Xstate Resources Limited (ASX:XST) acquired 50% stake in High Island Block A549, Offshore Texas, in the Gulf of Mexico from Pyramid Petroleum, Inc. for AUD 0.21 million in stock on March 19, 2013. Xstate Resources will issue one million shares to vendor. If any wells drilled by Xstate on A549 are successful, and are completed and developed, and commence production prior to January 1, 2016, Xstate will issue 6.5 million shares to the vendor. If these shares are not able to be issued by Xstate, it will be required to either assign a 2% overriding royalty interest on its share of production or make a cash payment in lieu of those shares of $3 million (AUD 2.89 million). The conversion has been done through oanda.com as of March 21, 2013.


Xstate Resources Limited (ASX:XST) completed the acquisition of 50% stake in High Island Block A549, Offshore Texas, in the Gulf of Mexico from Pyramid Petroleum, Inc. on March 19, 2013.