Royal Energy Resources, Inc. cancelled the acquisition of G.S. Energy, LLC from Ian Ganzer and Gary Ganzer.
December 31, 2015
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Royal Energy Resources, Inc. (OTCPK:ROYE) entered into a securities exchange agreement to acquire G.S. Energy, LLC from Ian Ganzer and Gary Ganzer for $10.9 million in stock on June 10, 2015. The consideration involves issuance of 1.75 million shares by Royal Energy Resources and cash payment of $0.4 million. The exact purchase price will be determined based upon market price of Royal Energy's common stock on the date of closing. Under the transaction, Ian Ganzer will sell 25% stake in G.S. Energy and Gary Ganzer will sell the remaining 75%. Ian Ganzer would be appointed as Royal Energy's Chief Operating Officer. In a related transaction, Royal Energy Resources acquired Blue Grove Coal, LLC from Ian Ganzer and Gary Ganzer for $2.1 million in stock. On closing, the Board of Directors of GS Energy shall be reconstituted to two members, Gary Ganzer and William Tuorto. The deal is subject to governmental and regulatory consents, successful completion of a financial audit, due diligence, a definitive agreement for the purchase of Blue Grove Coal, LLC and a management agreement with a Member, Ian Ganzer, or an entity selected by Member, for the continual operations of the Mine in its ordinary course.
Royal Energy Resources, Inc. (OTCPK:ROYE) cancelled the acquisition of G.S. Energy, LLC from Ian Ganzer and Gary Ganzer in December 2015.
Royal Energy Resources, Inc. is an energy company, which focuses on coal and energy related assets and activities, including energy infrastructure investments. The Company has a geographically diverse asset base with coal reserves located in Central Appalachia, Northern Appalachia, the Illinois Basin and the Western Bituminous region. The Company's segments consist of Central Appalachia, which includes surface and underground mines located in Eastern Kentucky and Southern West Virginia; Northern Appalachia, which includes surface and underground mines located in Ohio; Rhino Western, which includes an underground mine located in the Western Bituminous region in Utah; Illinois Basin, which includes an underground mine in western Kentucky, and Other, which includes its ancillary businesses, and oil and natural gas investments. The Company produces and markets coal from surface and underground mines in Kentucky, West Virginia, Ohio and Utah.
ROYAL ENERGY RESOURCES, INC. 
