Castle Energy Corp. announces agreement to sell Indian Refinery.RADNOR, Pa.--(BUSINESS WIRE)--Nov. 22, 1995--Castle Energy Corp.(a) (NASDAQ/NNM:CECX) announced today that it has entered into an agreement to sell certain of the assets of the 86,000 B/D Indian Refinery, located in Lawrenceville, Ill. and owned by Indian Refining Limited Partnership ("IRLP IRLP Internet Radio Linking Project IRLP Internet Repeater Linking Project (Ham Radio project to link local radio repeaters internationally via internet) "), a Castle Energy subsidiary, to American Western Refining, L.P., a company formed by Gadgil Western Corp. The agreement provides for IRLP to sell to American Western the property, plant, equipment and related terminal of the Indian Refinery as well as certain other assets other assets Assets of relatively small value. For financial reporting purposes, firms frequently combine small assets into a single category rather than listing each item separately. . In consideration for the purchased assets, at closing, American Western will pay $3 million in cash and issue to IRLP a $5 million note. The note will bear interest at the rate of 8% per annum Per annum Yearly. , will be due on the earlier of Oct. 31, 1996 or the date American Western obtains certain financing to restart the Indian Refinery (which IRLP had shut down in September 1995), and will be secured by the real property and certain of the equipment sold to American Western. American Western will also assume certain liabilities, including all environmental liabilities of IRLP and certain contractual obligations relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc Shell Canada Shell Canada Limited (TSX: SHC) is one of Canada's largest integrated oil companies. Exploration and production of oil, natural gas and sulphur is a major part of its business, as well as the marketing of gasoline and related products through the company's approximately 1,800 Limited. In addition, on obtaining such financing, American Western will pay IRLP an additional $225,000 in cash. Also, at the closing, Indian Oil Co., another Castle Energy subsidiary, will sell certain platinum catalyst to American Western for its market value, payable $500,000 in cash and the remainder in a note of approximately $1.8 million. The note will bear interest at the rate of 8% per annum, will be due on the earlier of 60 days after closing or the date American Western obtains the financing described above, and will be secured by the platinum sold to American Western. Proceeds of the sales will be used to repay creditors of IRLP and Indian Oil. The parties' obligations under the agreement are subject to certain conditions, including clearance under the Hart-Scott-Rodino Antitrust Improvements Act The Hart-Scott-Rodino Antitrust Improvements Act of 1976 (Public Law 94-435, known commonly as the HSR Act) is a set of amendments to the antitrust laws of the United States, principally the Clayton Antitrust Act. The HSR Act was signed into law by President Gerald R. and receipt of regulatory approvals. Headquartered in Dubai, Gadgil Western Corp. is a diversified group with operating companies in India and in other Asian countries involved in environmental, engineering, infrastructure construction, petroleum products, power generation, ship repairing, sugar manufacturing and financial services. In addition to the Indian Refinery, Castle Energy, through various subsidiaries and affiliates, owns a gas sales contract Sales Contract Contract between a seller and buyer for the sale of goods, services, or both. with Lone Star Gas Co., a 77-mile instrastate pipelines in Rusk County, Texas Rusk County is a county located in the U.S. state of Texas. Originally a part of Nacogdoches County, Rusk was established as its own county by the Congress of the Republic of Texas on January 16, 1843. In 2000, its population was 47,372. , and related gas contracts and interests, and operates approximately 450 oil and gas wells nationwide. -0- (a) Castle Energy Corp. is not affiliated with Castle Oil Corp. CONTACT: Castle Energy Corp., Radnor Joseph L. Castle II, 610/995-9400 |
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