Replies to post #2986 on UnionTown Energy Inc.(fka UTOG)

[bruce4653]

Below is part of response to me from Patrick in April 2013: If you are smart enough to understand this, then post a reply. If not, then we don't need to hear more gloom and doom comments.


Plans moving forward

Management has the best interests of shareholders at hand when working on this project. We are working through counsel to satisfy the requests from the SEC with the hope that we might be cleared to trade again the on OTC. Again, management is paying for the legal costs as no revenues are being derived by the Company.
We will eventually have the $2 million payment from Cubo as well as a percentage of revenues moving forward. (see Addendum – New Miami transaction notes) The company also owns the Musselshell leasehold, and efforts are being made to raise capital for drilling.
Given that the Company has assets and is owed monies, there is value to the corporation. Eventually, we believe that we can raise additional capital once everything is cleaned up and look at the Musselshell property closer and perhaps look at additional acquisitions.
Ultimately, as I have stated before, we would like to see a resumption of trading on a regulated stock exchange or bulletin board.
Regards
Patrick Smyth

Addendum – New Miami transaction notes


a) Uniontown will receive an payment of $2,000,000 from the proceeds of the working interest of the existing wells at New Miami transferred to Cubo Energy AG on a 50/50 basis until paid, plus;

b) Uniontown will retain 5% of 8/8ths Net Royalty Interest on all existing wells and any future wells at New Miami until a total amount of $3,000,000 in Net Royalty Interest has been received by Uniontown.

c) Uniontown will retain an Adjusted Net Royalty Interest of 2% of 8/8ths Net Royalty Interest on all existing wells and any future wells at New Miami after a total amount of $3,000,000 in Net Royalty Interest has been received by Uniontown.

NB: “Net Revenue Interests” means, with respect to a given oil and gas lease, the interest of Seller in production of oil and/or gas from or allocable to such lease, net of royalties and other lease burdens as calculated on an 8/8ths basis. With respect to the Net Revenue Interest that Uniontown is keeping under this agreement on all existing wells and any future wells, it will be 5% of 8/8ths.

“Adjusted Net Revenue Interest” means a Net Revenue Interest of 2% of 8/8ths that Uniontown is keeping after a total amount of royalty of $3,000,000 has been paid to Uniontown out of production.