Mercom Oil Sands plc focuses to acquire and develop in situ oil sand properties in Canada. The Company focuses on steam assisted gravity-drainage (SAGD) bitumen production in a phased development. On February 25, 2012, the Company entered into the farm-in agreement with Norwegian Oil Sands, a subsidiary of Nordic Petroleum, under which the Company contracted to acquire a 50% ownership and working interest in four oil sands leases over the Chard field in Alberta, Canada (the Leases). The Leases are located in the Athabasca oil sands in north eastern Alberta and consists of 31 sections covering a total of 7,936 hectares (19,610 acres). Chard is a 4,000 barrel per day SAGD (not open pit) project located 180 kilometers southeast of Fort McMurray.