| Reply to Jimjones1972 - Msg #5681 - 11/03/2016 19:15|
KFG unit seeks financing for drilling in Mississippi
2016-11-03 13:40 MT - News Release
Mr. Robert Kadane reports
KFG Resources Ltd. subsidiary KFG Petroleum Corp., of Natchez, Miss., is in the process of attempting to finance its drilling and development program. The current environment is extremely difficult, and it may be the first quarter of 2017 before sufficient drilling funds have been raised to protect the company's cash position.
The company has one, possibility two, development wells to drill in Mississippi, but currently, partners and mineral interest owners do not want to drill and sell the oil at current prices, but will be agreeable in the 60-dollar-per-barrel range. The company has assembled two wildcat acreage blocks in Mississippi, but to date, the company has not been able to raise enough capital to justify the dry hole risk involved. The fact that most operators only have year-end budgets and can not project reliable cash flow in the near future, because of fluctuating oil prices, makes planning difficult, but KFG is pursuing all leads.
KFG would like to acknowledge its new director, Giacomo Grassi, for the work he has done on the company's new website.
© 2016 Canjex Publishing Ltd. All rights reserved.