Deal creates new Israel-based operator
GeoGlobal Resources (NYSE MKT:GGR) has an agreement to sell 90% of the issued shares of its Israeli E&P subsidiary to a private Israeli investment group.
CALGARY, Canada – GeoGlobal Resources (NYSE MKT:GGR) has an agreement to sell 90% of the issued shares of its Israeli E&P subsidiary to a private Israeli investment group.
In exchange for the 90% purchase of GeoGlobal Resources (Israel), the company would receive an investor’s loan of $775,000 to repay shareholder loans to GeoGlobal.
Paul B. Miller, president and CEO of GeoGlobal Resources, said: “Through this deal we have pulled together expertise to execute exploration programs and make an Israeli-based operator.
“We have brought together the owners of the Israeli Shipyards Ltd. led by Shlomi Fogel to provide shore base and logistics support; the proven engineering and drilling expertise led by Ken Stanley that has been part of the existing major discoveries in Israel; and the geology and geophysics expertise and local experienced staff of GGR. The combination of the three owners brings the key elements together for a well balanced team to execute on exploration programs in Israel.”