The December sale of petroleum and natural gas rights raised $18.3 million in revenue for the province, bringing final land sale revenues for the 2014 calendar year to $197.9 million.
The average of $988 per hectare for land sales in 2014 ranks third highest all-time, behind the $1,461 per hectare averaged in 2008 and the $1,029 per hectare averaged in 2010.
“Saskatchewan has worked hard to develop a positive investment climate for the oil and gas industry, so it was reassuring when the recently released Fraser Institute’s annual Global Petroleum Survey once again ranked Saskatchewan as the number one place in Canada and third globally for oil and gas investment,” Economy Minister Bill Boyd said. “Record drilling and impressive land sale revenues over the past few years suggest that industry is pleased with our policies and regulatory regime, and given that we are competing on a global level for investment, the Institute’s report is something we take very seriously.”
The December sale saw the Weyburn-Estevan area receive the most bids with sales of $11.9 million. The Kindersley-Kerrobert area was next at $4.5 million, followed by the Lloydminster area at $973,220 and the Swift Current area at $864,218. The highest price paid for a single parcel was $1.3 million. Ranger Land Services Ltd. acquired the 1,165-hectare exploration licence north of Arcola. The highest price on a per-hectare basis was $9,319. Northend Resources Ltd. bid $603,404 for a 64.75-hectare lease southeast of Estevan.
The next sale of Crown petroleum and natural gas rights will be held on February 2, 2015.