South Plains Petroleum, Inc. Accepts Metawells Oil and Gas, Inc. Merger Offer
Metawells Oil and Gas Inc. (OTC PINK:KOSK) and South Plains Petroleum have announced a merger agreement with unanimous board approval. The deal involves a 1.5:1 share exchange ratio and includes plans to uplist to NASDAQ with a minimum $4.00 share price requirement.
South Plains brings significant assets including:
- Eastern Permian Basin properties with 2.25-2.5 million barrels of recoverable oil (PV10: $27 million)
- Welch lease with 800,000 estimated recoverable barrels (PV10: $20 million)
- Southern Abilene field with 400,000 recoverable barrels (PV10: $10 million)
- Louisiana properties with 18+ BCF of natural gas and 1.8 million barrels of oil (PV10: $35+ million)
Metawells Oil and Gas Inc. (OTC PINK:KOSK) e South Plains Petroleum hanno annunciato un accordo di fusione con approvazione unanime del consiglio. L'affare prevede un rapporto di scambio azionario di 1.5:1 e include piani per la quotazione su NASDAQ con un requisito di prezzo minimo di $4.00 per azione.
South Plains porta con sé significativi asset, tra cui:
- Proprietà nell'Eastern Permian Basin con 2.25-2.5 milioni di barili di petrolio recuperabili (PV10: $27 milioni)
- Affitto Welch con 800,000 barili recuperabili stimati (PV10: $20 milioni)
- Campo di Southern Abilene con 400,000 barili recuperabili (PV10: $10 milioni)
- Proprietà in Louisiana con oltre 18 BCF di gas naturale e 1.8 milioni di barili di petrolio (PV10: oltre $35 milioni)
Metawells Oil and Gas Inc. (OTC PINK:KOSK) y South Plains Petroleum han anunciado un acuerdo de fusión con la aprobación unánime de la junta. El trato involucra una relación de intercambio de acciones de 1.5:1 e incluye planes para listar en NASDAQ con un precio mínimo de $4.00 por acción.
South Plains aporta activos significativos, incluyendo:
- Propiedades en la Cuenca Permiana Oriental con 2.25-2.5 millones de barriles de petróleo recuperable (PV10: $27 millones)
- Arrendamiento Welch con 800,000 barriles recuperables estimados (PV10: $20 millones)
- Campo Southern Abilene con 400,000 barriles recuperables (PV10: $10 millones)
- Propiedades en Louisiana con más de 18 BCF de gas natural y 1.8 millones de barriles de petróleo (PV10: más de $35 millones)
Metawells Oil and Gas Inc. (OTC PINK:KOSK)와 South Plains Petroleum이 이사회에서의 만장일치 승인을 통해 합병 계약을 발표했습니다. 이 거래는 1.5:1의 주식 교환 비율을 포함하며, 주가가 $4.00 이상인 경우 NASDAQ에 상장할 계획을 포함합니다.
South Plains는 다음과 같은 중요한 자산을 가져옵니다:
- 2.25-2.5백만 배럴의 회수 가능한 원유를 보유한 동부 퍼미안 분지 속 자산 (PV10: $27 백만)
- 800,000 배럴의 회수가 예상되는 Welch 임대 (PV10: $20 백만)
- 400,000 배럴의 회수 가능한 원유를 가진 Southern Abilene 유전 (PV10: $10 백만)
- 18BCF 이상의 천연가스와 1.8백만 배럴의 원유를 보유한 루이지애나 자산 (PV10: $35 백만 이상)
Metawells Oil and Gas Inc. (OTC PINK:KOSK) et South Plains Petroleum ont annoncé un accord de fusion avec une approbation unanime du conseil d'administration. L'accord comprend un ratio d'échange d'actions de 1,5:1 et inclut des plans pour une cotation au NASDAQ avec un prix minimum de $4,00 par action.
South Plains apporte des actifs significatifs, notamment :
- Des propriétés dans le bassin permien oriental avec 2,25 à 2,5 millions de barils de pétrole récupérables (PV10 : 27 millions de dollars)
- Bail Welch avec 800 000 barils récupérables estimés (PV10 : 20 millions de dollars)
- Champ de Southern Abilene avec 400 000 barils récupérables (PV10 : 10 millions de dollars)
- Propriétés en Louisiane avec plus de 18 BCF de gaz naturel et 1,8 million de barils de pétrole (PV10 : plus de 35 millions de dollars)
Metawells Oil and Gas Inc. (OTC PINK:KOSK) und South Plains Petroleum haben eine Fusionsvereinbarung mit einstimmiger Genehmigung des Vorstandes angekündigt. Das Geschäft umfasst ein Verhältnis von 1.5:1 beim Aktienumtausch und beinhaltet Pläne zur Listung an der NASDAQ mit einer Mindestanforderung von $4.00 pro Aktie.
