South­west re­mained quiet dur­ing Oc­to­ber oil and gas of­fer­ing

The Southwest Booster - - FRONT PAGE -

A small num­ber of posted leases con­trib­uted to an­other quiet pe­tro­leum and nat­u­ral gas pub­lic of­fer­ing in the South­west.

Two of the five posted parcels of land avail­able dur­ing Oc­to­ber’s pub­lic of­fer­ing at­tracted in­ter­est, bring­ing in $15,596. Both parcels were pur­chased by White­cap Re­sources in an area 12 kilo­me­tres north of Gull Lake and ad­ja­cent to the North Premier Up­per Shau­navon Oil Pool. The 242.8 hectares sold at an av­er­age cost of $64.23 per hectare.

The South­west has now failed to top the $1 mil­lion mark for 12 con­sec­u­tive sales. Dur­ing the first five sales this cal­en­dar year the South­west has gen­er­ated just $1.15 mil­lion in ac­tiv­ity, with Saskatchewan re­al­iz­ing prov­ince wide spend­ing of $30.5 mil­lion.

The bright spot again dur­ing the Oc­to­ber sale was the Kin­der­s­ley/ker­robert re­gion, where 23 leases sold at a cost of $1.28 mil­lion (an av­er­age of $255.60 per hectare). It marks the sec­ond straight sale the West Cen­tral re­gion has led the prov­ince. Sec­ond best in the Oc­to­ber sale was the Este­van re­gion, where 19 leases sold at a cost of just over $660,000 (an av­er­age of $463.17 per hectare). Plac­ing third was the Lloy­d­min­ster area where 12 leases were picked up at a cost of $168,000 (an av­er­age of $471.41 per hectare).

Prov­ince wide, the Oc­to­ber sale was the slow­est of the five 2018 sales with just $2.1 mil­lion in ac­tiv­ity. It is well off the $15.6 mil­lion in ac­tiv­ity from the June sale, and trails the pre­vi­ous qui­etest sale back in April where $2.86 mil­lion in bids were re­ceived.

It also ranks as Saskatchewan’s sec­ond low­est to­tal for the past two decades. The only lower to­tal was recorded dur­ing April 2017 when $1.3 mil­lion in ac­tiv­ity was recorded.

For the fis­cal year, which be­gins with the April sale, Saskatchewan has pro­duced a rev­enue to­tal of $27.2 mil­lion

The fi­nal pub­lic of­fer­ing of pe­tro­leum and nat­u­ral gas rights for 2018 will be held on De­cem­ber 4.

2018 South­west Sask. Oc­to­ber $15,596 $2.1 mil­lion Au­gust $93,333 $6.5 mil­lion June $61,090 $15.6 mil­lion April $630,096 $2.86 mil­lion Fe­bru­ary $357,674 $3.43 mil­lion 2018 To­tals 11.3 mil­lion $30.5 mil­lion 2017 South­west Sask. De­cem­ber $403,050 $9.55 mil­lion Oc­to­ber $96,788 $19.47 mil­lion Au­gust $223,688 $7.86 mil­lion June $443,152 $22.8 mil­lion April $368,644 $1.3 mil­lion Fe­bru­ary $4,861 $5.0 mil­lion 2017 To­tals $1.54 mil­lion $65.98 mil­lion 2016 South­west Sask. De­cem­ber $162,076 $14.2 mil­lion Oc­to­ber $2.46 mil­lion $17.2 mil­lion Au­gust $371,692 $9.98 mil­lion June $477,663 $3.9 mil­lion April nil $3.07 mil­lion Fe­bru­ary $4,862 $5.1 mil­lion 2016 To­tals $3.47 mil­lion $53.45 mil­lion

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