For this, Adira Energy has signed a definitive co-operation agreement with GGR, which is planning to acquire up to a 5% participating interest in each of the two petroleum licenses.
GGR has an option to acquire a further participating interest of 5% in each of the licenses from the consortium, for an additional consideration of $1,200,000 combined, plus prorate share of costs related to the licenses.
This is applicable from the date upon which GGR acquired the M&S Options, until the date at which the M&S Options are exercised (not expected to exceed $250,000) (Option Consideration), subject to certain terms and conditions.
This option has been assigned to Adira and in order to exercise such option, Adira will be required to pay the option consideration and comply with the terms and conditions.
The Myra and Sara licenses are located in the Levantine Basin which is located off the western coast of Israel in the Mediterranean Sea, in waters approximately 1,400m deep.
3D seismic data for Myra and Sara has been shot, acquired, and processed and the data has been submitted to the Ministry of National Infrastructures.
The initial interpretation of the results of the 3D seismic data was completed and a report submitted to the MNI on 1 August 2010.
