Nostra Terra Oil and Gas has been granted a further extension to the deadline of its proposed acquisition of a 60% interest in producing assets at the Permian Basin in New Mexico from Alamo Resources.
The deadline has been extended to May 31, and as payment for the extension, Nostra Terra will issue 282.1 million shares at 0.10 pence each to Kayne Anderson Energy Fund. The payment on the closing of the proposed acquisition will be reduced by $370,000.
Nostra Terra is pursuing a debt raise to finance the acquisition.
Nostra Terra acquired the 60% stake from Alamo Resources $3million. In April it secured an extension to the deadline by which it was due to make an initial payment of $2.7million before the end of March. This was then extended to April 29.
Chief executive Matt Lofgran, said: “We’re pleased to have been granted the extension by the seller as we continue to progress towards closing, where we anticipate that it will be financed with debt. We’re also very pleased to welcome Kayne Anderson as our new largest shareholder and institutional investor.”