Saturn Oil & Gas Inc announces transformational asset acquisition of 6,700 boepd to become one of the leading producers and land holders in southeast Saskatchewan (north of Williston).
Saturn Oil & Gas Inc. is pleased to announce that it has entered into an arms-length definitive agreement to acquire assets in the Oxbow area of Southeast Saskatchewan for approximately $93 million, funding for which is outlined below.
Pursuant to the Acquisition, Saturn will acquire approximately 6,700 boe/d (~95% light oil and liquids)with over 450 net sections of land, largely positioned across one of the most economic oil plays in North America.
- Saturn expects to be debt-free in 24 months based on production forecasts, capital budget, hedging levels and current forward pricing
- Mission is to continue to be an acquirer of accretive assets in Western Canada
- Acquisition builds on Saturn's existing environmental, social and governance performance, while supplying responsibly-produced ethical Canadian crude oil to service global market demand
Back-of-the-envelope:
- $93 million / 450 net sections = you can do the math
- 6,700 boepd x $50 = $335,000 / day
Assuming each section = 640 acres = 288,000 net acres.
Later, a reader did the math. He caught my error. LOL.
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Apache, Eli, And Marilyn Monroe
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