Hydrocarb noted that its board of directors approved the acquisition, after receiving an independent oil resource estimate for oil and gas concession in the Owambo basin adjacent to Angola in northern Namibia.
The merged company will be renamed as Hydrocarb Energy, with an interim name of Duma Hydrocarb.
The merger will allow the companies to combine onshore and offshore oil and gas production in the US and a 5.3 million acre exploration concession in northern Namibia.
It will also allow to combine oil field services license approved by the Supreme Petroleum Council of the UAE, and to involve in the ongoing active negotiations with several African countries in the prolific East African Rift play.
Duma Energy CEO Pasquale Scaturro said the acquisition is a major milestone for the company, which includes tremendous upside potential.
"The Netherland, Sewell & Associates report released yesterday, estimating 1.1 billion barrels of unrisked in-place potential reserves, means that our combined company is currently trading at a tremendous value per barrel of oil," Scaturro added.
