Progress Energy - Deep Basin Asset Opportunity


BMO Capital Markets has been engaged by Progress Energy to assist with the sale of its Deep Basin assets in Alberta.

  • ​Massive land position of over 400,000 gross acres (250,000 net) of stacked rights in the heart of the Deep Basin with a 63% working interest
  • Stable base production of ~5,500 boe/d (~45% liquids); ~85% operated
  • Strategic facilities ownership in three gas plants with an extensive pipeline network
  • Stacked rights with potential in the Dunvegan, Cardium, Cadotte, Spirit River Group and Bluesky
  • Material inventory of low-risk, highly economic light oil opportunities in the Dunvegan
  • Undercapitalized asset with significant low-risk development potential
  • Significant opportunity to capture under-optimized production through workovers requiring minimal capital
  • Includes over 32,000 acres of royalty, fee and fee leased lands in Alberta, Saskatchewan and Manitoba generating $2MM per year in cash flow
  • Includes firm-service contracts on NGTL and others for required take-away
  • Excellent LMR with minimal abandonment liabilities