RIL plans JV with Pan Andean

Pan Andean, the AIM listed oil and gas producer, is pleased to announce that it has signed an agreement with Reliance Industries, India’s largest private sector enterprise with businesses in the energy and materials value chain, to farm into Block 141 in the high plateau of Peru. This move is in line with the stated Pan Andean strategy of reducing financial exposure, while accelerating drilling plans in potentially high value blocks.

The agreement is subject to the regulatory approval of the Peruvian authorities. Once such approval is obtained, Reliance Industries will assume operatorship.

Pan Andean will dilute its interest in Block 141 to 10%, in return for which Reliance Industries will incur all exploration costs through commercial discovery.

Source : http://www.panandeanresources.com/