TAMM O&G Collects Heavy Oil Rights in Northwest Alberta
TAMM Oil and Gas has entered into a Farm-in Agreement to earn the Heavy Oil Rights on up to 1,280 acres through Zentrum Energie Trust, AG ("Zentrum") of Switzerland in the Manning area of Northwest Alberta, Canada.
The Farm-in Agreement provides that TAMM has the right to pay 100% of the costs to earn an undivided 100% of the Zentrum working interest in the land with Zentrum retaining a non-convertible 3% Gross Overriding Royalty Interest.
Don Hryhor, Director and Exploration advisor said, "This agreement is an addition to our existing land position in the Manning Area. Management is pleased with the exceptionally favourable earning terms as negotiated. A two well drilling program has received management approval and we are moving ahead to license two wells to be drilled on these additional properties with the goal of drilling this winter.
"As previously discussed, the initial test wells are intended to test possible "cold flow" targets identified by TAMM geologists as showing promising rock characteristics in previously drilled boreholes. Follow up wells are also planned to assess potential conventional oil and light/heavy oil accumulations within the Lower Cretaceous sands and Upper Mississippian carbonates."