Tesla Exploration Ltd. has entered into an extended seismic services agreement with a multi-client geophysical company.

Under the Agreement, the Company is guaranteed 18 crew months of activity during a 24 month period with an option to extend the Agreement for an additional 24 months by mutual agreement of the parties.

The Company intends to proceed with the purchase of 10,000 stations of a wireless multi-component seismic acquisition system and auxiliary equipment at a cost of approximately $18.0 million, which will be financed out of cash on hand, long-term debt or lease financing.

Tags: Tesla Exploration Ltd.