Southwest quiet during Saskatchewan’s best oil and gas offering of 2018
While Saskatchewan recorded its best petroleum and natural gas public offering of the year, the Southwest was only a small contributor to that total.
The Crown petroleum and natural gas rights on June 5 generated $15.6 million in activity, well ahead of the $2.86 million total generated back in April. It stands as Saskatchewan’s the fourth best sale among the 15 sales held since 2016.
In the Southwest just a single lease was available and sold for a price of $61,090. Scott Land & Lease Ltd. acquired the 64.63 hectare parcel located within the Gull Lake Basal Cantuar Sand Oil Pool (five kilometres southwest of Gull Lake) for $945.23 per hectare.
With just $61,090 in activity in the Southwest, the June sale ranks as the quietest among the last seven sales dating back to February 2017 when just $4,861 in interest was shown.
The Estevan-weyburn area led the way with $11.48 million in activity, followed by the Kindersley-kerrobert region with $3.45 million in interest, while Lloydminster and region had three leases sold at a cost of $631,000.
The largest transaction in the sale came when Stomp Energy Ltd. acquired a just over 1,000 hectare licence 40 kilometres southeast of Radville at a cost of $10.5 million or $10,146 per hectare.
Work continues to expand in the Elrose area, with Windfall Resources Ltd. purchasing a 259 hectare parcel lease at a cost of $340,836. The lease, considered part of the Kindersleykerrobert region, is situated 20 kilometres south of Elrose near the Forgan West Viking Sand Oil Pool.
The next public offering sale will be held on August 14.