Esrey Energy Ltd. ("Esrey" or the "Company") (TSX VENTURE:EEL) announces the Company has entered into a binding agreement to add to its holdings in Poland's Baltic Basin through the acquisition of additional interest in Saponis Investments Sp. z o.o. ("Saponis"). The Company and BNK Petroleum Inc. have agreed to acquire the interests of the other two Saponis shareholders on a pro-rata basis. As of December 31, 2013 ("Effective Date"), Esrey will hold a 42.96 % interest in Saponis.
"The acquisition of additional interest in the Baltic Basin is consistent with our long-stated objective of maintaining optionality in our holdings in Poland," remarked David Nelson, President and CEO. "Esrey continues to monitor activity by offset operators as they assess the commerciality of the play on their respective acreage. The Company's future plans with regards to its holdings in Saponis will depend on this activity, combined with our analysis of ongoing changes to the regulatory environment in Poland. We look forward to continued close cooperation with BNK Petroleum Inc. in the evaluation of the Saponis acreage."
In consideration for the acquisition, the Company and BNK Petroleum Inc. will assume the future obligations of the selling shareholders in respect of the concessions held by Saponis, on a pro-rata basis.
The Company also announces the resignation of Mr. Mark Gustafson as director. The board would like to thank Mr. Gustafson for his input and for sharing his expertise through the Company's recent re-organization and would like to wish him well in his future endeavors.