Since its foundation in 2016, the Company has acquired through its acquisition in May 2017 of Nobel Petroleum UK Limited and its wholly owned subsidiary, Nobel Petroleum LLC, and subsequent additional primary petroleum leasing, an interest in approximately 2,250 acres which form the central part of the City of Gonzales petroleum leases.
Drilling of the initial well is now complete and development of the well has turned to the production stage, with proceeds from the sale of oil and gas from the initial well scheduled to become available to the Group from the beginning of 2018.
The Company has the rights to develop all its petroleum leases, subject to funding, which may include funding from production cash flow from the initial well together with the continued drilling of either vertical or horizontal wells into the well-known proven productive formations which produce oil from within its project area which is surrounded and adjacent to nearly 400 prior drilled vertical wells. The timing of the development of the leases will be carefully managed as the development of the initial well progresses. Practically and geologically, the Company has acquired the central portion of the existing Gonzales Oil Field.