The agreement consists of a seismic option, a farm-out and a participation clause, each of which contractually set out the terms that will underpin FormCap’s exploration obligations and working interest in the project.
The agreement stipulates a commencement date for the shooting of a 3D seismic program on the farm-out lands not later than 1 June 2011.
FormCap president and CEO Graham Douglas said the company also plans to execute an exploration program that will include a 3D seismic component.
"Looking forward, our goal is to build on this exploration strategy, its first foray into Alberta," Douglas said.
