Closed - Progress/Valhalla (above base of Halfway), Pouce Coupe

Still Available - Progress/Valhalla (below base of Halfway), Bonanza, Spirit River & Josephine  

Barnwell of Canada, Limited

Barnwell_Property Location Map.jpg

Barnwell of Canada, Limited (“Barnwell”) has retained CB Securities Inc. (“CB Securities”) as its exclusive advisor for the sale of several of its properties in the Peace River Arch area with aggregate production of 190 BOE/day. This is an invitation to submit a Non-Binding Bid for any of the properties by April 6, 2017.

Progress / Valhalla     

  • Current net production is 141 BOE/day (~40% light oil) from mostly high working interest vertical Triassic producers
  • Upside: Doig horizontal development with multi-stage fracturing
    • 5 sections (4.5 net) considered to be highly prospective with gas-in-place of 6 to 8 Bcf per section
  • Upside: Charlie Lake (Braeburn) horizontal development
    • 3 sections (2.8 net) considered to be highly prospective
  • Upside: Montney horizontal development
    • Several sections of high interest land in 76-09 W6M with offsetting development
  • Upside: Halfway horizontal developmen
    • 2 sections with 75% and 25% working interest expected to be developed by the operator
  • Upside: Boundary Lake pool extension onto recently acquired 100% working interest land
  • Recent discussions with a third party midstream operator to access gas processing capacity in a new processing facility to be centrally-located on interest land

Spirit River 

  • Current net production is 9 Bbls/day of shallow decline oil in a vertical 50% WI Charlie Lake (Braeburn) well
  • Land is likely to be pooled in the near term for horizontal development of the Charlie Lake
  • Due to challenging access in this area, Barnwell’s existing road and surface lease have strategic value to further development in the area

Pouce Coupe

  • Current net production is 10 BOE/day, consisting of 50 Mcf/day of sales gas and 1.3 Bbls/day of condensate, from 5 (0.46 net) non-operated working interest wells
  • Additional 23 BOE/day, consisting of 130 Mcf/day of sales gas and 1.5 Bbls/day of condensate, were shut-in with low gas prices and facility constraints, and are expected to be restarted in 2017
  • Upside includes multi-zone development and restart potential
  • Montney interests ranging from 3.1% to 15.8% in 6 sections of land with active areal Montney horizontal development

Bonanza

  • Current net production is 24 BOE/day, consisting of 7.5 Bbls/day of oil, 1.0 Bbls/day of natural gas liquids, and 94 Mcf/day of sales gas from 1.6 net (3 gross) producing wells
  • Existing production and reactivations

Josephine

  • 75% and 100% working interests in the Charlie Lake on 2 sections of land with nearby horizontal development
    • Tie-in the 75% working interest well that tested 1.5 MMcf/day at stable rates from the Charlie Lake in late 2015
  • 65% and 75% working interests in the Montney on 2 sections of land
    • The vertical 75% interest well also tested 450 Mcf/day from the Montney

An attachment provides selected play maps demonstrating the existing Triassic production and opportunities on these properties

Please click link above to see attachment

Additional detailed information including geological mapping, type logs, cross sections, and production histories on the property is provided in the Non-Confidential Offering Circular.  Execution of a Confidentiality Agreement will allow potential purchasers to gain access to the Data Book and the Virtual Data Room.  Please contact info@cbsecurities.com to receive either document.


Offering Procedure

Each interested party is asked to submit a Non-Binding Bid by noon on Thursday, April 6th, 2017 to the attention of CB Securities.  From the Non-Binding Bids received Barnwell will identify the parties with whom to work toward concluding a transaction.

Barnwell and CB Securities make no representation or warranty as to the accuracy or completeness of the information provided in connection with this Offering.  Each potential purchaser should rely on its own investigation and due diligence to satisfy itself as to all matters relating to this Offering.  Only those representations or warranties expressly agreed to in an executed Purchase and Sale Agreement between Barnwell and the successful purchaser shall be binding on Barnwell.

Barnwell and CB Securities reserve the right to modify the timing, procedures, and terms and conditions of this Offering, or to terminate this Offering at any time. Barnwell also reserves the right to accept or reject any or all offers at its sole discretion for any reason whatsoever.

Prospective purchasers wishing to participate in this Offering are requested to direct their inquiries to Darryl Derouin at (403) 781-7041 or email at info@cbsecurities.com.