Success Energy Ltd. has retained CB Securities Inc. as its exclusive advisor for the sale of its Inga light oil property and its Meekwap light oil property. This is an invitation to submit a Non-Binding Bid by December 14, 2016.
Inga Oil Property Summary
- 90% operated working interest in a very long life well producing 9 Bbls/day of 38° API oil
- Annual net operating income is ~$49k/year based on $60/Bbl light oil price
- Annual income can be increased by $45k/year with the buyout of the rented Vapour Tight Unit for $75k
- 16-19 interest well is in an end lobe of a very large waterflooded Inga pool
- 2 undrilled spacing units on interest lands for future development option
- Well optimization including re-perforation after >35 years, a small fracture treatment, or replacement of the 10 year old pump and rod string should be considered
Meekwap Oil Property Summary
- Restoration of the last producing rate of 35 Bbls/day of net light oil anticipated by December 2016
- N7 Energy recently purchased Penn West’s interests in the Meekwap Nisku D-2A property wells and facility, and is in the process of reactivating this property that was shut-in April 2015 due to low oil prices
- Annual net operating income of ~$322k/year based on $60/Bbl light oil price and last shut-in oil rate
- 100% working interest well is the highest structurally in the waterflooded Nisku oil pool
- Future optimization upside includes pump enlargement based on success in offsetting producers
- Last production rate was 35 Bbls/day with fluid 44 joints above the top of the pump
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/success-energy-ltd/ for more specific property information.