Copyright of the Daily Oil Bulletin 2018
Alberta Land Sale Brings In Just Under $4 Million
The Alberta government on Wednesday attracted $3.98 million in bonus bids — only 14 parcels were on offer at the April 18 auction.
Industry acquired 7,733 hectares at an average price of $515.19. Full results and locations are available on the DOB's reports section here.
After a positive start to the year, things have started to tail off. The government attracted $89.29 million at five sales in the first quarter, and just $9.62 million after two sales in the second quarter. Q2 is a busy one, with five more sales left in May and June.
Year-to-date, the government has attracted $98.91 million on 314,679 at an average price of $314.32.
Two parcels that drew over $1,000 per hectare were prospective for the Duvernay in the East Shale Basin, noted Michele Innes, exploration analyst with Canadian Discovery Ltd.
Landsolutions GP Inc. acquired Lease A0090, paying $1.52 million at an average of $1,183.86. It included sections 19, 20, 29 and 30 for petroleum and natural gas (P&NG) below the base of the Wabamun Group and section 17 for rights below the Wabamun Group, to the base of the Leduc formation. This lease was located at 30-26W4.
Also, Wood River Resources Ltd. picked up the northwest quarter of section 17 at 37-01W5 for $198,563, paying an average of $3,102.56 for all rights, except in the Edmonton Group (Lease A0091 in the posting).
Lease A0090 (30-26W4) consists of five sections at Twining, tucked in the far reaches of the ESB, to the southwest of Artis Exploration Ltd.’s Duvernay production near Three Hills, Innes said. Parcel A0091 at Sylvan Lake, is a quarter section lease offsetting two of Vesta Energy’s Duvernay wells spud earlier this year.