RE: Farm in This is the details of the lease on Blood Indians land
The Lease will have a 5 year term and is subject to mineral royalties substantially similar to AlbertaCrown royalties. In addition, Bowood will commit to:a total up front consideration of $14,128,000
pay annual rent of $5.00/hectare, amounting to approximately $122,000 per year
drill one well to a minimum depth of 1,000 metres in each of the first two years of the Leaseand two wells in each year thereafter
as part of its strategic joint venture arrangement with the Blood Tribe, the Blood Tribe or itsnominee, will have the option to elect, in advance of drilling a well, to participate for a 20%working interest in any such well on the lands. If the Blood Tribe or it nominee elects not to participate in such well, the Blood Tribe or its nominee shall be entitled to a 20% workinginterest in such well once Bowood has recovered 200% of the total capital cost associated withsuch well