Effective April 28, 2008, Language Enterprises Corp has changed its name to Doral Energy Corp. Shareholders’ approval was not required to change the company’s name. No changes were made to the company’s articles of incorporation or bylaws and the company will continue its existing business as an emerging oil and gas exploration and production company.
In addition to the name change, the company has agreed to acquire a significant package of oil and gas producing properties in southeastern New Mexico in the northwest section of the Permian Basin. The property is currently producing approximately 120 gross barrels of oil equivalent per day (“BOEPD”). The company will purchased 7,500 acres of leasehold acreage and 186 total wells from Hanson Energy in cash, stock, and an overriding royalty interest transaction combination.
Doral Energy CEO Dr. Paul Kirkitelos stated, “We are very excited about this acquisition, because it not only positions us to be an immediate participant in the vibrant oil and gas markets, it also places us in the Permian Basin, a region of very strong oil production pedigree, and an area in which we are focused on assembling a portfolio of producing assets. The Hanson Energy property fits in nicely with our strategy of acquiring assets that have solid existing cash flow, plus the opportunity for significant production increases through operational improvements and new drilling.”
Further, H. Patrick Seale, the Company’s lead consultant for engineering and operations stated, “This purchase for Doral Energy provides a strong entry into the Permian Basin with current oil and gas production and very significant upside potential. Based on extensive studies of the properties to date, we have created a work plan for operational improvements that we believe could increase production from the existing wells by up to 30% by the end of 2008, in addition to our development drilling program for the undeveloped acreage.”
He continued, “The work plan will include well repair and clean-out workovers, well chemical treatments and acid stimulations, and improvements in pump and production facility efficiencies. The implementation of this work plan will begin immediately upon closing of the transaction.”
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