Ju­nior oil pro­ducer makes ex­pan­sion deal near Drumheller

Prairie Post (East Edition) - - Prairies - MEDICINE HAT NEWS

A ju­nior oil pro­ducer ac­tive in Brooks is ex­pand­ing its op­er­a­tions north­ward. Prairie Prov­i­dent Re­sources an­nounced re­cently it has a stock-and-debt takeover deal in place worth $55 mil­lion to ac­quire Marquee en­ergy and its fields near Drumheller.

The deal would raise Prov­i­dent’s daily out­put by about 50 per cent to 7,100 bar­rels of oil equiv­a­lent and in­cludes wells, an oil bat­tery and three gas plants with “ex­ten­sive gath­er­ing net­work Marquee owned in the Michichi area in east-cen­tral Al­berta.

“All of which are ex­pected to pro­vide con­sid­er­able op­er­at­ing syn­er­gies to Prairie Prov­i­dent,” ac­cord­ing to a com­pany re­lease.

Marquee’s web­site says it has iden­ti­fied about 200 tar­gets for drilling in the light-oil fields. The deal could close on Nov. 15, pend­ing reg­u­la­tory ap­proval.

An un­re­lated up­date last week to Prairie Prov­i­dent’s drilling pro­gram near Princess, Alta., stated it had suc­cess­fully com­pleted a third and fi­nal well there in early Septem­ber.

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