Petrolia Energy looking to boost shareholder value
Petrolia Energy Corporation announced on Monday that it purchased a 25 per cent working interest in the Luseland, Hearts Hill, and Cuthbert oil and gas fields, located in Southwest Saskatchewan and Eastern Alberta.
The acquisition consists of working interests in a total of 64 sections, or approximately 41,526 acres, with 240 oil and 12 producing natural gas wells producing.
Zel C. Khan, the CEO and President of Petrolia, said in a press release “This was a fantastic acquisition for our Company”.
According to the company, there are several idle wells with potential for reactivation and 34 sections of undeveloped land, approximately 21,760 acres.
Petrolia reports that average aggregate total production/sales from the purchased properties for the last 5 months was approximately 1,290 barrels of oil per day (b/d).
The wells produced 1,222 b/d of oil and 68 b/d of natural gas and Petrolia Energy Corp’s 25 per cent interest nets approximately 322 b/d.
“The cash-flow, proven reserves, and behind pipe upside, will all play a part in our continued pursuit to build shareholder value,” said Khan.
The Houston-based company believes there is significant potential in these assets beyond primary recovery through the implementation of water flood/pressure support, as well as numerous reactivations and infill drilling opportunities, in addition to the opportunity to reduce operating expenditures.
Petrolia Energy says it believes these efforts would significantly extend the life of, and increase recoverability of reserves from, the assets.
Khan added that “with the implementation of new technology and modern methodology, we believe production and life expectancy can be dramatically increased”.
Petrolia Energy Corporation is an international oil and gas company with over 80 years of global operational and management experience in all aspects of the energy industry. Petrolia explores energy development potential in oil, gas, solar and wind.