Deep Core To Take Over Petro Vista’s Morichito Block Assets In Colombia

To buy Petropuli, which owns 50% participating interest in Morichito Block in Llanos Basin, Colombia.

Privately held, Cayman Islands-based Deep Core Inc. plans to acquire all the issued capital of Petropuli Ltda. held by its parent company, Petro Vista Energy Colombia (Barbados) Corp., a subsidiary of Petro Vista Energy Corp., Vancouver, (Toronto Venture: PTV) for US$4.85 million in cash and assumed debt.

Deep Core will pay US$1.5 million at closing and US$250,000 90 days after closing. Deep Core will also assume US$3.1 million in debt.

Petropuli owns a 50% participating interest in the Morichito Block in the Llanos Basin, Colombia. The sale does not include Petropuli's 25% participating interest in Block SSJN-5 in the Middle Magdelena Basin, Colombia, which will be transferred to a Petro Vista affiliate following closing.

The sale of Petropuli is the first step in Petro Vista's business plan to rationalize its Colombian oil and gas interests with the goal of focusing on the development of its Tartaruga producing asset in Brazil.

Petro Vista chairman Keith Hill says, “The sale of the Morichito property cleans up our balance sheet and allows us to focus on development of the Tartaruga field and the drilling of two high impact exploration wells in Colombia and Brazil."

The deal is expected to close Jan. 16. It was originally intended to close Dec. 14.