|
 |
 Canada
Note: updated as of August 2009
Epsilon Energy Ltd. has holdings in the provinces of Quebec and Saskatchewan.
Quebec, Canada
The Corporation has an elective participating interest of up to 25% in a portion of Gastem, Inc.’s (TSXV: GMR) leasehold acreage in the St. Lawrence Lowlands (covering Utica shale and Trenton-Black River targets) and in the Gaspe Peninsula (covering Silurian and Devonian targets). Within Gasten Inc.'s St. Lawrence Lowlands leasehold acreage, Forest Oil Corporation recently spent CDN$10 million to earn a 60% interest in what is now referred to as the Yamaska project. The Corporation went non-consent on the first two exploratory wells drilled within the Yamaska project, but has elected to particiapte in future operations with a 5% working interest.
Saskatchewan, Canada
On August 28, 2008, the Corporation entered into an agreement with a private Canadian company covering joint oil and natural gas exploration and development activities in a 63,360 gross acre AMI covering the Bakken oil play in southeast Saskatchewan province. Under the terms of the agreement the Company has the ability to earn a 50% interest in approximately 8,960 gross (7,806 net) acres within the AMI. The private Canadian company is the operator of the AMI and drilling operations on the first well are expected to commence during the last half of 2009. The Corporation estimates it will spend a minimum amount of $5.0 million on this project. The project lies within the favorable Saskatchewan province royalty area.
On October 9, 2008, the Corporation acquired additional prospective Bakken oil play interests in approximately 31,000 gross (14,000 net) acres for approximately $439,000 via a competitive bid at the Saskatchewan crown lease sale with the same private company. |
|
|
