B.C., Alberta lead 2017 land sale resurgence

Oil and gas land sale spending in B.C. and Alberta hit $793.93 million last year
Photo by Darcy Shawchek

Interest in the Montney and Duvernay plays in B.C. and Alberta powered a near $800-million resurgence in oil and gas land sales in 2017.

Spending in B.C. and Alberta hit $793.93 million last year, the Daily Oil Bulletin reports, up fourfold with producers locking up 1.77 million hectares of land for exploration and development.

That's up from a paltry $217.51 million in spending in 2016, and $375.78 million in 2015, according to the Bulletin.

Spending was largely concentrated in Alberta, which ended the year with $556.39 million in bids, much of that spent on land in the East Shale Basin Duvernay, according to the Bulletin.

In B.C., spending was up to $173.25 million in 2017 after plunging to a record low of just $15.1 million in 2016.

Two sales were largely responsible for the large jump in the province, which started the year with a bang when its first land sale of 2017 produced $39.62 million in bonus bids. That sale was driven by a $35.13-million licence in Northeast B.C. prospective for the Montney east of Dawson Creek. 

Meanwhile, a large $77-million parcel highlighted the province's July sale.

That high-priced drilling licence at Inga east of the Montney production at Altares, was picked up by Scott Land & Lease Ltd., which paid an average price of $13,893.90 per hectare for the 5,542-hectare parcel.

Meanwhile, spending in Saskatchewan totalled $62.83 million in 2017. That's up from $53.4 million in 2016. In Manitoba, spending hit $1.4 million last year, up from $262,000 in 2016.

Scott Land & Lease Ltd. was the top buyer in 2017, according to the Bulletin, acquiring 600,797 hectares for $357.39 million. 

comments powered by Disqus

More from Mining & Energy

Critics blast BC Oil and Gas Commission performance

Regulator’s management of fracking dams, release of timely information among concerns

Read Article

Yukon may want to tap Site C power

Yukon Energy and Mines minister says new mines in would require additional power

Read Article

B.C.’s first oil and gas land sale of 2018 nets $12.9 million

Industry purchased a total of 39,005 hectares at an average price of $328.25 for the month

Read Article

NEB to expedite resolution of permit disputes on Trans Mountain

Energy regulator sets up dispute resolution process for Trans Mountain pipeline

Read Article

BIV on Global BC January 18, 2018: Kinder Morgan delays; Apple to ...

Tyler Orton discusses delays costing Kinder Morgan $75m per month in earnings. Plus: Apple to pay $38b in U.S. taxes to open a second campus

Read Article

Subscribe to our mailing lists

You may withdraw your consent at any time.

* indicates required


* You can modify your newsletter subscriptions at the bottom of any newsletter you receive.
Business in Vancouver Media Group
303 West 5th Avenue, Vancouver, British Columbia
V5Y 1J6 · Canada