The main area of interest in the 160-acre farm-out area is theCleveland sandstone, with the Orlando Cleveland unit, roughly one-mile to thewest, having produced more than 2.6 million barrels.
Red Fork said the farm-out provided it with a “zero-risk opportunity”to participate in the testing of conventional oil and gas targets identified byBlue Quail in the farm-out area.
Under the agreement Blue Quail has the right to drill verticalwells to test the Misener formation but Red Fork retains the right to drill andcomplete horizontal wells on the acreage.
Blue
