Key Capital Corporation Service of Notice 10/15/2014
Anybody care to comment on the below listed news release by Key Capital? I assume the suit is without merit but Columbioa regulators will still need to respond. This involves the Putumayo 7 block of which PTA has 50% interest.
Key Capital Corporation and GeoGlobal Resources, Inc.: Putumayo 7 Block, Colombia -- Service of Notice re Claimed EntitlementOctober 15, 2014 09:30 ET
Key Capital Service of Notice Putumayo 7 Block
Excerpt:
"GeoGlobal has served Notice on Petro Caribbean Resources Ltd pursuant to an Indemnity Agreement under which Petro Caribbean is required to immediately provide a first security charge over all of the Petro Caribbean Resources Ltd assets, which includes the Putumayo 7 Block. Simultaneously, GeoGlobal has provided copies of this Notice and the Indemnity Agreement together with advice of its entitlements to Agencia Nacional de Hidrocarburos, the Colombian regulator, as currently the guarantee of over US$100 million provided through the GeoGlobal interests still secures the project performance for Block 7, as well as for Block 6 which is also subject to the agreements with Petro Caribbean Limited......."
Background:
Following GeoGlobal becoming aware last month that Petro Caribbean Resources Ltd had sold a 100% interest in the Putumayo 7 block -- a 50% interest to PetroGranada, a current investment of Barclays Natural Resource Investments (a division of Barclays Bank Plc) and a 50% interest to TSX-V listed PetroAmerica Oil Corp., GeoGlobal provided notice to all parties questioning the sale without consideration to GeoGlobal's entitlements and without GeoGlobal's knowledge or consent. Each of the parties has refuted GeoGlobal's claim to any entitlement. It is noted that both PetroGranada and PetroAmerica Oil Corp have had no dealings or relationship with GeoGlobal. The entitlements claimed by GeoGlobal's claims stem from its agreements and relationship with Petro Caribbean Resources Ltd.