Mystique Enters Deal for Lochend/Wildcat Hills Prospect

Mystique Energy has entered into a wide area farm-in arrangement with a major, Calgary based oil company ("Farmor"), in the Lochend/Wildcat area located northwest of Calgary.

The arrangement comprises two agreements. The first agreement (Area A) covers 97 sections (62,080 acres) of the Farmor's 100% owned lands. Area A extends south and southwest from Lochend/Harmatten where Mystique has drilled five successful Cardium oilwells, and is bounded by townships 26 to 30, ranges 2 to 5, west of the fifth meridian. Mystique has committed to drill six commitment wells prior to May, 2006 and has the right to drill option wells until May, 2007. Under the terms of the agreement, Mystique will pay 100% of the drilling and completion costs of each well to earn a 60% working interest in each well and two sections of land, including the section on which the well is located.

The second agreement (Area B) covers over 27 sections (17,440 acres) of the Farmor's 100% owned lands. Area B covers the Jumping Pound/Wildcat Hills area and is bounded by townships 25 to 27, ranges 5 to 7, west of the fifth meridian. Mystique has committed to drill three commitment wells prior to May, 2006 and has the right to drill option wells until May, 2007. Under the terms of the agreement, Mystique will pay 100% of the drilling and completion costs of each well to earn a 65% working interest in each well and three sections of land, including the section on which the well is located.

The terms of the agreements allow Mystique to have access to the Farmor's database in both areas. The database comprises approximately 1560 kilometers of seismic data.

According to Mystique President, Vic Luhowy, "These agreements provide us the basis for strong exploration driven growth over the next two years and beyond. The area is an expansion of the drilling successes and lands currently under option in the Lochend/Harmatten area. The size of the farm-in and access to seismic data provide us with multiple opportunities to pursue conventional, multi-horizon light oil and sweet natural gas prospects. This area is also one in which our Vice President of Exploration, Alex Tworo, has considerable knowledge, experience and past successes".

Based in Calgary, Mystique is involved in the exploration and exploitation of petroleum reserves in western Canada.

Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles


From the Career Center
Jobs that may interest you
Division Order Analyst - DJ Land Administration
Expertise: Business Analyst|Commercial Management|Landman
Location: Denver, CO
 
Staff Land Analyst Job
Expertise: Lease Analyst
Location: Houston, TX
 
Channel Development Manager Job
Expertise: Business Development|Sales
Location: Minneapolis, MN
 
search for more jobs

Brent Crude Oil : $56.86/BBL 0.76%
Light Crude Oil : $50.66/BBL 0.21%
Natural Gas : $2.959/MMBtu 0.30%
Updated in last 24 hours