GEA plans to drill 15 wells on a 416-acre parcel up to a depth of 2,000ft and each well will be drilled to a depth of up to 2,000ft in order to reach the Murfreesboro or Knox Formations.
The targeted date for the completion of the $2.55m funding requirement has been set to 28 February 2011.
GEA will pay XNRG maximum 12.5% gross royalty on revenues generated from the drilling program, if it is a success.
XNRG president Peter Matousek said the participation in the oil and gas program would provide the company with steady cash flow.
