Royale Acquires More Oil in the Permian Basin and California
June 28 2018 - 8:34AM
Royale Energy, Inc., (OTCQB:ROYL) announced today
it has entered into a Letter of Intent with an undisclosed company
to purchase it’s non-operated interests in Permian Basin and
California oil fields.
The acquisition will add approximately 190 barrels of oil per
day (BOED) net for an acquisition price of $12 million dollars,
subject to customary due diligence. The reserves are oil
weighted at 91 percent and include the Jameson North field in Texas
where 3D seismic has identified proved but undeveloped locations
(PUDs) that can be drilled. The California field is situated near
the Sansinena oil field where Royale has a joint venture with RMX
Resources.
Royale is pleased to announce this key execution of its growth
plans. These assets combined with the successful funding of
the new joint venture development company, RMX Resources, will
continue to propel Royale growth.
Royale’s new CEO Rod Eson stated, “I’m excited about Royale’s
combined inventory of assets, acquisition targets and strategic
relationships. This current acquisition will boost Royale into an
improved company financial condition and is a perfect recipe for
further success.”
The acquisition effort is being led by Johnny Jordan, President
and COO of Royale, who is continuing to focus on acquiring,
developing and executing on the company’s exploration and
production activities. A key element to this acquisition is
managements familiarity within these properties.
Stephen Hosmer, Chief Financial Officer of Royale stated, “As we
work to complete this acquisition, hopefully to close in the third
quarter of this year, we will succeed in another important step
towards positioning the company for a return to a robust financial
position.”
Royale is in discussion on key documents and pending the
successful closing of the transaction, will announce additional
details on the location of the assets and plans for
development.
About Royale Energy. Inc. Royale Energy, Inc.
(OTCQB:ROYL) is a growth oriented independent exploration and
production company focused on the acquisition, development, and
marketing of oil and natural gas. The Company has its primary
operations in California’s Los Angeles and Sacramento Basins.
Forward-Looking Statement In addition to
historical information contained herein, this news release contains
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995, subject to various risks
and uncertainties that could cause the company’s actual results to
differ materially from those in the “forward-looking” statements.
While the company believes its forward-looking statements are based
upon reasonable assumptions, there are factors that are difficult
to predict and that are influenced by economic and other conditions
beyond the company’s control. Investors are directed to consider
such risks and other uncertainties discussed in documents filed by
the company with the Securities and Exchange Commission.
Contact: Royale Energy, Inc. Chanda Idano
Director of Marketing & PR 619-383-6600 chanda@royl.com
http://www.royl.com
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