HENDERSON, NV, May 10 /PRNewswire/ - Stellar Resources Ltd. (OTC-BB:SRRL) "Stellar" is pleased to announce that it has entered into an Agreement with Deloro Resources Ltd. (TSX-V:DLL) "Deloro" and Elk Hills Petroleum Canada Ltd. "EHPC" whereby Deloro can acquire up to a 1/3 interest in the ~20,000 acre Elk Hills Heavy Oil Project in Carbon County, Montana.
Under the terms of the agreement, Deloro can earn a 1/3 interest in Elk Hills Heavy Oil LLC, "EHHO" from Stellar and EHPC by issuing 3,000,000 shares to Stellar and 3,000,000 shares to EHPC, making a capital contribution of $600,000 on or before September 11, 2011 ($450,000 for approved exploration expenditures and the balance of funds to meet current and operating liabilities of EHHO.) Deloro will become the Operator of the project. The Deloro shares issued to Stellar and EHPC shall be subject to a four month and one day hold. The TSX-V has approved this transaction.
Upon Deloro meeting all the terms and conditions of the acquisition Stellar shall retain a 1/3 interest in EHHO.
Stellar Resources Ltd.
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SOURCE Stellar Resources Ltd.