Regina – While the return of oil to over US$50 per barrel has resulted in the highest activity levels seen in Saskatchewan in two years, the Feb. 7 public offering of Saskatchewan’s Crown petroleum and natural gas rights sure didn’t show it. It raised $1.7 million for the province, bringing the total for the 2016–17 fiscal year to $50 million.
This was the last public offering of the current fiscal year, with the total surpassing the $43
million raised in the previous fiscal year.
“This is an indicator that a tough, forward-looking industry continues to see opportunities for
oil and gas development in Saskatchewan,” Energy and Resources Minister Dustin Duncan
said in a press release. “Saskatchewan is considered one of the world’s top jurisdictions for petroleum investment. We continue to work on building that reputation and improving our capabilities to meet the needs of the industry to help grow our economy.”
The Feb. 7 public offering saw four leases located north of Lampman receive bonus bids totalling $537,079 for 583 hectares; these parcels are prospective for multiple targets including the Midale and Frobisher-Alida Beds of the Madison Group as well as the Bakken Formation.
The top purchaser of acreage in the province was Stomp Energy Ltd., who spent $275,439 to acquire two lease parcels. The top price paid for a single lease was $165,262, paid by Stomp for a 194.25 hectare parcel situated within the Viewfield Bakken Oil Pool, 10 kilometres north of Lampman.
The highest bid per hectare was $3,202 for a 48.564-hectare parcel west of St. Walburg.
Elk Run Resources Ltd. leased the parcel located three kilometres northwest of the Bolney Colony-McLaren Sands Oil Pool, 15 kilometres west of St.Walburg.
The next public offering of petroleum and natural gas rights will be held on April 11, 2017.
