ValuationThis purchase is inline with current land and production acquisitions in the area. Put it this way.
Production: $ 100 MM (1300 boe/day @ $70,000/flowing)
Land: Recent Jan 27th Landsale ranged from $2000-$14000/ha
105 Net Sections = 26880 ha
So, $480 MM - $100 MM Production - $60 MM (working capital) = $320 MM essentially for land which equates to $11,990/ha.
These valuations are becoming more consistant in this area, land alone is hitting high millions. Here is the land sale government website, see it all for yourself. Its heating up, BXE is positioned well!
https://www.energy.gov.ab.ca/Tenure/1314.asp