Calgary, Alberta - Questerre Energy Corporation ("Questerre" or the "Company") (TSX, OSE: QEC) announced today that Canadian Forest Oil Ltd. (“Forest”) has exercised its option to complete and test the two wells recently drilled on the Yamaska permits in the St. Lawrence Lowlands.
The operator of the Yamaska permits, Gastem Inc. (“Gastem”), drilled the two wells, St. Francois du Lac #1 and St. Louis de Richelieu #1, this summer to primarily evaluate the fractured Utica shale horizon. Under the terms of the agreement between Gastem and Forest, well completion will now proceed and may include fracture stimulation and/or horizontal drilling.
“This is an important endorsement from a very experienced shale gas player. We look forward to the results of the completion and testing work early next year” commented Michael Binnion, President and Chief Executive Officer of the Company.
Forest has an option to earn up to a 60% in the Yamaska permits by spending $10 million over the next 18 months following the completion and testing. The Yamaska permits cover 45,381 hectares (112,136 acres). Questerre has a 7.5% gross overriding royalty convertible to a 20% working interest in the Yamaska permits.
Questerre Energy Corporation is a Calgary-based independent resource company actively engaged in the exploration, development and acquisition of high-impact exploration and development oil and gas projects in Canada.
For further information, please contact:
Michael R. Binnion, President
Tel: (403) 777-1185
Fax: (403) 777-1578
Email: info@questerre.com
Web: www.questerre.com