Blacksands Pacific, OGTF to develop US oil and gas leases

The Blacksands Pacific Group has entered a joint venture agreement with Oil and Gas Technology Fund for the development of oil and gas leases in California and Nevada, US.

The leases include Torrance field acreage in Los Angeles Basin, California, and prospects in Nevada.

Under the terms of the agreement, Blacksands Pacific will acquire a 50% working interest and mineral lease rights in the Torrance field acreage, and a 50% working interest and mineral rights in the oil and gas leases of the other Nevada prospect.

The work programme includes drilling five production wells within the Torrance Field and drilling ten exploration wells in the Nevada Prospect, with an estimated investment of $300m.