The company (“Rally”) holds 100% working interest in Bashaw Oil Field located in Lacombe, Alberta. Bashaw has two unit-pools, Bashaw NISKU G (AB00960696007) and L (AB00960696012), with daily production of 300bbl light oil (L-pool: API 40 and G-pool: API 38) from NISKU formation and annual net operation income of $3 million.
To improve oil recovery and dispose sour solution gas, Rally have constructed a water-gas flood project, including building main gas pipelines from battery to well satellites and to three injectors, setting up an automatic control system, and upgrading the battery since 2020. The water-gas flood project includes 7 patterns, in which 3 were completed, and the remaining 4 are planned to be carried out this year, by adding short gas pipelines to connect 4 injectors with well satellites. The project has been approved as very successful. A production increase of 140 bbl/day has been observed on two patterns, and an annual sour gas processing fee of $2 million has been saved. The company has invested $4 million into this project, which is about 80% of the total project cost.
Currently, oil production has been limited by gas injection capacity and financial constraints. Once the other 4 patterns are completed, the daily production can be increased by over 1300bbl, including 750 bbl by drilling 5 new wells, 200bbl by adding 4 more water-gas injectors, 170 bbl by fixing shutdown wells, 130bbl by replacing pumpjack with ESP, and 90 bbl by reactivating 2 water-source wells. Detailed information is available subject to a Confidentiality Agreement.
For more information, please contact:
Paul Cao at paul.cao@rallyoil.com
Rally makes no representation or warranty as to the accuracy or completeness of the information provided. Any interested party should rely on its own due diligence to satisfy itself as to all matters relating to these assets. The availability of this property is non-exclusive and may be withdrawn at any time without further correspondence to the recipient. Rally retains the right to reject any and all offers made for any reason.