Decklar Resources Inc. and its co-venturer Millenium Oil & Gas Company Limited have completed delivery of 10,000 barrels of crude oil, bbls, to a small crude oil refinery in Edo State.
The delivery was conducted under the terms of the sales agreement of which an invoice has been issued and payment received.
The initial agreement provided for deliveries totaling 10,000 bbls, and a new agreement is being negotiated for delivery of an additional 30,000 bbls. The parties are also in discussions to potentially agree upon a monthly minimum quantity of barrels of Oza Oil Field crude to be sold to the refinery going forward.
The CEO of Decklar Resources, Sanmi Famuyide said: “the completion of the initial sale of 10,000 barrels of crude oil to the Edo refinery with proceeds to follow within 21 days is an important milestone for Decklar as it marks our first crude oil sale. The deliveries of crude oil from the Oza Oil Field to the Edo refinery have proven that Decklar’s trucking delivery system is viable and that the Company can maintain stable crude oil production and shipments.
“Decklar will continue to work to improve on this crude oil delivery operation to make it more efficient and consistent while we work towards implementing other crude oil export systems that will enable Decklar and its co-venturer Millenium to fully utilize the production capacity of the Oza Oil Field.”
Decklar also announced that, it has granted, effective December 21, 2022, an aggregate of 3,325,000 share purchase options to certain directors, officers, and consultants of the Company and its wholly-owned subsidiary Decklar Petroleum Limited, in accordance with the Company’s current stock option plan.
A total of 1,750,000 of the Options are being issued to directors and officers of the Company. Each Option is exercisable into one common share of the Company at a price of $0.30 per Share for a period of five years expiring December 21, 2027.
The options vest one-third immediately, one-third on June 21, 2023, and one-third on December 21, 2023.
