The following information is provided by Energy Advisors Group Inc. (EAG), formerly PLS Divestment Services. All inquiries on the following listings should be directed to EAG. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.

Energy Advisors Group Inc.'s (EAG) Canadian office is assisting Canada Energy Partners Inc. (CEP) in the sale of its water disposal well and associated assets in Northeast British Columbia.

  • One Saltwater Disposal and Facility with 200-300 m3/day capacity
  • Current Disposal Volumes: 200 m3/day due to government regulations
  • Projected Cash Flow After Returning To Production/Injection C$141,625 per Month
  • About 1,500 m Pipeline Included In Negotiated Transaction
  • Drilling rights in 56 sections including one PUD location for additional disposal wells

The water disposal well is located 11 km from the town of Hudson Hope, just off BC Highway 29, a primary highway linking the Alaska Highway with the John Hart Highway.

CEP was permitted to continue their disposal operations in December 2017 after a temporary suspension which was appealed and lifted. Before being shut in the operation was earning revenue of $190,000 per month and cash flowing $141,000 per month.

The disposal well has a demonstrated capacity to take 250–300 m3/day but is limited by regulation to 200 m3/day into the Baldonnel Formation and requires the installation of a seismic monitor.

Water disposal wells are relatively hard to develop in Northeast British Columbia due to scarce high porosity, high permeability formations resulting in high disposal costs ($30-$60/m3 plus trucking). The presence of a good water disposal well at the fringes of the Western Canadian Sedimentary Basin together with the rights to develop further disposal wells creates a high potential opportunity in so much as operators manage operations within government regulations and environmental measures, according to EAG.

Highlights:

  • Montney Water Disposal Business
  • Water Disposal Well and Facility.
  • Hudson's Hope, British Columbia (56 Sections)
  • Ideal Saltwater Disposal Project To Expand
  • Baldonell Injection Zone
  • Disposal Depth: 1,520 m to 1,574 m
  • Immediate Saltwater Disposal PUD Location.
  • 100% Operated Opportunity
  • Regulated Capacity of 200 m3/day
  • 1,500 m Pipeline Included.
  • Motivated Seller Needs To Sell
  • Prior Revenue: $191,625 per Month
  • Prior Disposal Price: $35.00/m3
  • Prior Operating Income: $141,625 per Month
  • Seller Seeks Offers By January 2020
  • Call For Flexible Terms
Marketed Montney Water Disposal Business In Northeast British Columbia

Click here to view the online data room or visit energyadvisors.com/deals to view our other 30-plus assignments.

For more information, contact Steve Henrich, director with EAG, at shenrich@energyadvisors.com or 713-600-0138.

Onshore