The Three Sands Project, located in South Wayne Prospect, Oklahoma, had a total cost of 1,451,543 as of 31 March 2011, with the Company acquiring a 5.00 working interest in the McPherson1-1 well in exchange for 5,000 leasehold, prospect and geophysical fees, and 32,370 dry hole costs. The Company also committed to participating in drilling operations to casing point in each prospect, earning a Bcp Interest of 6.0%.