NEW YORK, NY, United States, via ETELIGIS INC., 11/04/2014 – – Viking Investments Group, Inc. ("Viking") (OTCQB: VKIN), is pleased to advise it has completed the purchase of a 50% working interest in the Joffre oil and gas property located in Alberta, Canada (the “Joffre Property”). Viking’s interest will be held through a wholly-owned subsidiary of Viking. Tanager Energy Inc. (TSX.V: TAN) ("Tanager") owns the remaining 50% working interest in the property and will operate and manage the property in accordance with an Operating Agreement pursuant to the Canadian Association of Petroleum Landman Operating Procedure.
This investment provides Tanager with the working capital to complete and place on production the first of four suspended Devonian oil wells in the Joffre D-3 B oil pool. It is anticipated that additional recompletions will follow depending on the results of this first well.
The total purchase price for Viking’s interest in the property was CDN$400,000, with $340,000 paid on closing and the balance to be paid on or before November 30th, 2014. The proceeds will be used by Tanager to complete and place on production its first re-entry of a Devonian oil well in the Joffre D-3 B oil pool. Tanager is planning to mobilize immediately and expects to have the well re-completed by the end of November. The well is anticipated to initially produce approximately 100 barrels of oil per day.
An independent third party evaluation by the Resources Evaluation and Advisory Group of Deloitte LLP provided the following information on 100% of the Joffre Property:
Proved undiscounted reserves, $4,797.7. Discounted 10%, $3,061.8
Proved + Probable reserves, $10,727.6. Discounted 10%, $7,051.9
Tanager and Viking are also evaluating additional oil and gas properties for acquisition within the next 6 months.
Viking was able to complete the Joffre acquisition using proceeds (USD$302,437.29) received by Viking on October 31, 2014 in connection with the private placement announced by Viking on May 12, 2014.
Tanager Energy Inc. is a Lethbridge, Alberta based corporation engaged in the exploration for oil and gas and minerals, with an operations office in Calgary, Alberta. The Corporation’s common shares are listed on the TSX Venture Exchange under the trading symbol "TAN".
Viking provides professional advisory and consulting services to companies undergoing or anticipating periods of rapid growth, significant change or ownership transition. Target companies must have superior management, intimate knowledge of the particular industry and a sound business plan, along with a desire and receptiveness for specific expertise to advance the company’s business objectives.
Viking is not an investment company, as defined by the Investment Company Act of 1940.
Safe Harbor Statement
This press release may contain forward-looking information within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act), including all statements that are not statements of historical fact regarding the intent, belief or current expectations of the company, its directors or its officers with respect to, among other things: (i) the company’s financing plans; (ii) trends affecting the company’s financial condition or results of operations; (iii) the company’s growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the company’s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors including the risk disclosed in the company’s Forms 10-K and 10-Q filed with the SEC.
For additional information please contact:
Viking Investments Group, Inc.
1330 Avenue of the Americas, Suite 23A
New York, NY 10019
Website: www.vikinginvestments.com(will be updated accordingly)
SOURCE: Viking Investments Group, Inc.