Argentina

Antrim and Crown Point agreement

Antrim announced on March 26, 2012 that it had entered into an agreement with Crown Point Ventures Ltd. whereby Crown Point will acquire all of the issued and outstanding common shares of Antrim's Argentina subsidiary, Antrim Argentina S.A., for a total consideration of approximately $53.75 million comprised of $10.26 million in cash and the issuance of 35,761,307 common shares of Crown Point at a deemed price of $1.216 per Crown Point Share. The assets of Antrim Argentina consist of a 25.78% non-operated interest in the Tierra Del Fuego Concessions, a 50.1% operated interest in the Cerro de Los Leones exploration license and approximately $7.35 million estimated working capital.

Pursuant to the terms of the arrangement, the Crown Point Shares will be distributed by Antrim to the holders of common shares of Antrim on a pro rata basis as a return of capital upon completion of the Arrangement. Upon completion of the Arrangement, Crown Point will have approximately 104.5 million shares outstanding and will be owned approximately 66% by existing shareholders of Crown Point and 34% by existing shareholders of Antrim.

The Board of Directors of both Antrim and Crown Point have unanimously approved the Arrangement. All of the directors and officers of Antrim, and certain significant Antrim Shareholders beneficially owning or controlling an aggregate of approximately 27% of the Antrim Shares on a non-diluted basis, have agreed to vote their securities in favour of the Arrangement.

 

Fact Sheet

  • 3 licences (net 25.78%) acquired in 2005 in Tierra del Fuego, licence term with a primary termination of 2016 and with the option to extend to 2026.
  • Drilling success rate of 80%
  • 800 km 3-D seismic shot
  • Current production 1600 boed
  • Drilling target and depth 1800 – 2500 M
  • Production forecast to 2015 = 2,730 boed
  • Facilities
  • Oil is collected at the Las Violetas oil battery, the Rio Chico facility and field separators for processing at Rio Chico and transportation by truck to the Apache tank farm and offshore loading facility at Cruz del Sur for subsequent transportation to oil refineries located on the east coast of continental Argentina. Shipments usually take place every two months. Propane and butane produced at the San Luis facility is sold locally in small volumes, with the bulk being shipped by pipeline across the border and sold to the Chilean state oil company, ENAP, for local distribution. Natural gas processed at San Luis is piped south to Ushuaia, the provincial capital Argentine Tierra del Fuego and sold into local industrial, power and residential markets. Gas gathered and processed at the Rio Chico facility is compressed and injected into the high pressure main sales line (TGS) which connects island gas across the Straits of Magellan to the major consumer markets (industrial, power and residential) in the Buenos Aires area. Currently about 75% of the gas produced on the company’s concessions is piped across the Straits to mainland Argentina.

 

  • 307,215 acre Cerro los Leones exploration concession, located in Argentina's Neuquén Basin.