Gold Star Resources Latest Onshore Opportunity in West Africa

Gold Star Resources Corp. having signed a letter of intent (LoI) with Bengal Bight Ghana to acquire 100% of the hydrocarbon rights to the Tiampoum mining concession, approximately 1,000 square km, in Cote d’Ivoire, which was announced by the company on March 9. In January GXX entered West Africa when it bought a company with a Liberian license.

Patrick Morris, GXX’s President and CEO, told Afroil, “Gold Star is the first and only junior company to go after onshore oil and gas in the region since the late 1970s, which is quite exciting for us while the big players are focusing offshore. Onshore blocks have been somewhat overlooked by the majors, mostly because of political issues, which for the most part have been solved recently.”

Morris elaborated on GXX’s strategic decision “to secure a portfolio of sections of land or blocks along the coast, assess the reserves and hopefully provide something that would be of great interest to one of the majors. In other words, we are doing the legwork for them.”

Morris also told Afroil that GXX is interested in Ghana, encouraged by the offshore Jubilee field, which is considered one of the largest reserves discovered in West Africa in the last 10-15 years.

The article also reports on a company announcement in January 2009 that GXX entered West Africa through an agreement to acquire 90% of the issued and outstanding shares of Liberia’s International Resources Strategies Liberia Energy (IRSLE). IRSLE holds the NR-001 license, which covers 1,366 square km within the Roberts and Bassa basins of Liberia’s south coast.