Global Petroleum poised to sell Eagle Ford Shale interests

Global Petroleum, the AIM-listed oil and gas exploration company focused on emerging plays in Africa, has reached an agreement with a private company to sell its Eagle Ford Shale(EFS) interests in Texas, USA.

Global Petroleum, the AIM-listed oil and gas exploration company focused on emerging plays in Africa, has reached an agreement with a private company to sell its Eagle Ford Shale(EFS) interests in Texas, USA.

Earlier in the year, Global Petroleum appointed Dallas-based Moyes & Co to market its EFS interests exclusively with the intention of sourcing potential buyers.

Through its wholly-owned subsidiary GP Exploration Inc., Global Petroleum said it had entered into a purchase and sale agreement with Millennial PDP Fund II LP,(Millennial), a wholly owned subsidiary of Millennial Energy LLC, a private US oil and gas company, for Millennial to buy Global Petroleum's EFS interests for a cash consideration of $510,000.

Subject to final due diligence, Global Petroleum reported that it would sell its 7.94% working interest beneath the Olmos formation including the Eagle Ford Shale and the two Eagle Ford wells in which it has a 5.95% beneficial interest in production. It said that the transaction was expected to complete within two months.

Global Petroleum's share price was unchanged at 6.75p at 12.39pm on Tuesday.

MF

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