Cub Energy completes Ukrainian acquisition

Canadian-based Cub Energy (KUB CN) completed the acquisition of a Ukrainian oil and gas exploration company, the company said in a June 3 press release. The acquired company, PrivateCo., holds 70K acres of undeveloped land in Oskolonevskaya, Kryakovskaya, and Vostochno-Vergunskaya licensed areas with an estimated 14.18 Bscf of gross 2C resources. As a consideration, Cub Energy issued 55,555,555 common shares to the private company’s two shareholders, valuing the acquired resources at USD 0.8/Mcf based on Cub Energy’s latest closing share price. The first well at the newly acquired assets is scheduled for drilling in early 2014.