Great East Energy, Inc. (OTCBB: GASE) said it has completed a reverse merger and investment with a publicly-traded company in the US and now trades on the OTCBB market under the stock symbol GASE.
In a simultaneous financing the company sold common stock in a private placement to certain investors, and issued shares valued at USDUSD26m for the option to purchase producing and distributing natural gas companies, their processing facilities and pipelines to customers, all located in Ukraine.
Great East Energy is a development stage company targeting the growing independent gas production industry of Ukraine, as Europe´s second-largest country by land mass makes energy self-sufficiency from Russia a priority. With Ukraine natural gas priced over three times U.S .levels, the energy industry holds compelling economics as well. Following the exercise of its exclusive option, the completion of GASE´s planned well development activities are planned to result in a multi-million dollar inward investment into the Ukraine.
On July 25, 2013, GASE entered into a Stock Purchase Option Agreement (the “Option Agreement) with Bezerius Holdings Ltd., a corporation organized under the laws of the Republic of Cyprus (BHL), whereby BHL granted to GASE an option to purchase 1,000 shares of equity capital of Synderal Services LTD, a corporation organized under the laws of the Republic of Cyprus (SSL), representing all issued and outstanding shares of SSL. SSL is engaged in the gas exploration and production business in Ukraine through its two wholly-owned subsidiaries, Ltd. Liability company NPK-KONTAKT and Ltd. Liability company LISPROMGAZ, each a legal entity formed under the laws of Ukraine. The Ukraine companies have been producing gas since 2003, own two gas processing facilities, and 13.5 kilometers of gas pipelines to their customers.
Great East Energy, a development stage company, focuses on the acquisition and development of natural gas properties. It holds an option agreement to acquire producing natural gas properties located in Ukraine. The company is based in Warrenton, Virginia. The company´s website is at http://greateastenergy.com.