Wembley Pipestone + Charlie Lake > $2 billion 2024 year/end Wembley Pipestone La Glace 109,659 acres (Net)
- Q4 plant capacity =109 MMcf - take it to 45,000 boe/day
- Type curves = IP365 822 boe/day 62% Liquids
Wembley Pipestone Charlie Lake 23,917 acres (Net)
- IP30 (2 wells average) 1360 boe/day 71% Liquids (From Presentation)
2018 NVA bought Pipestone, it added 29% to its land base, (35,250 acres)
29% 90% (Wembley/Pipstone montney = 90 percentage NVA Montney Land base)
35,250 109,659 (Only Montney Acreage)
Kelt Pipestone Wembley represent 90% of the Montney lands in total held by NVA at time of Pipestone acquisition (2018)
Pipestone production 9,600 boe/day at the time of the purchase (2018)
Kelts Montney land position at Wembley/pipestone has 3.1 times acreage.
NVA paid 625 million for pipestone. (2018)
Kelt Wembley NVA (Montney only)
109,659 35,250 3.1 times bigger
45,000 9,600 4.6875 production (Q4 2024 assuming 16 wells fill plant)
625 Million (3.1 – 4.69)Kelt or (1,937 million to 2,931 million)
Charlie lake is multi zone above the Montney, at Wembley/Pipestone La Glace Kelt has 23,917 acres of Charlie Lake ( first 2 Charlie lake wells had an average IP30 of 1360 boe 71% Liquids)
The land base at Wembley/Pipe including Charlie Lake is larger than the entire Montney land base Nuvista had in 2018 prior to purchasing pipestone.
There is not a lot of montney plays around with this contigious massive land base, and a stacked Charie Lake potential that adds another 24,000 acres
My guess is the selling price for this play will be in the 2.5 billion dollar area if they include Charlie Lake lands, or 2 Billion for just the Montney lands.
When NVA bought pipestone from Cenovous it really did not have the strategic work that Kelt has put into the play to define all the zone, and unearth it value.
IMHO