Alleghany Capital Corp. (ACC), a wholly owned subsidiary of Alleghany Corp., says that its subsidiary Stranded Oil Resources Corp. (SORC), through one of its subsidiaries, has acquired the historic Teapot Dome oil field, known officially as Naval Petroleum Reserve No. 3 (NPR-3). NPR-3, located 35 miles north of Casper, Wyoming, was purchased for $45.2 million from the United States of America, acting by and through the US Department of Energy.
"We are pleased to add NPR-3 to our portfolio, as the purchase is aligned with SORC's core strategy of acquiring and redeveloping mature oil fields," commented Mark See, SORC president and CEO. "By targeting properties with known characteristics, we reduce the uncertainty and risk generally associated with oil exploration. NPR-3 was used for a variety of research and development projects while under the ownership of the US government, and the quantity and quality of the data on the field is impressive. We are excited about the opportunity to develop the field under commercial operations."
Laredo Oil Inc. (OTCBB: LRDC) assisted SORC in purchasing the NPR-3, and says that the purchase is the culmination of a competitive bidding process that closed on Oct. 16, 2014. Under the terms of the sale, operation and ownership of all NPR-3's mineral rights and approximately 9,000 acres of land is immediately transferred to SORC. The remaining surface acreage is scheduled to be transferred in May, bringing the total acres purchased to 9,318.