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LPMOST

11/14/07 1:30 PM

#4508 RE: Milen #4507

MILEN the way I read the PR is PRVB gives Texoma 0.5 mil in cash and 200,000 shares of stock valued at $1.00 each. This is the 2.5 mil payment for half of the drilling company. In addition PRBV gives Texoma an option that doesn't have an expiration date to buy 200,000 shares at 0.25/shr which will cost Texoma 0.5 mil when this option is exercised. The PR states:

"The agreement also provides a warrant for two million additional shares of Powder River at $0.25 per share of restricted stock."

If I am reading this wrong I welcome a clarification.