Aspen Group Resources Corp. has signed a binding Letter of Intent (LOI) with Oklahoma-based Crusader Energy Corp. to sell its U.S. oil and natural gas assets for $22 million cash, pending closing adjustments. The LOI proposes the sale of all of Aspen’s U.S. oil and gas production and reserves, which equates to approximately 3,600 Mcfe/d of production and approximately 26.4 Bcfe of proven reserves. The reserves are approximately 88% natural gas. Aspen’s wholly owned subsidiary United Cementing and Acidizing Co. is not included in the sale. Crusader is a new entity funded by an equity investment made by Kayne Anderson Capital Advisors LP and David D. LeNorman. The transaction’s effective date is June 1, 2004, and closing is expected to occur by Oct. 1, 2004.

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