Razor Resources, an oil and gas exploration company, has announced that it is entering into a letter of intent with Striker Petroleum to participate as a working interest partner in the drilling and completion of the Idaho Falls prospect in eastern Idaho, US.

The prospect is a wildcat oil and natural gas play and it is estimated to contain over 2.3 billion barrels of oil and 11.5 trillion cubic feet of natural gas.

The Idaho Falls prospect is located in Jefferson County in eastern Idaho and is part of the eastern limb of the Snake River Plain.

Specifics of Razor Resources's involvement are still under discussion, but the company is expected to obtain a 15% interest in the project, with an option to increase its position to 20%.

It is estimated that the dry hole costs will be $4.5M. With success, approximate completion costs could total an additional $5.5M. With a 15% working interest, Razor Resources's commitment will cost $675,000 and $825,000 respectively.

Source: Datamonitor