On August 31, 2018, Hunter Oil completed the sale of substantially all of its oil and gas operations (the “Assets”) which were located in the Permian Basin, New Mexico, to Pacific Energy Development Corp., a Nevada corporation and a wholly-owned subsidiary of PEDEVCO Corp. (NYSE American: PED), an arm’s length, California-based oil and gas company.
The aggregate purchase price paid for the Assets was USD $21,315,636 (the “Purchase Price”), being approximately CAD $27,710,327. In addition, the Purchaser assumed all of the long-term liabilities, being the asset retirement obligations associated with the oil and gas leases.
The Company expects to distribute its available cash (less USD $2,500,000 for working capital) to its shareholders as a return of capital distribution. The Company will announce the record date and mechanics for the distribution as soon as possible.