Meteor completes government of PEI royalty agreement
Meteor Creek Resources Inc ONG
Shares issued 13,501,432 Jan 12 close $0.63
Mon 15 Jan 2001 News Release
Mr. David Fisher reports
Meteor Creek Resources has successfully concluded a royalty agreement with
the government of Prince Edward Island regarding the company's natural gas
drilling site in the province. The terms of the agreement include a royalty
holiday on the first 10 billion cubic feet of natural gas extracted or five
years, whichever comes first. Meteor Creek began drilling an exploratory
12,000-foot deep natural gas well at the Bear River prospect near Souris,
PEI, earlier this month.
"We are pleased with the royalty agreement we have reached with the PEI
government," says Jack Tindale, president, Meteor Creek Resources.
The Bear River prospect, as the drilling site is known, is located within a
77,226-hectare (175,984-acre) permit. The potential for a significant
natural gas find in this area has been known for some time. Based on
seismic data and thorough independent analysis, Meteor Creek anticipates
finding reserves in excess of one trillion cubic feet of natural gas.
The company expects to confirm by late February/early March, when the well
is drilled to its planned depth, the potential of the reservoir. |
