BasGas Builds in Ukraine

BasGas Pty Ltd has acquired Karbona BV to create a new corporate entity specifically focused on the development of oil and gas assets in Ukraine.

The Karbona-BasGas combination merges Karbona’s existing staff and expertise in commercial, geological, administrative and legal experience in Ukraine.

Karbona BV was formed in October 2009 primarily funded by Seaspin Pty Ltd, an Australian based oil and gas investment company. Karbona holds a CBM exploration license located in the Krasnoarmeisk South area of the Donbass Basin Eastern Ukraine.

This license contains potential for both Coal Bed Methane and tight gas sands estimated by Resolve Geophysical as 1,045 BCF. The permit requires a well to be drilled in the first three years. Several other areas of interest have been identified by Karbona’s Operations Team.

BasGas Pty Ltd was incorporated in June 2009 to pursue oil and gas exploration and development opportunities in Europe, specifically targeting areas that are prospective for unconventional gas. The Principals have been key players in the successful development of unconventional resources across the US and Australia.

The group secured its first license in Poland in January 2010. Since then BasGas has submitted thirteen applications throughout Europe, including four in France and one in Spain and the Czech Republic.

Charles Morgan, BasGas Chairman, commented:

“Merging Karbona and BasGas means we will be able to gain critical mass in Ukraine and utilize the expertise of an established international team in Kiev. We see the Ukraine as offering a wide range of opportunities and with the additional support from BasGas we hope to be able to build a strong portfolio of assets.”