Farm-in to Jensen-Warner areas.
Eagle Rock Exploration, Calgary, (Toronto Venture: ERX) has entered a farm-in agreement on freehold lands in the Jensen-Warner area of southern Alberta. Eagle Rock will re-enter and recomplete three wells in the Jensen area by June 30 for a 100% interest in the land with a well, and will have a rolling option to drill and earn 100% in adjacent sections of land with similar wells. Eagle Rock commenced operations on the first of these three wells in March. If the company completes its first well by Aug. 30, Eagle Rock may earn 100% interest on each section of land on which it completes a new well in the adjacent Warner area. Eagle Rock will be operator of the recompleted wells and on any new wells in the Jensen-Warner area under this farm-in. The agreement encompasses freehold lands and production from this area will not be subject to the higher Crown royalties proposed by the Alberta government for 2009. The freehold royalty rate is 25%.