Through a previously announced farmout arrangement, the Company has completed a farmout to an arms’ length third party on a small portion of the Company’s 50% owned, 27 section Alexander Property, located just north-west of Edmonton. The third party will participate in the drilling of the 16A-11 Test Well by paying 50% of all costs to earn a 30% interest. The third party also has the option to drill two additional wells from the same surface lease as the 16A-11 Test Well to earn a 25% interest by paying 25% of the related costs. The earned lands for the farmout only relate to the specific spacing units assigned to each well drilled. Canadian Quantum will maintain a 20% working interest in the 16A-11 Test Well, a 25% working interest in the two option wells and a 50% working interest in the balance of the 27 section Alexander Property.
Canadian Quantum Energy Corporation holds 1,600 gross acres at Turin, Alberta and 17,280 gross acres / 27 sections on the Alexander First Nations lands in Central Alberta along with various interests in approximately 174,000 gross acres covered by four permits in the St. Lawrence Lowlands, Quebec Utica Shale Play.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.