NEW YORK, NY–(09/13/11)- Fox Petroleum Inc. (Pinksheets: FXPT.PK – News) announced today that it is acquiring Renfro Energy LLC and Cameron Parish Pipelines LLC for three-hundred thousand dollars ($300,000) in cash.
Renfro Energy LLC is a Dallas, Texas based limited liability company formed in March 2002 as an asset holding company to house existing oil and gas assets located in Texas, Oklahoma and for acquisitions identified in Louisiana. Since 1995, Renfro Energy LLC and its predecessor company have bought and sold over $6 million of oil and gas properties through approximately fifteen acquisitions. The assets are located in the heart of the Johnson Bayou, Louisiana on the northern flank of the Cameron Meadows Salt Dome.
In 2003, Renfro Energy LLC obtained a new lease on the property and began operations. Estimated recoverable oil reserves from the current zones are 40,000 barrels with an additional 100,000 barrels of oil reserves from a behind pipe zone in one of the existing wells.
"Currently there are four wells on the property, two oil wells, one salt-water disposal and one shut in well with future utility," said James Renfro, President of Fox Petroleum Inc. "We fully expect that the two oil wells within thirty days expect to be producing between fifteen to twenty barrels a day or close to six hundred barrels per month," he added.
Mr. William Lieberman, CEO of Fox Petroleum, said, "We look very forward to these acquisitions that no doubt will add significantly to the bottom line of Fox Petroleum in due course. We feel that we are paying a very decent price for long term assets that have great value. We are very confident in working with Mr. Renfro in all capacities, and feel that all shareholders will benefit in the long term. This is strictly a cash deal to start, Fox Petroleum is giving up no equity at this time."
Fox Petroleum expects to complete the transaction of both Renfro Energy LLC and Cameron Parish Pipelines LLC by October 31, 2011 upon completion of PCAOB audits.
About Fox Petroleum, Inc. (FXPT.PK)
Fox Petroleum Inc., a development stage company, engages in the identification, exploration, acquisition, and development of prospective oil and gas properties. It holds oil and gas interests in a United Kingdom onshore license; and joint venture interests in Texas. The company was formerly known as Nova Resources Inc. and changed its name to Fox Petroleum Inc. in February 2007 to reflect the new direction of its business of oil and gas exploration and development activities. Fox Petroleum Inc. was founded in 2004 and is based in New York, New York.