After shedding its old business in bathroom and kitchenware, Loyz Energy now looks to focus all its resources on strengthening its position in the oil and gas exploration and production segment as an independent player.

Yesterday, the upstream energy group said it has successfully completed the sale of its sanitary ware unit, previously held under its unit SimSiang Choon Hardware Pte Ltd, for $9million. Loyz now plans to kick‐ start oil and gas exploration and production activity in early April,starting with the drilling of its first well in North Dakota, USA, and activating gas production at the Baola field in Gujarat, India, it said.

"The group's drilling programme in the US isin its first phase, which covers 10 wells in North Dakota. After this stage, Loyz Energy plans to start operations in Colorado.

"These initiatives fall under a participation‐and‐exploration agreement inked in August 2012 with Rex Oil& Gas Ltd and Norway‐ based Fram Exploration to develop the latter's leases in North Dakota and Colorado," it said.

Its gas production project in India, on the other hand, is a result of a sale‐and‐purchase agreement,sealed in January 2013 through its 51‐ per‐ cent‐owned Mumbai‐listed unit, Interlink Petroleum Limited. The assets are expected to contribute to group revenue and cash flow starting from Q4 FY13.

Source: AmFraser