The oil and gas sector has seen its fortunes wax and wane in recent weeks. So, the news out Monday proved all the more exciting that independent operator Jadestone Energy Inc. (TSX-Venture:JSE), focused on the Asia Pacific region, revealed it had executed a sale and purchase agreement with OMV New Zealand Limited.
To purchase involves is an operated 69% interest in the Maari Project, shallow water offshore New Zealand, for a total headline cash consideration of $50 million U.S., to be funded from the Company's cash resources.
Maari Project is a mid-life producing asset located. in the offshore Taranaki basin, in 100 metres water depth, approximately 80 kilometres southwest of New Zealand's North Island.
"I'm delighted to establish a new operating presence in New Zealand and to begin building relationships with local regulators, communities, staff and other stakeholders,” exulted CEO Paul Blakely.
“The Maari project adds both significant additional opportunity as well as diversity to our operations. New Zealand is a natural strategic fit for Jadestone, where we see many shared values with regards to sustainable energy investment, through maximizing recovery of existing resources and world-class expectations for health, safety and environmental stewardship.”
Jadestone shares picked up nine cents, or 7.6%, to $1.28, on moderate volume of 63,000 shares.
