RE:RE:RE:Spartan vs Westbrick…AgainIt looks like SDE's letter of intent to acquire Triple 5 out of CCAA protection has advanced to a definitive agreement, subject to approval of a majority of the creditors. There was a competing offer from Westbrick to purchase the assets of the company.
Triple 5 produces approximately 5,500 barrels of oil equivalent production per day of which approximately 80% is natural gas and 20% is natural gas liquids. Triple Five is a low cost producer focused on increasing cash flow. All of Triple 5’s production is from the Sunchild First Nation Reserve in west central Alberta in the Deep Basin fairway.
from supplier of a $27M secured loan https://crowncapital.ca/portfolios/triple-five/ Oof
I don't know what the terms of the agreement are, if the purchase price of $37.5M is for 100% of the company, or if there are additional terms with other parties.
The production number is likely a lot less than 5500 boe/d now given the dire financial straits of the last year and lack of drilling. The acreage and their existing production battery are directly adjacent to The O'Chiese First Nation lands in the heart of the Ferrier at T43 R10 w5.
The battery is on this map https://albertaog.ca/ just north of the farthest north point of the Baptiste River [T 5 Gas Multi Well Bt] if you're handy with a map, it's interesting to see where the gas flows and where it's situated in with the existing infrastructure footprint. I'd imagine that there would be sizeable improvements available to SDE, reducing operating expenses and drilling longer lateral. It's an opportunistic, large bolt-on for them, likely for nickels on the dollar.
The voting of the creditors looks to be scheduled for early July