Aroway Energy Inc. announced that it has entered into a farmout agreement dated August 30, 2013 with a private oil and gas company (Privco), pursuant to which Privco has agreed to Farmout a 100% interest in 9 sections (5,760 acres) in the Kerrobert area of Central Saskatchewan. Pursuant to the farmout agreement Aroway will fund 100% of the costs to shoot, process and interpret a 3D seismic program and drill a vertical test well. Upon favorable results of the vertical test well, Aroway has agreed to drill, case and complete two (2) horizontal wells.

Aroway Energy will earn a 100% working interest in the Farmout Lands subject to a 12% Gross Overriding Royalty payable to the Privco.