MGM resource estimatesI am not sure if someone posted this before. MGM is quoted as saying that they have 10 billion bbls under their lands. This is higher than my estimate of 6.4 billion, but I didn't give much to their new block that they bought with Shell in 2012.
I have spend the last 6 months reviewing the technical data and I would agree with John Hogg when he says the Canol is as good as any play in North America. I think it is potentially better than the Eagle Ford or Bakken.
Promise of NWT shale oil boom draws global interest, but prospects far from certain
Jeff Lewis | Jan 4, 2013 3:45 PM ET
...John Hogg, vice-president of exploration and operations at Calgary-based MGM Energy Corp., figures the so-called Canol shale in the Northwest Territories could hold “billions and billions of barrels” of light, sweet crude. If it all works the way we think it will, we think this play is as viable as any of the major plays in Canada or North America. “If it all works the way we think it will, we think this play is as viable as any of the major plays in Canada or North America,” he said. “I would put it up against any one of them and say it’s as good as, if not better than, most of them.” MGM, which holds drilling rights on 470,000 net acres in the budding resource play, estimates it alone is sitting on up to 10 billion barrels of oil in place in the Canol.
“We know the hydrocarbons are there … but this is a difficult operating environment; it’s remote and we have our work cut out for us,” Rob Peabody, Husky’s chief operating officer, said at the company’s investor day Dec. 4. “It’s early days and we will proceed cautiously.”