Hyde Park Acquisition Corp. II , a special purpose acquisition corporation, has announced the signing of an Agreement and Plan of Merger with Santa Maria Energy Holdings (SME), an independent energy company focused on the exploration and development of assets. In a release, the Company said that its stockholders and all of SME's existing unitholders, including affiliates of Kayne Anderson Capital Advisors , will receive stock in Santa Maria Energy Corp. , the resulting parent company in the merger. The shares issued in the merger are expected to be listed on the NASDAQ Capital Market . SME management will continue to oversee the day-to-day operations of Santa Maria Energy Corp. following the merger. Hyde Park said that the cash contributed by the Company in the transaction, together with additional equity capital expected to be raised in conjunction with the merger, will be available for the development of SME's assets and for general corporate purposes. Hyde Park said that its board of directors has determined that the merger with SME is in the best interests of Hyde Park's shareholders. The board believes the oil resources owned by SME together with its track record as an operator engaged in the development and production of oil and natural gas in Northern Santa Barbara County provide Hyde Park shareholders with an investment opportunity with considerable upside potential. The transaction is anticipated to close in the second calendar quarter of 2014. SANTA MARIA ENERGY -SME is a Santa Maria, California based oil and gas operator, formed in 2008 with the financial backing of Kayne Anderson. All of SME's assets are located in Santa Barbara County and include its Orcutt Diatomite and Monterey fields. -SME produces its Diatomite assets using cyclic steam, and produces its Monterey assets by conventional means. The majority of current production is oil with associated produced natural gas generally being used to power steam generation equipment. -SME has received discretionary permitting approvals from Santa Barbara County necessary to add 110 new Diatomite wells and all related and necessary infrastructure to an existing 26-well pilot project located in the Orcutt field, a field originally discovered in 1903. -Over the next 15-18 months, SME expects to increase its Diatomite production from the Orcutt Field by drilling new wells, installing greater steam generation capacity, and building pipelines to transport water to the project site with which steam will be produced and to transport oil to market. All water to be used for steam generation will be non-potable water reclaimed by Laguna County Sanitation District which is owned by Santa Barbara County . Kayne Anderson Energy Funds provides private equity financing. More Information: www.kaynecapital.com ((Comments on this story may be sent to email@example.com ))
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