Name: Email: Sign Up >>
News
Corporate Investor Info Projects News Price Quote

 
   
TEARLACH CLOSES ACQUISITION OF KERN FRONT FIELD, CALIFORNIA
print | email

December 13, 2006

The Company wishes to announce that it has completed the acquisition of a 60% working interest in an oil and gas property known as the Kern Front Field (the “Property”) in consideration for the issuance of 7,500,000 common shares of the Company (“Shares”) and the issuance of 30,000,000 pre-paid convertible special warrants (“Special Warrants”), each of which may be converted into one common share of the Company at no additional cost, subject to certain limitations on conversion if such conversion would result in the warrant holder owning 10% or more of the Company’s outstanding common shares.  In addition, the Company will have a right of first refusal to purchase from the Vendors up to 60% of any natural resource property located within an area of mutual interst of 1 mile from the external boundaries of the Property or other areas mutally agreed by the parties for a period of three years. 

3,394,790 of the Shares and all of the Special Warrants will be issued subject to a value escrow agreement made on and subject to the rules of the TSX Venture Exchange and will be entitled to be released from escrow in quarterly tranches over the next three years.  A finder’s fee of 3% of the Shares and the Special Warrants was paid with respect to this transaction, all of which are subject to a value escrow agreement.

All of the Shares and common shares issuable upon conversion of the Special Warrants issued in connection with this transaction will be subject to a hold period expiring on April 13, 2007, in addition to any escrow and other applicable restrictions. 

ON BEHALF OF THE BOARD OF DIRECTORS

"Charles Ross"
Secretary and Director

Home   |   Price Quote   |   Investor Info   |   Corporate Info   |   Contact Us   |   News 2003 - 2011 Tearlach Resources Inc.
 
contact home contact home Contact Us home