MADISONVILLE, Ky.--(Navitas Land and Mineral Corporation, an oil and gas production firm, entered into a Memorandum of Understanding (MOU) with the Shengli Highland Petroleum Equipment Co., also known as Highland, a Chinese petroleum supply and services firm based in Dongying City, China. Through this agreement, Highland will purchase $15 million of Navitas common shares and will make their oilfield equipment technology available to Navitas. Navitas will use the $15 million of expansion funding for capital expenditures to develop new oil wells on five leases controlled by Navitas, which will create new jobs. Navitas will purchase exploration, drilling, and development related petroleum equipment from Highland, and Navitas and Highland will establish a workshop colocation to assemble Highland equipment for introduction into the U.S. market.)--
“Growth and job creation are paramount for our community and we are pleased for the role that Navitas will continue to play in helping us build a robust local economy.”
“The expansion funding and increased access to oilfield equipment technology will help us achieve our production goals at a greatly accelerated rate,” said Navitas President and CEO Dan Williams. “We anticipate a mutually beneficial relationship that will help expand Highland’s market in the U.S. and enable Navitas to obtain equipment that is unavailable or difficult to obtain stateside.”
The MOU was signed on September 7, 2012 by Dan Williams, President and CEO of Navitas Land and Mineral, and Xiao Shaosong, Deputy General Manager of Highland at Madisonville City Hall. The MOU signing concluded a formal celebration to initiate the sister city relationship between Madisonville, Kentucky and Dongying City, China that was witnessed by Chinese delegates and Madisonville City officials, including Mayor David Jackson.
“The agreement between Navitas Land and Mineral and Highland represents a huge economic boost for Madisonville,” said Mayor Jackson. “Growth and job creation are paramount for our community and we are pleased for the role that Navitas will continue to play in helping us build a robust local economy.”
Navitas Land and Mineral is an oil and gas exploration, development and production firm founded in 2009. Navitas acquires oil and gas assets of merit and develops them to their full potential, applying conventional drilling and enhancement methods as well as low-cost, non-conventional processes to dramatically improve oil and gas recovery. The company’s recovery efforts are focused on the Illinois Basin, an area encompassing southern Illinois, southwestern Indiana, and western Kentucky.
The Shengli Highland Petroleum Equipment Co., Ltd. is a petroleum supply and services company with operations in China and offices around the globe. Founded in 1992, the company is a high-tech enterprise that focuses on developing, manufacturing, and supplying a variety of oilfield products such as drilling equipment, OCTG tubular goods, production equipment, chemicals, high pressure pumps and oilfield services.