Shoal Point said that the two companies expect to finalize an agreement by 4 March that will allow Shoal Point to earn an 80% interest in Ptarmigan’s exploration license (EL) 1120 by drilling a test well on the Green Point shale by 31 December next year.
As per the terms of an Area of Mutual Interest (AMI) agreement with Canadian Imperial Venture Corp (CIVC) of St John’s, CIVC will have the right to participate in exploration activities in order to earn up to a 40% of Shoal Point’s interest in the subject lands.
The company is already drilling a well on its EL 1070 at Shoal Point, Port au Port Bay, to evaluate the Green Point shale.
