Equitorial Exploration Corp.
EQUITORIAL AND CARDIFF ENERGY REPORT INITIAL FLOW RATE RESULTS FROM THE CLAYTON #1H WELL, RUNNELS COUNTY TEXAS.
Equitorial Exploration Corp. (the “Company”or “Equitorial”), is pleased to announce that Cardiff Energy Corp. (“Cardiff”) has completed an initial flow test on the Clayton #1H well located in Runnels County Texas. The operator has reported an initial flow rate of 275 Barrels of Oil Per Day without any stimulation to the formation. Furthermore, Cardiff has announced plans to apply an acid treatment to the Clayton #1H well in early 2016, which has the potential to substantially increase the flow rate.
Equitorial has a 30% working interest in the Clayton #1H well under the terms of a joint venture agreement previously announced via press releases dated September 30, 2015, October 9, 2015, and October 23, 2015. The Company has the option to finance 40 per cent of future lease acquisitions and will have the option to further finance 40 per cent of the working interest of all future wells that will be on lands acquired in Runnels county, Texas, as announced in the Company's news release of Oct. 9, 2015. The joint venture agreement and subsequent amendments are subject to TSX Venture Exchange (“TSXV”) approval.
Dean Pekeski, Interim CEO of Equitorial commented, “Cardiff and Equitorial have pioneered the first Gardiner Lime horizontal well in Runnels County, Texas. The initial flow test has met the Company’s expectations. This coupled with multi-zone opportunities on Cardiff's current leases, additional leases in the surrounding vicinity being secured, and a follow up drilling program being finalized, positions the Company well to enter a significant growth phase.”
Iberian-Mineworx Amalgamation Agreement Update
The Company is also pleased to announce that subsequent to its press release dated November 17, 2015, Iberian Minerals Ltd. (“Iberian”) has announced that it has acquired (the “Acquisition”) Mineworx Technologies Inc. (“Mineworx”), a private arm’s length mining and technology company, subject to TSXV final approval. The Acquisition was completed pursuant to the terms of the amalgamation agreement made among Mineworx, Iberian and a wholly-owned subsidiary of Iberian.
Under the terms of the amalgamation agreement, Mineworx shareholders will receive approximately 2.53646 common shares of Iberian for every one Mineworx common share. In connection with the transaction, Iberian will issue approximately 83,999,943 Iberian shares to the Mineworx shareholders. Upon completion of the transaction, Iberian expects to have approximately 243,380,078 Iberian shares issued and outstanding, of which the former holders of Mineworx will hold approximately 34.5 per cent. As previously announced on October 13, 2015, the Company holds 17,025,000 Mineworx shares.
The Company would also like to announce the election of Dean Pekeski, Binny Jassal, Jack Bal, and Saf Dhillon as directors of the Company subsequent to the Annual General Meeting of its shareholders held December 7, 2015. The Company would like to further announce that Jack Bal has been appointed President with immediate effect. Dean Pekeski will remain as interim CEO and interim Secretary.
On behalf of the Board of Directors
EQUITORIAL EXPLORATION CORP.
Dean Pekeski, Interim CEO, and Director
For further information, please contact Dean Pekeski at 604-689-1799.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.