Australian-Canadian Oil Royalties Ltd. announced the completion of a definitive farmout agreement with Terra Nova Minerals Inc. on the exploration of its Australian Cooper Basin holdings.
The farmout, which was made effective May 11, 2012, set out terms by which Terra Nova may earn a 55% working interest in ACOR's PEL 112 and PEL 444 concessions by funding seismic acquisition and a six well drilling program on the properties.
On May 11, 2012, Terra Nova closed an equity financing for gross proceeds of $10,652,000, and has transferred first AUD$4,700,000 payable under the farmout.