- Saturn Oil & Gas (SOIL) has confirmed 43.3 million BOE of reserves in a new evaluation of its Oxbow asset
- The report estimates the asset’s net present value of net future revenues to be C$435.7 million or $0.87 per outstanding share (basic)
- It also found that Oxbow’s reserves are comprised of 95 per cent light and medium oil and natural gas liquids
- Saturn Oil & Gas is a Canadian energy company focused on developing light-oil weighted assets
- Saturn Oil & Gas (SOIL) is unchanged trading at $0.16 per share
Saturn Oil & Gas (SOIL) has confirmed 43.3 million BOE of reserves in a new evaluation of its Oxbow asset.
The company acquired the southeast Saskatchewan asset in June 2021 for C$76.8 million.
Ryder Scott Company-Canada prepared the evaluation with the following highlights:
- It estimates the asset’s net present value of net future revenues to be $435.7 million or $0.87 per outstanding share (basic)
- Oxbow reserves comprise 95 per cent light and medium oil and natural gas liquids
- Total proved reserves make up 70 per cent of the total proved plus probable reserves
- A total of 242 booked drilling locations with certified reserves
Saturn has also identified over 100 additional un-booked horizontal drilling locations on its Oxbow asset.
Summary of gross oil and gas reserves and net present value of revenue
Before income taxes as of April 1, 2021 – Forecast prices and costs
| Reserves MMboe | Cash acquisition cost $ / boe | NPV 10% ($ million) | NPV per BOE $ / boe | |
| Proved developed producing | 24.1 | $3.19 | $243.7 | $10.11 |
| Total proved | 30.4 | $2.53 | $298.0 | $9.80 |
| Proved plus probable | 43.3 | $1.77 | $435.7 | $10.06 |
Summary of Oxbow asset gross oil and gas reserves
| Light & medium oil | Natural gas | Natural gas liquids | Total BOE | |
| Reserved category | Mbbl | MMcf | Mbbl | Mboe |
| Proved developed producing | 21,877 | 7,065 | 1,046 | 24,101 |
| Proved non- producing | 354 | 111 | 17 | 389 |
| Proved undeveloped | 5,274 | 2,321 | 294 | 5,955 |
| Total proved | 27,505 | 9,498 | 1,357 | 30,445 |
| Probable | 11,535 | 4,267 | 566 | 12,812 |
| Proved plus probable | 39,040 | 13,764 | 1,924 | 43,258 |
Justin Kaufmann, Saturn’s Senior Vice President of Exploration, stated,
“We are encouraged that the independently prepared Oxbow Report confirms Saturn’s initial evaluation of the large reserves in place and long-life production of the Oxbow Asset. Saturn’s focus now is to redeploy the strong cash flow from Oxbow’s low decline production into growth projects and debt reduction.”
Saturn Oil & Gas is a Canadian energy company focused on developing light-oil-weighted assets.
Saturn Oil & Gas (SOIL) is unchanged trading at $0.16 per share as of 10:28 am ET.
