Never has the concept of "closeology" had a more appropriate demonstration than that now underway in the St. Lawrence Lowlands. Since April 1 this year, whenForest Oil Corp (NYSE:FST). of Denver Colorado tested two wells into the Utica Shale formation and flow tested natural gas at the rate of a million cubic feet per day, there has been a veritable stampede to snatch up any of the surrounding land that wasn't already spoken for.

Forest's partner in the project is Junex Inc., who holds exploration rights on more than 6 million acres of land located in the Appalachian basin in the province of Quebec. Junex also holds approximately a 9.4% interest in Petrolia (TSX.V:PEA) and a 2.2% interest in Gastem (TSX.V:GMR).

Now Petrolympic (TSX.V:PCQ) shares have bolted north, up nearly 1,000 per cent since April with their announcement of the shooting of seismic across their holdings in the Gaspe peninsula.

A tiny company called Canadian Quantum Energy, (TSX.V.H:CQM) who recently was the benefactor of a court settlement with Junex and others that saw it awarded the Nicolet property, a 22,000 hectare permit which has been the subject of litigation since 2004. On that news, the stock, which as been trading below $020 for years, took off and today is sitting just shy of $10.

"It could be a very large gas discovery for Canada and Quebec," said Eric Sprott, chief executive officer and a manager with Sprott Asset Management Inc. "We probably started [accumulating stock] six months ago, but we went in earnest eight weeks ago."

Toronto-based Sprott Asset Management, through several of its funds, holds 14 per cent of Gastem Inc., 15 per cent of Questerre Corp. and 13 per cent of Altai Resources Inc., according to Bloomberg.

Questerre Energy Corp. (TSX:QEC), one of the companies active in the St. Lawrence Lowlands shale gas play, said Wednesday it is issuing 15 million new common shares.

Questerre, interlisted on the Toronto Stock Exchange and in Oslo, said the underwriters have an overallotment option on an additional 1.125 million shares.

The Calgary-based company, with 179 million shares currently outstanding, said the proceeds will primarily finance its planned exploration and appraisal program in the St. Lawrence Lowlands of Quebec and other areas.

Questerre also said Wednesday it will join partner Talisman Energy Canada (TSX:TLM) an expanded test-well program, adding vertical and several horizontal wells to three vertical wells confirmed last week.

Questerre expects the program to be carried out this year and next with a budget of more than $100 million, of which Questerre will contribute $25 million to $30 million _ $3 million to $5 million this year and the rest in 2009.

"We are delighted with the expanded program to evaluate commerciality of both the Lorraine and Utica formations," stated Questerre CEO Michael Binnion.

"Based on work to date we believe the rock properties are very promising for unconventional gas in the lowlands."

Petrolia Inc., Junex Inc. and Gastem Inc. have signed a joint operating agreement for the development of the Haldimand petroleum project. Subject to majority approval of the technical committee, the co-venturers will, over the next 12 months, carry out a $5-million work program in order to better define the oil potential previously identified in the Petrolia-Haldimand No. 1 well.

Under this agreement, the co-venturers have created a nine-square-kilometre joint development area around the Petrolia-Haldimand No. 1 well, in which Petrolia owns a 45-per-cent working interest, Junex a 45-per-cent working interest and Gastem a 10-per-cent working interest. Junex's status as operator is confirmed for a minimum two-year period from the execution of the agreement. The Haldimand project is subject to a 5-per-cent overriding royalty payable to Terrenex Ventures Ltd/Questerre Energy Corp.; two-thirds of the royalty being payable by Junex and the remaining third, being payable by Petrolia.

"It is an important day for our three companies since this agreement will allow us to develop the discovery announced on June 27, 2006 (see Stockwatch). Our technical teams are already in the process of planning the next phase of work to be conducted as soon as possible," indicated the presidents of the three companies.

So the next time you see news of a major strike, be it oil, gas or minerals, its those who first determine who owns the land surrounding the discovery who make out like bandits. Remember..its called "close-ology".