understanding the golden eagle lease

Sorry tou'd the 1st one as left out an important point.

This all had me and I know a few others a little confused, until I scrutinised it all (as you have to with GDN Anns)

Unlike some leases, it's a unit agreement, hense why expiry is 5 yrs not 10.

To break it all down,they have to prove para#3 a payable well or demonstrate an economic case for the para3 to BLM's satisfaction as a payable well.

They accomplish that they retain the lands in the 70 unit "participating area", which is the area where production is obtained,para#3...where the gas comes from.

To retain the remainder of the feild/lands within the 70 unit area,they have to be drilling another well'outside the participating area" by expiry date.

So dazt was preety well on the mark when he said bring on para#4, because they have to, or the only area they'll have (if they can prove up para#3), is just that the "participating area" if that ends up the case ,it better prove to be a gusher (gas not water).

It's going to be interesting to see if they can pull that one off, and hey, if they manage to keep the whole field.. would probably even make me sit up and take notice. lol
DYOR

Note from ann: The Company has placed priority on securing the Golden Eagle Gas Field and is making a considerable effort to meet both of the above requirements. In this regard, the Company is working in conjunction with Interactive Exploration Solutions, Inc. ("Inexs", our new US based geological and engineering service provider) and other support teams.

For all the long term holders I truely hope thats a sincere statement.