Vermilion adds Deep Basin assets through Westbrick Energy acquisition
Vermilion Energy Inc., Calgary, closed on its acquisition of privately held Westbrick Energy Ltd., Calgary, for C$1.075 billion.
The transaction adds annual production of 50,000 boe/d 75% gas, 25% liquids) and about 1.1 million (770,000 net) acres of land in the southeast portion of the Deep Basin trend in the Greater Pembina region in Alberta, contiguous and complementary to Vermilion's legacy Deep Basin assets, the company said in a release Feb. 26.
Vermilion has identified over 700 future drilling locations on the acquired acreage, across multiple zones including the Ellerslie, Notikewin, Rock Creek, Falher, Cardium, Wilrich, and Niton formations. In a February 2025 investor presentation, Vermilion noted plans to increase production from the acquired assets to 60,000 boe/d within 5 years.
The deal includes four operated gas plants with total capacity of 102 MMcfd.
In its February 2025 presentation prior to the deal’s closing, Vermilion said it anticipated full-year 2025 production to be 126,000-133,000 boe/d (62% natural gas), assuming the deal closed by mid-first-quarter 2025 with a capital program of C$725–775 million, including incremental capital being allocated to the newly acquired Deep Basin assets.
In the release Feb. 26, the company said it plans to release an updated 2025 budget and financial guidance reflecting the increased scale of the company following the acquisition with the release of its fourth-quarter results on Mar. 5, 2025.
