TORONTO: Advantagewon Oil Corp., has agreed to acquire a 42.5% working interest in four wells, and the associated land lease for the wells, from a private Company. Advantagewon is focused on building consistent cash flow from low cost, low risk oil wells.
Keeping consistent with Corporation’s refocused Canadian business strategy, the four wells that the Corporation is acquiring are all located in the Province of Saskatchewan.
The land lease the Corporation has acquired in this transaction consists of approximately 160 acres.
Closing is anticipated to occur on May 29th, 2020, and the Corporation has agreed to both issue 10,000,000 Common Shares of the Corporation and the Corporation has agreed to issue a onetime cash payment of $5,825.00 CDN.
The four wells are currently shut in and the Corporation anticipates reworking the wells once the price of oil reaches $50 CDN a barrel.
Reworking costs for our ownership percentage is estimated at approximately $20,000.00 CDN. Prior to being shut in before the price of oil dropped the four wells were producing a combined total of 100 BOPD.