[b]$BOPT[/b] Eco-Trade Corp. Announces Letter of Intent for $5 Million Financing
[b][color=blue]Apr 13, 2013[/color][/b] (Al Bawaba Business via COMTEX) -- Eco-Trade Corp., an independent oil and gas exploration Company, announced today that it has signed a letter of intent with Ambrosia Holding and Finance ltd. (Ambrosia) for a $5 million dollar financing for the development its first Bakken well. Ambrosia is a private syndicate fund based in London, England and Geneva, Switzerland.
Ambrosia and the Company shall be executing a mutually acceptable definitive legal documentation for the transaction whereby Ambrosia will commit an initial $5 million on a "Farm-In" agreement for drilling of the first well on the Company's property. Subject to the definitive agreement, the funds shall be used by the Company for exploration and drilling of a petroleum well (Oil and/or Gas) at the Prospect.
Manoli Vaindirlis, Managing Director of Ambrosia, stated, "We are extremely excited to have the opportunity to work with Eco-Trade on the development of the first well on this very dynamic property in the Bakken. Our historic investment portfolio to date has included resource and international oil and gas, and this first foray into what may be the most exciting oil find in North America, has us focused on efforts to close and drill as expeditiously as possible."
Leasing and drilling activity in the Bakken Fairway region has increased dramatically since late 2010. Over 60 wells have been drilled in Alberta and Montana with the Bakken as the principal target and over 30 of these wells were vertical wells with the primary purpose of delineating the Bakken formation. In Montana, Rosetta and Newfield are considered to be the most active drillers with over 12 wells each. In Alberta, it is Crescent Point, Murphy Oil and Shell who are the most active Bakken drillers. Analyst Wood Mackenzie estimated 2.6 Billion BO may be recovered from the Bakken Fairway.
Eco-Trade CEO, Canon Bryan, noted, "Our policy is to focus on our core competency of building a financial model that is profitable and structuring additional asset-bases through potential acquisitions of high value properties. The Company outsources its drilling operations to key-trusted partners who propose, permit and engage in the drilling process. By managing our operations in this manner, we are able to keep costs low and margins relatively high. And oversight is always an important component, and the Company keeps a close watch on all operations ensuring maximum efficiency and output."