The June sale for Saskatchewan’s public offerings of petroleum and natural gas rights fetched $3.9 million, bringing the total for the calendar year to just over $12 million.
Figures were announced on Thursday.
“The Government of Saskatchewan has worked hard to develop a positive investment climate, with a royalty regime that is widely recognized as stable and compares favourably with other jurisdictions,” Economy Minister Bill Boyd said.
“When it comes to investing with confidence, our significant resources, world-class supply chain and favourable geology have made Saskatchewan a sound choice for the industry.”
Saskatchewan is ranked first in Canada and in the world’s top 10 in the Fraser Institute’s most recent annual Global Petroleum Survey of petroleum executives in the category of attractive jurisdictions for investment in petroleum exploration and development.
For the 2016 calendar year to date, Saskatchewan’s public offerings are averaging $336 per hectare, compared to an average price of $123 per hectare for public offerings for Alberta petroleum and natural gas rights and an average price of $178 per hectare in British Columbia.
The Estevan area and Kindersley area received the majority of interest in this public offering with $1.8 million and $1.5 million, respectively, in total successful offers.
The highest offer for a parcel of land in this public offering was $1.0 million for a 389-hectare lease west of Estevan. Mammoth Land Services Ltd. was the successful bidder.
This parcel is prospective for multiple targets including the Bakken Formation and Three Forks Group/Torquay Formation. This parcel was also the highest price on a per-hectare basis at $2,654.
The next public offering of Crown petroleum and natural gas rights will be held on August 9.
Next week's edition of the Mercury will have more on this story.