•  
  •  
  •  
  •  
  •  
  • Untitled Document
    Untitled Document

    Northern Petroleum acquires Northern Alberta assets

    Northern Petroleum

    Northern Petroleum Plc (AIM: NOP) acquired additional leases in Canada following the Alberta Crown lands sale that took place March 20, 2013.

    The company acquired additional leases over 4,000 acres increasing its aggregate holding of petroleum and natural gas mineral rights in Canada to 9,300 acres. These leases are all centered in one basin in Northern Alberta. To date they have produced a combined 11 million barrels of oil from an estimated 56 million barrels of oil originally in place, representing a recovery factor of approximately 20%. The total acreage contains 37 abandoned wells, of which 19 have initially been identified by Northern as being capable of re-entry for further production.

    This area has multiple redevelopment opportunities for the existing high productivity reefs in the Keg River Formation as well as the Muskwa emerging unconventional shale play.

    The basin contains over 800 pinnacle and atoll reefs of the Keg River Formation formed during the Mid-Devonian and are encased in sealing evaporites of the Muskeg Formation. Discovered in the 1960s, most of the reefs were developed and abandoned having only recovered approximately 27% of the light oil originally in place. In excess of 2,000 wells have produced almost one billion barrels of light oil from the Keg River Formation in the basin to date, as reported by the energy regulator in Alberta.

    The work program during 2013 and into 2014 will focus on activities during the winter season, when complete access is possible. During the summer it is planned that a small number of wells will be put on short term production test to establish flow rates, confirm reservoir characteristics and the final design of the winter season program. This information will then be used to build infrastructure, at an optimum level relative to operational expenditure, to support continuous production, expected to start early in 2014.

    "This basin exploitation and redevelopment opportunity combines two key elements of Northern’s strategy: low-cost entry and near term material value growth. The oil and gas industry in Canada is fast paced and well regulated, which is the perfect environment for small companies to grow and at the rate expected by our shareholders. We have acquired some excellent exploitation opportunities and a good team to bring the project into production," said Northern Petroleum managing director Derek Musgrove.

    Related Articles

    Energy XXI completes EPL acquisition

    06/05/2014 Energy XXI (Nasdaq:EXXI) (AIM:EXXI) has completed the previously announced acquisition of EPL Oil & Gas (NYSE:EPL) for approximately $2.3 billion, making Energy XXI the largest publicly traded ...

    Zenergy and Apollo Global Management form partnership

    06/03/2014 Zenergy Inc. and funds managed by affiliates of Apollo Global Management LLC have formed a partnership to invest in the acquisition and development of upstream and midstream oil and gas properties.

    ASX-listed Sun buys into Eagle Ford, Austin Chalk

    05/28/2014 Sun Resources has entered into a transaction with Ursa New Ventures LLC to purchase a 50% non-operated working interest in a package of oil and gas leases within the Eagle Ford Shale and Austin Cha...

    Moving Marcellus and Utica natural gas south and west

    05/28/2014 Natural gas production in the Marcellus/Utica region continues to increase sharply. Gas pipeline takeaway capacity out of Marcellus/Utica has been added in fits and starts to date, but the need for...

    UPSTREAM NEWS

    05/07/2014

    More Oil & Gas Financial Articles

    Energy XXI completes EPL acquisition

    Thu, Jun 5, 2014

    Energy XXI (Nasdaq:EXXI) (AIM:EXXI) has completed the previously announced acquisition of EPL Oil & Gas (NYSE:EPL) for approximately $2.3 billion, making Energy XXI the largest publicly traded independent operator on the Gulf of Mexico shelf.

    Zenergy and Apollo Global Management form partnership

    Tue, Jun 3, 2014

    Zenergy Inc. and funds managed by affiliates of Apollo Global Management LLC have formed a partnership to invest in the acquisition and development of upstream and midstream oil and gas properties.

    ASX-listed Sun buys into Eagle Ford, Austin Chalk

    Wed, May 28, 2014

    Sun Resources has entered into a transaction with Ursa New Ventures LLC to purchase a 50% non-operated working interest in a package of oil and gas leases within the Eagle Ford Shale and Austin Chalk formations.

    Moving Marcellus and Utica natural gas south and west

    Wed, May 28, 2014

    Natural gas production in the Marcellus/Utica region continues to increase sharply. Gas pipeline takeaway capacity out of Marcellus/Utica has been added in fits and starts to date, but the need for new southern and western outlets for gas from the region is now evident, and midstream companies are planning long line, bi-directional projects with a combined capacity of more than 9 Bcf/d. In this new series, we consider this next round of pipeline projects out of the Marcellus/Utica.

    UPSTREAM NEWS

    Wed, May 7, 2014

    Most Popular

    Oil & Gas Jobs

    Search More Job Listings >>
    Subscribe to OGFJ