Bonavista 2011 Oil & Gas Royalty Divestment	Bids Due: November 25, 2011	PDF IM 13 Pgs, 3 MB Confidentiality Agreement	Contact: Tom Caldwell 403-299-8453
Introduction Letter | Sale Timeline and Process | Disclaimer | Overview British Columbia Montney Package | Alberta Deep Basin Package | Diversified Royalty Package

 

Alberta Deep Basin Royalty Package

• ~49 producing wells at 676 Mcf/d, 1 bbl/d of oil and 4 bbl/d of NGLs of royalty interest production
• 2011 annualized royalty income of $1,259 M
• Properties include Wild River, Pine Creek and Horse
  • Experienced operators including Shell, Tourmaline and Peyto
• 7,007 undeveloped and 15,534 developed gross acres under royalty
  • 1.6% to 8% at Wild River and Horse
  • 1/150 (5%-12%) on oil with 12% on gas at Pine Creek
• Commingled production is common with over 8 different stacked prospective horizons
  • Producing formations include the Cardium, Dunvegan, Viking, Upper & Lower Mannville, Glauconitic, Bluesky, Gething, Cadomin and Nikanassin
• Largely vertical well development to date on royalty lands
  • Potential to increase initial production rates and recoveries with horizontal drilling and multistage fracs as evidenced by surrounding horizontal development
• Significant future growth potential
  • 56 Proved Undeveloped locations assigned by GLJ
  • Additional Cretaceous drilling locations identified including downspacing opportunities

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