Wednesday, November 30, 2011

Bethel Finance: Myra, Sarah partners sell 5% stake to Canadian drill operator

www.bethelfinance.com

Bethel Finance news:

The Israeli partners in the Myra and Sarah offshore licenses have sold an additional 5% of the licenses to their Canadian partner and drill operator GeoGlobal Resources Inc. (AMEX: GGR) subsidiary GGR India Ltd, for $6.3 million. GGR is exercising an option granted in May 2010, when it was chosen as the drill operator.

GGR is paying $1.3 million for exercising its option and $5.1 million for its share of operating costs of the licenses to date.

Modiin Energy LP (TASE:MDIN.L), controlled by Nochi Dankner and Tzahi Sultan, will receive $1.4 million from GGR. The other Israeli partners are Ofer Nimrodi-controlled Israel Land Development Company Energy Ltd. (TASE: IE) and affiliates, and IPC Oil and Gas Holdings Ltd. (IPC) (TASE: IPC).

Following the sale, ownership of the Myra and Sarah licenses is as follows: GGR - 10%; Modiin - 28.1% and its shareholder IDB Development Corp. Ltd. - 5.3%, ILDC Energy and its affiliates Emanuelle Energy Ltd., Emanuelle Oil and Gas LP, and parent company Israel Land Development Company (TASE: ILDC) - 43%; and IPC - 12.9%.

Modiin Energy's share price rose 0.8% by midday to NIS 0.376, giving a market cap of NIS 716 million; ILDC Energy's share price rose 0.6% to NIS 0.82, giving a market cap of NIS 685 million; and IPC's Energy's share price fell 4.4% to NIS 0.70, giving a market cap of NIS 113 million.

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