Barnwell of Canada, Limited has retained CB Securities Inc. as its exclusive advisor for the sale of all of its non-core assets. This is an invitation to submit a Non-Binding Bid by noon on March 25, 2020.
Total Offering Highlights
- 525 BOE/day of net production at 2019 YE
- 324 Bbls/day oil, 16 Bbls/day NGL and 1,050 Mcf/day sales gas
- $3.5 Million Forecast Annual Net Operating Income
Spirit River Highlights
- 260 BOE/day of recent net production from 1.7 net wells
- 200 Bbls/day of light oil and condensate
- 350 Mcf/day of sales gas
- Includes 28.26% WI in a high rate Lower Charlie Lake hz well
- Commenced production November 2019
- ~750 Bbls/day (213 Bbls/day net) IP60 oil rate
- One of 2019’s top prolific wells drilled in western Canada
- $2.26 Million Forecast 2020 NOI
- 18% royalties and $8/BOE operating costs
- $4.4 million of PP NPV10 and $5.1 million of P+PP NPV10
Wood River Highlights
- 67 Bbls/day of net oil and 75 Mcf/day of net sales gas non-op production (3.1 net wells)
- $728 Thousand Forecast 2020 NOI
- $14.70/BOE operating expense and 24% royalty
- 2020 netback of $32/BOE with $65/Bbl oil price and $2.20/Mcf gas price
- Inexpensive optimizations and workovers identified
Medicine River Highlights
- 22 BOE/day of net production (9 Bbls/day oil, 33 Mcf/day sales gas, & 7 Bbls/day NGL)
- 07% WI in the oil and 8.38% WI in the gas cap of the Pekisko N Pool Unit
- $46 Thousand Forecast 2020 NOI
- $30/BOE operating expense and 20% royalty
- 2020 netback of $6/BOE with $65/Bbl oil price and $2.01/Mcf gas price
- Most of the remaining value is in the gas cap blowdown expected to commence in 2023
- $279 to $320 Thousand of NOI Forecast in 2023
- 7 Bcf (1.4 Bcf net) reinjected into the gas cap to date
- Will also be some flush oil production from currently shut-in high rate oil wells
- Wells with rates as high as 50 Bbls/day were shut-in for pressure maintenance
- Reduction to $6.50/BOE operating expense and 13% royalty in 2023
Kaybob South Highlights
- 21 BOE/day of net production (14 Bbls/day oil, 40 Mcf/day sales gas, & 1 Bbl/day NGL)
- Shallow decline with 8 to 9 year RLI’s
- 35% WI in 4 hz Dunvegan wells
- Waterflood implementation is likely a near term event
- $195 Thousand Forecast 2020 NOI
- $15/BOE operating expense and 17% royalty
Bonanza/Balsam Highlights
- 24 BOE/day of net production (18 Bbls/day oil & 25 Mcf/day sales gas)
- Good quality oil production from 3 gross (1.2 net) wells
- Upside: Recompletion of 10 metres more uphole oil pay upon next pump change in most significant well
- $140 Thousand Forecast 2020 NOI
- $20/BOE operating expense and 20% royalty
Hillsdown Highlights
- 38 BOE/day of net production (13 Bbls/day oil/condensate, 140 Mcf/day sales gas, and 2 Bbls/day NGL)
- Stabilized flat production in wells operated by CNRL with 11% to 19% WI (avg 17%)
- Viking exploitation potential on several sections of interest land at varying WI
- Numerous good vertical Viking wells >60 Bbls/day initial rates and high rate tests in area
- 100% WI in a half section of highly prospective land
- $140 Thousand Forecast Annual NOI
- $12/BOE operating expense and 26% royalty
Thornbury Highlights
- 180 Mcf/day net sales gas
- Stable production in wells operated by CNRL with 6% to 14% WI (avg 11%)
- 40 Mcf/day average well rates in 41 producing wells
- 4 (~7 net) Bcf of cumulative gas production
- $60 Thousand Forecast Annual NOI
- $1.30/Mcf operating expense and 5% royalty
An additional ~200 gross sections of miscellaneous lands across Alberta are also available for review.
More information on each property is available at www.cbsecurities.com or by emailing info@cbsecurities.com