Africa Oil Corp., Vancouver, BC, and Denovo Capital Corp. have formed Horn Petroleum Corp. and raised $41 million for the drilling of two exploratory wells on the Dharoor Valley Block in Puntland, Somalia.
Africa Oil subscribed for $10 million of the $41 million private placement and will have an approximate 50% interest in Horn Petroleum when the transaction completes. The first well is to spud in the fourth quarter of 2011.
Partial relinquishments in both the Dharoor Valley and Nugaal Valley agreements have been finalized and approved. The Puntland government has approved the formation of Horn Petroleum and the impending transaction with the Africa Oil.