Petro River Oil Corp (OTC: PTRC) closed a private placement of common stock
with China-based Petrol Lakes Holding Ltd. at $0.08 per share for $6.5 million. Additionally, Petro River Oil issued a warrant to purchase additional common stock at $0.1356 prior to December 12, 2015.
Petrol Lakes Holding Ltd is a newly formed investment group with strategic ties to China’s oil and gas industry. The proceeds will be used to fund development of Petro River's portfolio, including over 115,000 net acres of oil and gas assets in Kansas, Missouri and Kentucky.
Petrol Lakes is working with Petro River towards a potential joint venture with a strategic partner in China in the company's 85,000 net acres in the Mississippian Lime play in Kansas. The company is also reviewing acquisition opportunities in the Mississippi Lime play in Kansas and Oklahoma.
Petro River formed Petro Spring LLC, a wholly owned subsidiary, to acquire and develop technologies focused on enhanced oil recovery. Petro Spring brings together a team of technologists experienced in applying technology to increase efficiency of oil production. Petro River, headquartered in Houston, is an emerging oil and gas producer with producing wells in the Southeast Kansas region of the Mississippi Lime.