Logan Energy Corp., Calgary, has closed a deal with Gran Tierra Energy Inc., Calgary, to acquire an operated 50% working interest in certain assets in Simonette, Alta., and a 100% interest in certain Simonette gross overriding royalties, for $52 million.
The deal, entered into in November, adds interest in assets primarily targeting the Montney oil play, the company said in a Dec. 17 release. The deal includes current production of about 795 boe/d (48% liquids), 25 net (52.5 gross) sections of prospective Montney acreage including 45 net identified Montney drilling locations, 16 gross 5-10% GORR sections, and interests in infrastructure including a 50% working interest in a 9-million bbl water reservoir and an oil battery, Logan said in a Nov. 26 release when the deal was announced.
With the deal closed, Logan plans to grow production to 24,000-27,000 boe/d by 2028, up from its previously stated target of 20,000-25,000 boe/d by 2028.
