TomCo Energy PLC (AIM:TOM) told investors it has continued to make progress with its plans for the Tar Sands Holdings II (TSHII).
TSHII owns 760 acres of land in Uintah County, Utah, and TomCo owns a 10% membership interest in TSHII via its wholly owned subsidiary Greenfield Energy.
TomCo said Greenfield has extended the repayment date of the unsecured US$1.5mln loan from Valkor Oil & Gas that enabled the acquisition of the initial 10%, as it had been scheduled to be repaid by 30 May 2022.
The new repayment date is 30 June 2022.
Meanwhile, three wells of exploration on the TSHII site have been drilled, with initial results said to have met the company’s expectations and are now being assessed and confirmed by Netherland, Sewell & Associates.
An update to the reserve report is expected to be made in the coming months, based on this assessment.
John Potter, CEO of TomCo, said, “We are pleased with the positive results we have already seen from the three exploration wells.
“We are also advancing the previously announced due diligence exercise being undertaken by a potential financing party currently interested in backing our plans for Greenfield, together with other matters in relation to the TSHII site.”
Potter said a site visit was recently made to Utah by the company’s board, including a meeting with the Valkor team, sand off-take partners and local professional advisors.
“We look forward to providing further updates in due course,” he said.
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