Epsilon Increases Leasehold In Saskatchewan JV

Acquired its operating partner's 50% JV leasehold interest.

Epsilon Energy Ltd. (TO: EPS) acquired its operating partner's 50% joint venture interest in Saskatchewan for C $2.4 million.

The transaction will increase Epsilon's leasehold interests in Saskatchewan from 28,234 net acres to 49,007 net acres. In addition, Epsilon will acquire all oil production, third party agreements, well interests and equipment.

The joint venture was formed in 2008 to focus on oil exploration and development in Saskatchewan targeting the Bakken and Midale formations. Epsilon began operating in Alberta in 2012 and, through this transaction, will become the operator in Saskatchewan. Earlier this year, Epsilon drilled two wells within the Saskatchewan joint venture leaseholds. The first well in Torquay targeting the Midale formation is currently being completed. The second well in Ceylon targeting the Bakken formation is scheduled for completion in late June.

Epsilon Energy Ltd. is an independent energy company engaged in the acquisition, exploration, exploitation, development, and production of oil and gas reserves. The company is headquartered in Concord, Canada.