The letter of intent signed to develop this oil & gas company’s large acreage in the red-hot Permian Basin would not only eliminate the company’s capex budget, it could give the company a long-term cash flow stream.
Amazing Energy Oil & Gas Co. (OTCQX:AMAZ) holds rights to 70,000 contiguous acres in the prolific Permian Basin. Today it announced that it has entered into an agreement with JH Fossil Energy, LLC to “develop Amazing’s current holdings in Pecos County Texas, as well as to be acquired assets located elsewhere in Texas.”
The agreements will allow JH Energy an opportunity “to acquire a 50% interest in the rights to approximately 70,000 continuous acres in Pecos County, TX exploiting the Yates, Seven Rivers, Grayburg, Queen, San Andres, Wolfcamp, Woodford, Devonian & Ellenburger pay zones and 6,600 acres located elsewhere in Texas that Amazing is currently in the process of acquiring.”
Technical analyst Clive Maund of CliveMaund.com, wrote on Nov. 26 that “the company has acquired a large block of land in the Permian Basin in Texas at an extremely cheap price, which is adjacent…
Continue reading this article: Development Agreement for Permian Basin Acreage Would Eliminate Capex Budget
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