FormCap Corp (FRMC)

[sweetpepperjam]

HotOtc.com - Exxon buys land near FRMC - 2/28/2010

Did you know that Shell and Exxon are the most profitable and 2 largest companies in the world. In fact, of the 10 largest companies in the world 7 are oil and gas companies!!!

When Exxon starts buying land in a certain area people take notice. It just happens FRMC is located near where Exxon is buying!

FRMC being strategically positioned in the Permian Basin is a huge advantage for the company.

Oil and gas is a huge sector and companies are very competitive when it comes to claiming hot spots.

FRMC is in a location where huge leader Exxon is aiming to get their feet back on. Imagine if Exxon tapped FRMC one day. We won`t see these prices for long!

"Exxon is the group leader and it sets the trend," said Fadel Gheit, senior energy analyst for Oppenheimer.

Who knows how many more companies are going to get interested in this area now.

Exxons recent $31 billion acquisition of XTO Energy in December of 2009  largely in part for XTOs significant Permian Basin assets, which Exxon originally sold as part of a larger land package to XTO Energy for $500 million five years earlier  signals an important shift in strategy for Exxon.

FRMC has now a total of 5,800 acres of oil and gas leases in the Weber City Prospect, an area that is located in the prolific Permian Basin!

The Permian Basin is one of the major oil and gas producing provinces of the world!

FRMC is confident of success for the Weber City Prospect.

One of the main reasons FRMC has secured the Weber City Prospect acreage is because of the Permian Basin`s development history and stable, long-life production.

Based on modeling of a look alike existing producing field, the Anton Irish Field, well recoveries are expected to range from 100,000 to over 500,000 barrels of oil per well. With 40 acre spacing in this area, the project is estimated to produce over 220 million barrels of oil in a successful case!

Project wells are anticipated to flow at initial rates averaging 300 barrels per day, free of formation water!

As our economy gets back in shape oil prices could see a serious increase.

Last December Reuters reported that U.S. investment bank Goldman Sachs expects oil prices to rise to an average $90 a barrel in 2010, before increasing to $110 in 2011.

Who knows, we could maybe even see oil hit $150 like it did summers ago.

The bottom line is that oil and gas are major components in the backbone of our economy and it is dire for us to lower foreign dependency on it.

We need more domestic companies like FRMC with the potential of finding over 220 million barrels of oil! Right here on our own lands!

FRMC has assembled an experienced team of experienced geologists, financiers and executives to implement a growth program that is focused on exploration and development.

FRMC`s President Graham Douglas is an experienced business executive with 35 years of financial and operational management!

FRMC President and CEO Graham Douglas commented, "As part of our long-term strategy, FormCap is continuing to secure additional acreage in the Weber City Prospect area. We are also actively pursuing and evaluating other potential acquisitions for the Company."

FRMC plans to drill an initial 7,000 foot well to test four potentially productive hydrocarbon zones; the San Andres, Clearfork, Wolfcamp and Cisco formations.

Over 100 wells (based on 40 acre spacing) could be drilled on the Prospect and it is estimated that these leases could contain over 220 million barrels of oil in a successful case!!

FRMC could be huge if this project is a success.

For more information on FRMC visit their website at: www.formcapcorp.com Always do your own research and consult with your own financial professional..

Read more: http://stockreads.com/Stock-Newsletter.aspx?id=21416#ixzz1708uhMYP