THE EXPLORERS 2006 - TG World, AVCG form North Slope JV

Calgary-based TG World Energy said in march 2006 that it had formed a joint venture with Brooks Range Petroleum, a wholly owned Alaska subsidiary of Kansas-based Alaska Venture Capital Group.

Since 1999 AVCG has established a substantial lease position on Alaska’s North Slope; Brooks Range Petroleum operates all of AVCG’s interests and services.

Former ARCO Alaska President Ken Thompson is managing director of AVCG while John Jay “Bo” Darrah, an AVCG managing member, is chairman, president and CEO of Brooks Range. TG World said Brooks Range is the operator of the new joint venture.

TG World said it had acquired an interest in most of AVCG’s oil and gas leases and has agreed to participate in the exploration and development of the leases.

The companies have also agreed on a joint venture alliance for the exploration of an “area of mutual interest” onshore and offshore “between NPR-A in the west and ANWR in the east and in which BRPC/AVCG currently has no petroleum lease ownership.”

The joint venture went into effect March 18, 2006, for an initial term of four years, but the joint venture will continue after the initial term, unless either company terminates it.

“Our entry is a major growth step for TG World,” said Clifford James, president and CEO of TG World, “It is a strategic step that brings balance to our other major asset, our Tenere Project in Niger.”

—Petroleum News