Daulton Capital Corp., has signed a Letter of Intent with South Pacific Connection Limited (SPC) of Papua New Guinea (PNG) to acquire a 64% working interest in the Oil, Gas and Liquid Natural Gas rights of SPC’s property in PNG.
Daulton expects to close on the agreement within ten days.
“ We believe this agreement will be in keeping with the corporate philosophy of Daulton to be a project generator with the objective of optioning/joint venturing projects with major and junior natural resource companies through to production ” said Terry Fields, CEO. Mr. Fields, further stated, “ Daulton Capital is being presented with a great opportunity to participate in a prolific proven hydrocarbon province, a Commonwealth country with significant international Liquid Natural Gas interests close to the Asian markets that is relatively underexplored .” PNG is a politically stable country with a rapidly growing infrastructure and stable fiscal system.
Papua New Guinea is richly endowed with gold, copper, oil, natural gas, and other minerals. Government revenues and foreign funds depend heavily on mineral and oil exports. A consortium led by Exxon/Mobil signed a final investment decision in December 2009 to begin the commercialization of the country’s estimated 22.5 trillion cubic feet of natural gas reserves through the construction of a liquefied natural gas (LNG) production facility. Interoil, an American-owned firm, opened Papua New Guinea’s first oil refinery in 2004 and is also building a second liquefied natural gas production facility which it aims to complete by 2012.
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Source: Daulton Capital, May 5, 2011;