Morgan Creek Energy Enters Option Agreement on North Fork 3-D Prospect, Beaver County, Oklahoma
Morgan Creek Energy Enters Option Agreement on North Fork 3-D Prospect, Beaver County, Oklahoma
DALLAS, June 3 /PRNewswire-FirstCall/ -- Morgan Creek Energy Corp. (the 'Company') (OTC Bulletin Board: MCKE) (M6C1-Frankfrurt) has entered into a Letter Agreement dated May 28, 2009, with Bonanza Resources Corporation ('Bonanza'), for an option to earn a 60% interest of Bonanza's 85% interest in the North Fork 3-D prospect in Beaver County, Oklahoma. The parties intend to enter into a definitive agreement regarding the option and purchase of the 60% interest within 60 days.
In order to exercise the option, Morgan Creek is required to incur US$2,400,000 in exploration and drilling expenditures during the Option Period, which is one year. In the event that Morgan Creek does not do so the option will terminate, Morgan Creek will cease to have any interest in the prospect and Bonanza will retain the benefit of any drilling or exploration expenditures made by Morgan Creek during the Option Period.
Bonanza Resources Corporation, through its subsidiary, acquired an 85% interest in the North Fork 3-D prospect pursuant to an agreement with Radiant Energy, LC and Ryan Petroleum, LLC dated February 25, 2008 (the 'Original Agreement'). Pursuant to the Option Agreement, Morgan Creek will assume 60% of the Bonanza's rights, title, interest and obligations under the Original Agreement for the duration of the Option Period and will continue to do so in the event that the option is exercised.
About Morgan Creek Energy Corp.:
Morgan Creek Energy Corp. is a natural resource exploration company engaged in the acquisition and development of strategic oil and natural gas properties. For further information see: www.morgancreekenergy.com
Symbol: OTCBB - MCKE; Frankfurt/Berlin Symbol - M6C1, WKN No.: A0QYTM; ISIN: 61732R 206
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