South Plains bringt bedeutende Vermögenswerte mit, darunter:
- Eigenschaften im Eastern Permian Basin mit 2.25-2.5 Millionen Barrel förderbarem Öl (PV10: $27 Millionen)
- Welch-Pacht mit 800.000 geschätzten förderbaren Barrels (PV10: $20 Millionen)
- Südliches Abilene-Feld mit 400.000 förderbaren Barrels (PV10: $10 Millionen)
- Louisiana-Eigenschaften mit mehr als 18 BCF Erdgas und 1.8 Millionen Barrel Öl (PV10: mehr als $35 Millionen)
- Merger includes immediate uplist to NASDAQ
- Combined property value of $92 million
- Established dividend policy tied to commodity prices
- Significant proven reserves across multiple properties
- 45 development drill sites in main oilfield
- Required minimum $4.00 share price for NASDAQ uplist may be challenging
- Dividend payments dependent on commodity price thresholds
- Share dilution through 1.5:1 exchange ratio
HARRISON, NY / ACCESS Newswire / February 6, 2025 / Ron Minsky, Chairman and CEO of Metawells Oil and Gas Inc. (OTC PINK:KOSK), announced today that South Plains Petroleum, Inc's Board of Directors voted unanimously to accept the Corporate Combination Agreement to reorganize and combine the two Companies.
Joe D'Amico, Chairman and CEO of South Plains Petroleum, Inc., (www.southplainspetroleuminc.com) who recently joined the Board of Metawells, reported that the committee of independent South Plains' Directors appointed to review the draft combination agreement gave a compelling report on the benefits of the combination at their regularly scheduled Board meeting on Tuesday, February 4th, and the Directors gave their
The transaction will consist of an exchange of Metawell's shares 1.5 to 1 for South Plains' shares, simultaneously with an uplist of the combined Companies to NASDAQ, accompanied by a name change to South Plains Petroleum and a trading symbol change. Minimum initial share price for NASDAQ qualification is
South Plains' by-laws contain an annual dividend provision based on the price of oil over
South Plains has multiple properties in both the Eastern Permian Basin of Texas and onshore Louisiana near the Gulf with significant proven oil and gas reserves awaiting development.
The most exciting feature of their main oilfield, centered on the Swenson Ranch north of Abilene, TX, is that the areas of pay are less than 3,000 feet deep and have already produced over 2.6 million barrels of oil. South Plains' in-house and third-party estimates of the Company's over 5 square miles of contiguous leases producing, proved and probable reserves of 2.25 million to 2.5 million barrels of oil recoverable with a PV10 in excess of
On the Company's contiguous Welch lease which covers the same oil field there is an additional 800,000 estimated, recoverable barrels of oil with an additional PV10 of
South of Abilene the Company has another proven field in the same type of reservoir at similar depth supporting 8 drill sites proven and probable reserves of 400,000 barrels of oil recoverable with a PV10 of
The South Plains Louisiana properties are much deeper and are high pressure wells. Wells the Company owns and some they are targeting contain an estimated 18+ Billion Cubic Feet (BCF) of natural gas and 1.8million barrels of oil recoverable with an estimated PV10 of
The combined, conservative minimum value of these properties is
About Metawells Oil and Gas Inc.
Metawells Oil & Gas Inc., a development stage company, is pursuing the acquisition and development of domestic US oil and gas resources. The Company will seek opportunities in known productive basins in proven fields with proven reserves.
A combination with South Plains Petroleum, Inc. would accomplish that goal.
For more information:
Ronald Minsky, CEO
Phone: (212) 381-8029
contact@metawellsinc.com
Forward Looking Statement
Safe Harbor Statement - In addition to historical information, this press release may contain statements that constitute forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this press release include the intent, belief, or expectations of the Company and members of its management team with respect to the Company's future business operations and the assumptions upon which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those contemplated by such forward-looking statements. Factors that could cause these differences include, but are not limited to, failure to complete anticipated sales under negotiations, lack of revenue growth, client discontinuances, failure to realize improvements in performance, efficiency, profitability, and adverse developments with respect to litigation or increased litigation costs, the operation or performance of the Company's business units or the market price of its common stock. Additional factors that could cause actual results to differ materially from those contemplated within this press release can also be found on the Company's website. The Company disclaims any responsibility to update any forward-looking statements.
SOURCE: Metawells Oil & Gas, Inc.
View the original press release on ACCESS Newswire
FAQ
What is the share exchange ratio in the Metawells (KOSK) and South Plains merger?
What are the total proven reserves of the combined companies after the KOSK merger?
What is the dividend policy for the merged company under the KOSK ticker?
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What is the total PV10 value of all South Plains properties in the KOSK merger?
