Monogram Energy, Inc. (MGRA.PK) reports that it has agreed to an expansion of the business relationship with Northamerican Energy Group Corporation previously announced on June 22, 2007.
Terms call for the exchange of restricted common stock between the respective companies. Monogram Energy will receive a 50% interest in 27 wells, which are projected to yield annual revenues of approximately $400,000 following workover.
Billy D. King, President and CEO of Monogram Energy, stated, “A number of these wells are going to require minimal workover, which will provide us with a quicker revenue stream, and we anticipate a rapid cost recovery on the entire project.”
The June 22nd press release had announced the partnership, where Monogram Energy, as the Majority Partner, will provide all funds necessary to acquire and workover the wells, and Northamerican Energy, as both the General Partner and a Minority Partner, will operate the wells under an operating agreement.
Monogram Energy specializes in acquiring oil & gas leases with proven reserves that have the potential for increased production.
The company’s goal is to maintain a high risk/reward profile, thereby enabling it to return the most value to its’ shareholders.
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