American Eagle Energy Inc. reported the signing of an agreement to acquire prospective oil and gas acreage in the United States. This was the company’s second acquisition of leasehold in 2011.
American Eagle Energy Inc. agreed to purchase a 726 net acre lease from the Knapp Oil Corporation, a private oil and gas company. The lease is located in Roosevelt County, Montana, and the company expects to start due diligence immediately on the property with an estimated closing date of May 1, 2011.
American Eagle Energy Inc. is looking to develop the Nisku formation on the acquired property. The Nisku is an oil bearing formation located at a depth of approximately 7,500 feet. The company expects to drill a vertical well on the property during the third quarter of 2011.
In January 2011, American Eagle Energy Inc. and Big Sky Operating LLC entered into a farm in agreement with the Somont Oil Company Inc. on a 15,000 net acres leasehold position in Toole County, Montana. American Eagle Energy Inc. and Big Sky Operating LLC are obligated to drill an initial well on the property by June 30, 2011, and will earn a working interest in the well.
American Eagle Energy Inc. did not disclose the purchase price of either acquisition due to competitive reasons.
For more information on the company, go to www.americaneagleoil.com