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Tue, October 5, 2010
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Mon, October 4, 2010
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Sonoro Signs Asphalt License Agreement with the Al-Salah ad Din Provincial Government in the Republic of Iraq
- Sonoro Iraq will have a 70% working interest and will be the operator and Berkeley will have a 30% working interest. - Licensee has the exclusive rights to explore, develop and produce asphalts and related organics within the entire Al-Salah ad Din Province and to sell the asphalts and its related organics produced (and/or the by-products after processing) domestically and/or internationally. - The Agreement provides for an initial exploration period of 5 years and is followed by a 30 year exploitation period with extensions for any carved out exploitation areas to develop asphalts and related organics. - Licensee has the right to construct and operate asphalt-heavy oil topping facilities within the Al-Salah ad Din Province, with certain processing capacity commitments. - Licensee is entitled to 50% of the revenues from the sales of asphalts and related organics (and its by-products after processing), after tax and after cost recovery. - 80% of the revenues are available for cost recovery. Licensee is committed to a minimum initial investment commitment of US$1.5 million.