AMERICAN EAGLE ENERGY Corp

10 Mar 2014farm in farm out agreement▲ GoodMajor

On March 7, 2014 the company gave its Spyglass joint venture partner written notice that it is exercising the option to buy a second package of interests for $47M ($45M at close for the first package after adjustments), with closing set for March 31, 2014 and subject to a financing condition in the company's favour. This follows up the option described in the Oct 2013 buyback; it would raise the company's average working interest in the Spyglass Area from about 44% to 55%, add 8,244 net acres and about 450 BOEPD, and end its obligations under the earlier carry agreement. The filing also attaches financial statements for the interests: oil and gas revenue of $3.16M in 2012 and $8.81M in the nine months to Sept 30, 2013, with direct operating expenses of $0.86M and $1.97M.

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13 Dec 2013farm in farm out agreement● NeutralMajor

This filing describes agreements dated August 12, 2013 with the company's Spyglass partner (USG Properties Bakken I). On October 2, 2013 the company paid about $45M to buy back working interests in about 9,300 net acres with roughly 600 BOEPD of production, mostly funded by a roughly $40M draw on the Morgan Stanley credit facility. It also holds an option, exercisable by March 31, 2014 with 20 days' notice, to buy a second similar package for about $47M before adjustments. Separately, a Carry Agreement (up to five wells) and a Farm-Out Agreement (up to six wells) have the partner fund the company's share of drilling costs in return for a share of well revenues until it recoups 112% of costs.

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