Mart Resources, Inc. (TSX: MMT) (“Mart” or the “Company”) has announced the closure of the previously announced plan of arrangement (the “Arrangement”) with Midwestern Oil & Gas Company Limited (“Midwestern”), San Leon Energy Plc and 1038821 B.C. Ltd. (“Acquireco”).
Pursuant to the Arrangement, Acquireco, an indirect wholly-owned subsidiary of Midwestern, acquired all of the issued and outstanding common shares of Mart (the “Mart Shares”) and holders of Mart Shares (“Mart Shareholders”) received CAD$0.25 cash in exchange for each Mart Share held (the “Cash Consideration”) for aggregate consideration of approximately CAD$89.2 million for all Mart Shares.
All outstanding stock options of Mart were terminated without further consideration.
Midwestern Oil & Gas Company Limited commenced operations in 2001 and upstream activities in 2005. The Company is owned by a group of Nigerian entrepreneurs and partially by the Delta State Government.
In 2003 the Company was awarded 70% interest in Umusadege Field located in OML 56 which is situated at the northern area of Delta State, Nigeria. Midwestern is the operator of the field in a strategic alliance with Suntrust Oil Company Nigeria Limited and Mart Energy Services Limited. Sequel to field activities, first oil was achieved by the stakeholders of Umusadege field in April, 2008 at flow rates of around 3,000bopd from re-entry of the Umusadege-1 well. This has been rapidly increased to approximately 15,000bopd through additional development drilling.
While Mart Resources, Incorporation is an independent international upstream oil and gas company.
It has a market cap of $72.84 million. Its principal business activities consist of the exploration, acquisition, development and production of gas and oil in Nigeria.