Subiaco-based Modena Resources has announced plans to acquire Texas company Blackgate Resources, which in turn plans to acquire Arturus Capital's interest in several US gas fields.
The proposed transactions follow the appointment two months ago of Anthony Hamilton as Modena's chairman, replacing Wayne Bellman who continues as chairman of Sydney-based Arturus.
Modena said the consideration for the acquisition of Blackgate was US$23.988 million (A$26.6 million), to be satisfied by either shares or cash or a combination.
Blackgate's primary asset is a priority debt position with BNP Petroleum Corporation, which is currently the subject of Chapter 11 bankruptcy proceedings.
Modena plans to secure BNP's oil and gas production assets in the US via its shareholding in Blackgate.
Blackgate also has an agreement to acquire Arturus' interests in the income stream from three gas projects in Texas and the participation agreement in a separate well in Texas.
Arturus has advised the ASX that the sale price for these assets is US$7.265 million. The consideration will be satisfied through the issue of 193.7 million Modena shares.
As such, the sale of the Texas interests to Blackgate is conditional on the sale of Blackgate to Modena.
The transactions will lift Arturus' shareholding in Modena from 10.3 per cent to about 32 per cent.
