Eagle Oil Receives Initial Payment from Questus

- Eagle Oil Receives Initial Payment from Questus

Wednesday, July 06, 2011
Eagle Oil Holding Co., Inc.

Eagle Oil has received an initial payment from Questus under the Farmout Agreement between the Company and Questus.

Pursuant to the Farmout Agreement, Questus will now begin the reconditioning of an initial group of 15 oil wells at the Company's East Texas field. In addition, Questus will also service the compliance requirements of the Texas Rail Road Commission.

The Questus Agreement represents the major part of the Company's new strategy to capitalize on its oil assets through outsourcing the reconditioning of its oil well and restoring pumping operations with no additional capital investment by the Company. The Questus Agreement will potentially cover up to 120 wells. The Company is also waiting for work to commence under farmout agreements with two additional parties for up to 20 additional wells not covered under the Questus Agreement.

Oil & Gas Post

Promote Your Page Too
LINK

Eagle Oil Holding, Questus Enter Farmout Agreement

- Eagle Oil Holding, Questus Enter Farmout Agreement

Thursday, June 09, 2011
Eagle Oil Holding Co., Inc.

Eagle Oil Holding announced the execution of a Farmout Agreement with Questus.

Pursuant to the Agreement, Questus will provide the funding and other resources necessary to recondition and restart up to 173 wells at the Company's East Texas field, including the previously announced farmout agreements that totaled up to 20 wells, the Questus Agreement represents the completion of the Company's strategy to outsource the reconditioning of its oil resources. The Agreement is subject to an initial payment being made by Questus by June 22, 2011. The parties expect work on the wells to commence shortly thereafter. Questus will also complete the compliance requirements of the Texas Rail Road Commission.

Questus will provide the necessary capital and resources to restore the pumping operations with no additional capital investment by the Company in exchange for a share oil the revenue generated by the wells.

Oil & Gas Post

Promote Your Page Too