Conifer Energy Inc. (“Conifer” or the “Company”) has engaged Sayer Energy Advisors to assist the Company with the sale of its oil and natural gas interests located in the Goose River area of Alberta (the “Property”).
The Property consists of various working interests, including Conifer’s interest in the Goose River Unit No. 1 (the “Unit”) and Conifer’s interest in the Snipe-Goose Gas Gathering System which flows to the Paramount Resources Ltd. Kaybob Gas Plant located at 08-09-064-19W5. Conifer is selling the Property in order to focus on its core operations.
Production from the Goose River Unit No. 1 was shut-in in September 2019 due to low commodity prices. The well Cfr GooseR 00/02-08-067-18W5/0 was restarted in the fourth quarter of 2020.
Conifer has identified at least 14 reactivation opportunities to reinstate production from the Unit, with total production capability of approximately 150 to 175 bbl/d of oil.
Conifer has identified the potential for Duvernay development on its lands at Goose River. Duvernay production and development in the Kaybob area has been gradually moving to the northeast and is encroaching into the Goose River area.
As of September 7, 2024, the Property had a deemed net asset value of ($12.8 million) (deemed assets of $974,892 and deemed liabilities of $13.8 million), with an LMR ratio of 0.07.
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, December 19, 2024.
For further information please feel free to contact: Ben Rye, Sydney Birkett, or Tom Pavic at 403.266.6133.