Westbridge Energy (TSX-V:WEB, StockForum), a Vancouver-based company engaged in the acquisition and development of oil and gas properties located in Namibia and the US, announced today that the company had entered into a definitive agreement with Black Pearl Holdings for the purchase of working interest at Black Pearl's Bivens Field Project, Wharton County Field Project and Lavaca County Project.
Based on TSX approval, Westbridge will proceed by launching multiple work programs and creating a corporate structure to support the merger of the company and Black Pearl expected in 2014.
According to the news release, “All requisite documentation has been filed with the Exchange including a National Instrument 51-101 technical report and the Definitive Agreement.”
President and CEO of Westbridge, Tosan Omatsola described the importance of the deal, “The signing of the Definitive Agreement with Black Pearl represents a significant milestone for Westbridge and its shareholders.”
Omatsola explained, “Over the last several months, Westbridge has executed on its stated objective to source current and near term production as well as raised an amount of capital sufficient to complete the initial work programs.”
Black Pearl CEO and President Michael Looney, summed up, “We believe the combination of Westbridge and Black Pearl will enable us to secure both the private and public market capital required to fully exploit the more than 500 prospects generated from the 100,000 linear miles of 2D data licensed from ExxonMobil in the Gulf Coast states of the US.”
Westbridge was in the news recently when the company was granted the option to merge with Black Pearl.
Shares climbed 18.18% on the news to $0.065 per share.
Currently there are 84.5m shares outstanding with a market cap of $5.5 million.