SOURCE: Mondial Ventures Inc.
SCOTTSDALE, AZ--(Marketwired - Apr 2, 2014) - Mondial Ventures Inc. (OTCQB: MNVN) (the "Company") announced it has launched a new majority owned subsidiary Boomerang Oil, Inc. (referred as "Boomerang"). The Company is also pleased to announce that effective today the common shares of Boomerang Oil, Inc. will commence trading on the Canadian Securities Exchange ("CSE") under the trading symbol "BOI".
On February 7, 2014 the Company reported in its Form 8-K that it entered into an Asset Purchase Agreement on January 21, 2014 with Shale Corp. (referred as "SCorp") a private corporation organized under the laws of the Ontario with its principal place of business located at 365 Bay St, Suite 400, Toronto On, M5H 2Vl. The purpose was to establish a majority owned subsidiary that would be consolidated with the Company in order to support its current and future oil and gas development plans.
On March 31, 2014, Shale Corp. closed a "three cornered amalgamation" pursuant to an acquisition and amalgamation agreement (the "Amalgamation Agreement"). Pursuant to the Amalgamation Agreement, SCorp amalgamated with Newco (a wholly owned subsidiary of Boomerang) to form a combined entity ("Amalco"). Boomerang issued 70,000,000 shares of Boomerang common stock to the shareholders of SCorp on a one share for one share basis. Upon closing of the Amalgamation Agreement, the Registrant owns 66% of Boomerang.
The Company now looks to move forward with the original plans initiated last summer. To that end, the Company has been diligently working on, and has submitted its eligibility for DTCC via a participant as of December 2013 and awaits decision for its MNVN electronic entry. The Company is also taking steps to clear up technical issues on the Canadian markets system with a goal to gain better broker and trading house acceptance for the Company's common stock.
The Company is now looking forward through its new majority owned subsidiary Boomerang to start drilling its first deep well by early this summer. Plans include initially targeting the Ellenburger formation on the Company's J.B. Tubb Leasehold Estate at approximately 8,300' foot depth with a CAPEX requirement now set at approximately $1.6 million.
Plans also include the proposed development of the Company's South 40 Participation Agreement with its working interest partners, based on recommendations by independent Certified Geologists. Additionally, the Company also has future plans to drill up to three more wells on the South 40 location via its option rights Participation Agreement. The first objective is to drill the Ellenburger well on the South 40 and the geologically updip location. The Crawar Field on the J.B. Tubb Leasehold Estate also has multiple producing horizons and will be up for consideration. According to Geologists, the Ellenburger formation sits along a fault plane increasing viability below 6,200' and at approximately 8,300' -8,400' feet. The second and third target well locations are in the Waddel formation to 7,700-7,900' foot depth and the Wolfcamp formation at approximately 6,200' foot depth respectively, with an additional CAPEX requirement of approximately $2.6 million.
Dennis Alexander, Mondial CEO, stated, "We believe our business plan has been successfully revised and updated for the JB Tubb Leasehold interests located in the Crawar Field in Ward and Jones Counties, Texas. Moving ahead, we are focusing exclusively on the financing, drilling and development plans for Boomerang's growth. Our goal is to build a dynamic portfolio of oil and natural gas programs that range from seismic-supported exploration projects, drilling locations with proved reserves and fully producing properties."
About Mondial Ventures Inc. and Boomerang Oil, Inc.
We are an Oil and Gas Producer engaged in the acquisition of Oil and Gas properties and assets that can be developed into revenue producing assets. The Company has put an emphasis on acquiring existing Oil fields with proven reserves or by the rehabilitation of oilfields with potentially high throughput.
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Mondial Ventures Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Mondial Ventures Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Mondial Ventures Inc.'s filings with the Securities and Exchange Commission.
CAUTIONARY NOTE TO UNITED STATES INVESTORS
The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms, such as prospective resource or Original Oil in Place (OOIP) or Petroleum Initially In Place (PIIP), that the SEC's guidelines strictly prohibit us from including in filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form 10K.
Additional information may be found at the following web site: