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Subscribe to RSS  Freedom Announces Sale of Assets to Hewitt Petroleum On Thursday, September 3, 2009, Freedom Oil & Gas, Inc. (“Freedom”) and Hewitt Petroleum, Inc. (“HPI”) entered into an agreement for the sale and purchase of 12.0% working interest (Deep rights) in the 17,000 acre Utah Overthrust Project in exchange for cash, HPI common shares, and a 2-well carry of Freedom’s remaining 20% WI, such that HPI will pay all costs of the drilling and completion of two Navajo test wells, to be drilled within 12 months. On September 8, 2009, Freedom’s Board of Directors ratified the HPI agreement and declared a dividend of one (1) share of HPI common stock for every ten (10) shares of Freedom stock outstanding. The record date for such dividend was set as September 30, 2009. Thus, Freedom shareholders who own 10,000 shares of Freedom Common Stock as of the record date, will receive 1,000 HPI common shares as a dividend. For additional information on Hewitt Petroleum, HPI’s website is: www.hewittpetroleum.com Freedom announces $1 million Financing Freedom Oil & Gas recently completed a $ 1million convertible debt financing with Quantum Energy & Technologies, LLC, on February 12, 2009. Proceeds of the financing were primarily used to acquire an additional 5.0% WI in the Utah Overthrust leases bringing Freedom’s ownership to from 25.5% to 30.5% WI (a 20.0% increase). In connection with the WI purchase, Freedom also signed a joint operating agreement (JOA) whereby Freedom was designated as the Operator of the Utah Overthrust leases in the Deep zones (covering all stratigraphic depths and intervals from the top of the first Jurassic Twin Creek and below). Also, in connection with this financing, Freedom secured a 90-day option to acquire an additional 15.0% WI in the Utah Overthrust leases from another WI owner. Overall, this convertible debt financing proved to be an important and valuable transaction for our Company. Freedom announces participation in the Hewitt Operating Liberty #1 wellFreedom entered into a Farmout Agreement with Hewitt Operating for the 447-acre Nephi Prospect to drill a 4,500’ Navajo test well named the HPI Liberty #1, located approximately 1 mile NE of the city of Nephi, in Juab County, Utah. The drill site and roads were excavated and prepared during November and December 2008, and in January HEG spudded the well and set conductor pipe. Weather delays have occurred due to the condition of the road and drill site. An appropriate rig has been identified and it is anticipated that drilling will re-commence during May. Freedom has a 1/8 (12.5%) WI carried to casing point in this exploratory well.
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