Letter of Understanding for Purchase of Wyoming Wells between Sunshine Valley Petroleum Corp. and Winco Petroleum Corp.
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Summary
Sunshine Valley Petroleum Corp. (SVPC) agrees to purchase Winco Petroleum Corp.'s interests in five specified oil wells in Wyoming for a total of $210,000, plus payment for marketable oil in the tanks as of January 1, 1998, valued at $12,960.60. The total amount due to Winco is $222,960.60. The agreement outlines the purchase price for each well, the calculation for oil in tanks, and sets the effective date of sale. Both parties are to sign to confirm acceptance of these terms.
EX-10.2 2 0002.txt LETTER OF UNDERSTANDING Exhibit 10.2 1-2-98 Winco Petroleum Corp. Box 399 Garden City, Kansas 67846 Re: Purchase of Winco's wells in Wyoming Attn: Mr. Cecil O'Brate Dear Mr. O'Brate, Sunshine Valley Petroleum Corp. (SVPC) is willing to purchase Winco's interest in the following wells:
The effective date of the sale is Jan. 1, 1998 at 7 a.m. SVPC will pay Winco for the marketable oil in the tanks based on Texaco's posting for that date. Marketable oil is defined as oil above 1'6". The following is the oil in the tanks as of Jan. 1, 1998:
