Drilling forecast up 44% as southeast Sask. rebounds

Drilling forecast up 44% as southeast Sask. rebounds

Regina / 980 CJME

oil pump jack

August 03, 2017 11:25 am

There’s good news for the province’s oil industry, particularly in the southeast.

More than $6 million in Crown petroleum and natural gas rights were sold in southeast Saskatchewan this month, out of a total of $8 million in total rights sales for August.

The province said this is the third sale of the current fiscal year for a total of $32 million for 2017-18.

The province also pointed to an update in the Petroleum Service Association of Canada’s (PSAC) 2017 Canadian Drilling Activity Forecast calling for 2,794 wells to be drilled in Saskatchewan, up from its original forecast of 1,940 wells.

“These figures, along with positive expectations by industry, suggest our oil and gas sector is regaining momentum after a prolonged period of transition,” Energy and Resources Minister Dustin Duncan said in a media release. “There’s no doubt that this kind of renewed activity in Saskatchewan’s oil patch bodes well not only for our communities that rely on this industry for jobs and growth, but also for our economy at large.”

The province said six exploration licences southwest of Radville received bonus bids this week, totaling $1,605,454.05 for 17,612.02 hectares.

The next public offering of petroleum and natural gas rights is on Oct. 3, 2017.

 

 

 

About prosperitysaskatchewan

Consultant on Saskatchewan's natural resources.

Posted on August 4, 2017, in economic impact, oil, political. Bookmark the permalink. Leave a comment.

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