Tetonka Resources Inc. (“Tetonka” or the “Company”) has engaged Sayer Energy Advisors to assist the Company with the sale of certain non-core oil and natural gas interests located in the Alameda and Innes areas of southeastern Saskatchewan (the “Properties”).
Average daily production net to Tetonka from the Properties in year 2023 was approximately 12 barrels of oil per day.
Operating income net to Tetonka from the Properties for the fourth quarter of 2023 was approximately $31,000 or $124,000 on an annualized basis.
As of December 28, 2023, the Properties had a deemed net asset value of $560,693 (deemed assets of $721,193 and deemed liabilities of $160,500), with an LMR ratio of 4.49.
GLJ Ltd. (“GLJ”) prepared an independent reserves evaluation of the Properties (the “GLJ Report”). The GLJ Report is effective June 30, 2022 using GLJ’s forecast pricing as of July 1, 2022. GLJ estimated that, as at June 30, 2022, the Properties contained remaining proved plus probable reserves of 28,000 barrels of oil, with an estimated net present value of $706,000 using forecast pricing at a 10% discount.
Summary information relating to this divestiture is attached to this correspondence. A package of more detailed confidential information will be sent to any party executing a Confidentiality Agreement (copy attached).
Cash offers relating to this process will be accepted until 12:00 pm on Thursday, March 28, 2024.
For further information please feel free to contact: Ben Rye, Sydney Birkett, or Tom Pavic at 403.266.6133.