Formcap Corp. announced that it has completed a Farm-out Agreement (Farm-out Agreement) with Rainchief Energy Inc. The oil & gas prospect is 100% controlled by Formcap up to 2,400 acres of prospective oil and gas leases (The Formcap Lands) located in Cowley County, Kansas. The Lil-Bobby #1-28, a proposed 3,300' Mississippian well will be drilled in the NE/4 of the SE/4 of Section 28-T30S-R6E.

Under the terms of the Proposed Farm-out Agreement Rainchief shall have the right to earn a 60% working interest in 920 acres of the Formcap Lands by paying 100% of the cost to drill, complete and equip three (3) wells to target the Mississippian Formation. Upon completion of the third and final well Rainchief will also earn a 50% interest in the balance of the Formcap Lands representing up to 1,440 acres.