colombia, for the purchase of 100% of the equity ownership of New Horizon.

Heavy Earth currently owns a 25% working interest in the 68,302-acre La Maye Block in the Lower Magdalena Basin in Colombia. New Horizon is currently the operator of the La Maye Block. As part of the proposed transaction contemplated under the LOI, the company will assume operatorship of the La Maye Block from New Horizon, while increasing its working interest in the La Maye Block to 38%.

With the purchase of New Horizon, the company will be able to focus on its La Maye Block asset while retaining a significant interest in the Morichito Block. The transaction is expected to close by January 31, 2014.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...