OilVoice - Excelsior Acquires Gross Overriding Royalty on Hangingstone Asset

Excelsior Acquires Gross Overriding Royalty on Hangingstone Asset

Friday, January 08, 2010

Excelsior Energy Limited announces that pursuant to the Hangingstone farm-in agreement ('the Agreement') dated February 26, 2007, it has exercised its option to acquire and cancel the gross overriding royalty (the "GORR") that currently encumbers the Company's Hangingstone oil sands property located in the Athabasca oil sands region near Fort McMurray, Alberta. Pursuant to the Agreement, in consideration for the cancellation of the GORR, Excelsior will issue 1,445,056 common shares to the current GORR holder, representing 1% of Excelsior's issued and outstanding share capital (on a non-diluted basis) subsequent to such issuance. Total outstanding shares will be 144,505,646 common shares after the acquisition. The common shares issued pursuant to the cancellation of the GORR will be subject to a four month hold period.

Review the latest Oil Sands news and associated company profiles