| ||July 11, 2012|
Gordon Creek Completion Program Amendment to Sandstorm Commodity Stream Agreement
| ||GORDON CREEK COMPLETION PROGRAM|
AMENDMENT TO SANDSTORM COMMODITY STREAM AGREEMENT
Vancouver, British Columbia, July 11, 2012 - Thunderbird Energy Corp. (TSX-V: TBD) (the "Company") is pleased to announce that it is securing services to commence the completion and tie in of the 8 wells drilled during the 2011/2012 Gordon Creek winter drilling program. (A more complete discussion of the 2011/2012 drilling program, including results to date, are contained in the Company's June 1, 2012 news release.) The completion and tie in programs are expected to commence in July 2012. Completion programs will vary somewhat for each well depending on pay zone thicknesses and porosities, but will typically involve fracture stimulating the wells, equipping them and tying them into the existing Gordon Creek pipeline and infrastructure.
A substantial portion of the funding for the Company's Gordon Creek development program operations is being provided through a $25 million commodity stream agreement with Sandstorm Metals & Energy Ltd. ("Sandstorm") Under the terms of the agreement, Sandstorm advanced the Company $15 million in 2011 and is scheduled to advance the remaining balance of $10 million in 2013 upon the Company drilling a total of 20 new wells and completing workovers of 5 existing wells. The Company has recently negotiated an amendment to its agreement with Sandstorm whereby Sandstorm will immediately advance $3 million of the $10 million originally due in 2013, in order to facilitate the current 8 well completion program. In exchange, the Company has agreed to expand the boundaries of the area of mutual interest ("AMI") set out in the original Sandstorm agreement by roughly 2 miles on all sides. This will provide Sandstorm with the right to continue to participate with Thunderbird over a substantially expanded area as the development operations at Gordon Creek grow in the future.
You can return to the Top of this page