TransCoastal Corp Enters into Joint Venture Agreement with Core Resource Management Incorporated to Drill 10 Wells in Core Area

TransCoastal Corp. announced that it has entered into a joint venture agreement with Core Resource Management Incorporated, to drill up to 10 wells on TransCoastal's Pampa, Texas acreage. The agreement stipulates that CRMI will fund 100% of the drilling and completion costs of up to $475,000 per well.

Any additional drilling and completion expenses for each well will be split 60% to TransCoastal and 40% to CRMI. Upon completion, each party will have a 50% working interest in each well. The net revenue interest will be split 42.6% to CRMI and 28.4% to TransCoastal until each well's drilling and completion costs are paid back.

Afterwards, each party will have a 35.5% net revenue interest in each well. CoreTerra Operating, a subsidiary of TransCoastal, will be the official operator of each well.