NiMin Energy Corp.

Transaction Type
Sellers
Marketers
Basin
Bighorn, San Joaquin, Gulf of Mexico
Post Date
Estimated Price
0MM
Description

NiMin Energy Corp., Carpinteria, Calif., (Toronto: NNN; OTCBB: NEYYF) has retained Macquarie Capital to seek strategic alternatives, including joint ventures, mergers or a possible sale of the company’s assets.

NiMin has U.S. oil and gas assets with principal operations in the Bighorn Basin of Wyoming, the San Joaquin Basin in California and South Louisiana onshore areas.

In Wyoming, the company owns and operates an average 97% working interest in four mature heavy oil fields in Park County. In California, NiMin, through its subsidiary Legacy Energy Inc., is the 100% owner and operator of Pleito Creek Field in Kern County. In Louisiana, Legacy has a 48.25% working interest in 1,900 acres on the northwestern flank of Krotz Springs Field in St. Landry Parish, Louisiana.

Production in the third quarter averaged 1,154 barrels of oil equivalent per day. Proved reserves as of year-end 2010 were 17.4 million barrels equivalent and proved and probable reserves were 28.6 million barrels equivalent.

Based on NiMin’s current reserves, production and operations, the company concluded that the common shares of NiMin trade at a substantial discount to the net asset value of its underlying assets.