2163754 Alberta Ltd. (“216” or the “Company”) has engaged Sayer Energy Advisors to assist it with a sale of the shares of the Company.
The Company holds Fee Title and royalty interests in the Medicine Hat area which includes Fee Title and a royalty on certain tracts of the Medicine Hat Glauconitic “C” East Unit operated by Enerplus Corporation as well as Fee Title and royalty interests in several producing wells operated by the City of Medicine Hat.
Royalty income net to 216 in the third quarter of 2021 was approximately $90,000 or $360,000 on an annualized basis.
Average daily royalty production net to the Company for the month of August 2021 was approximately 13 barrels of oil per day and 17 Mcf/d of natural gas (16 boe/d).
216 is a private company with royalty income from oil and natural gas properties in southeastern Alberta. 216 has one shareholder, no severance obligations but is required to monitor one reclaimed natural gas well.
216 currently has approximately $530,000 in positive working capital and total tax pools of approximately $2.8 million, consisting predominantly of non-capital losses. Additional corporate information relating to 216 will be provided to parties upon execution of a confidentiality agreement.
Summary information relating to this divestiture is attached to this correspondence. More specific information is available at www.sayeradvisors.com. A package of more detailed confidential information will be sent to any party executing a Confidentiality Agreement (copy attached).
Cash offers relating to this divestiture will be accepted until 12 p.m. on Thursday, Dec. 2, 2021.
For further information please feel free to contact: Ben Rye, Grazina Palmer or Tom Pavic at 403.266.6133.