2009-09-24-2009-08-25-2009-08-25

Granted option to acquire 50% WI in Frio Draw prospect in Curry Co., NM.

FormCap Corp., Reno, Nev., (OTCBB: FRMC) has been granted an option to acquire an interest in the Frio Draw prospect in Curry County, New Mexico, from Morgan Creek Energy Corp., Dallas, (OTCBB: MCKE) for drilling and completion costs estimated to be approximately $1.3 million. FormCap has the option to acquire up to 50% working interest (40.75% net revenue interest) in 13,252 acres by drilling and completing two wells initially earning a 25% working interest from drilling and completing and paying for the first well and then an additional 25% working interest from drilling and completing and paying for the second well. After the initial two wells have been drilled and completed, FormCap and Morgan Creek will fund additional drilling on a 50/50 basis. A total of approximately 180 wells potentially can be drilled on the Frio Draw prospect acreage.