Lucas Energy accepted the proposal of Terra for the application of its STeP and Nags technologies, according to which Terra will survey three separate leases in Texas.
Pursuant to this joint venture, Terra will provide its technology services to Lucas Energy on a substantially reduced fee basis, and Lucas Energy is to assign to Terra a 5% free-carried-interest in connection with the oil and gas production from any additional recompletions, or new drilling from the three properties, and grant Terra up to 30% in non-promoted participation interest.
William Sawyer, CEO of Lucas Energy, said: “Our relationship is developing quickly into a synergistic partnership, where both companies make concessions for mutual benefit and success in oil and gas development and production.
“The Lucas Energy mission is to provide its shareholders with the lowest drilling risk possible. Terra Energy & Resource Technologies helps us achieve substantial risk reduction through its cutting-edge technologies.”
