Grizzly Resources Ltd. has retained CB Securities Inc. as its exclusive advisor for the sale of its Pembina Nisku oil property. This is an invitation to submit a Non-Binding Bid by December 8, 2016.
Opportunity Summary
- Original oil-in-place is 8.2 MMBbls plus a significant gas cap
- Well-delineated Nisku pool defined by existing wells and 3D seismic
- High porosity (>10%), high permeability (800 mD), high productivity
- Produce oil under waterflood until ~95% watercut, then blow down the gas cap
- Recovery factors forecast to range from 35% to 55% (per Sproule YE 2015)
- Oil reserves assigned at 35% Proved (1P) and 45% Proved plus Probable (2P)
- Cumulative recovery of Sproule estimated OOIP is only 6%
- Most analogous Nisku pools in the area have recovery factors in excess of 45%
- Some Nisku pools in the area under tertiary miscible flood (after completion of a secondary waterflood) have ultimate recovery factors exceeding 75%
- Grizzly has a 46.875% operated working interest in 2 producing wells, 1 water injection well, 1 potential water injector well, and associated pad facilities
- Grizzly is the operator of record and has a contract with partner Sinopec Daylight Energy to operate the property and facility
- Gross production has recently averaged ~1,500 BOE/day (net 703 BOE/day)
- 1,220 Bbls/day light oil, 1,270 Mcf/day raw gas (838 Mcf/day sales gas), and 44 Bbls/day NGL
- Both producing wells choked 10% to 20%
- Major upsides for this pool are achieving a higher ultimate secondary waterflood recovery factor and implementation of a tertiary miscible flood
Prospective purchasers wishing to participate in this Offering are requested to direct their inquiries to Darryl Derouin at (403) 781-7041, email at info@cbsecurities.com, or visit our webpage at www.cbsecurities.com/grizzly-resources-ltd/ for more specific property information.
