Chinook Energy Inc. Common CNKEF

RE:Martin Creek assets

[George98]

bouquets wrote: In the last post, B&D asked about the Martin Creek pipeline and gas plant.  I had the same question a few months ago and investigated.  

In the map below (from Chinook's latest presentation), note that Chinook's Montney rights are in dark yellow, and their non-Montney rights in pale yellow.  These non-Montney rights were purchased (from Nuvista, I think) when Chinook moved into this area several years ago, and they include not merely the rights but also producing wells and infrastructure.  These wells are mostly in the Baldonnel formation, have been producing for years, and are now in the last leg of their production, but collectively they are between one-third and one-half of Chinook's production.

If you look at the map, you can see a pipeline network connecting these old wells to the Martin Creek gas plant. One piece of this infrastructure is the 12" pipeline you asked about, which connected all these wells to Adkins, which is on the Alliance pipeline.

As I understand it, Chinook plans to start drilling Montney wells near the Martin Creek gas plant, which should allow it to make use of these unused and underused assets.

 

CKE will drill two wells in the first half of 2018 to check this Montney acreage of 11,000 net acres.  Industry participants from CNRL which drills in the area say that CKE's Montney acreage in Martin Creek area must have significant Condensate volumes. No cheap NGLs, just expensive Condensate.

Enbridge outage due to the landslide is one-time event. CKE's Condensate rich Montney wells are here to stay.

Auburn2 alias, keep your laughable analysis for yourself and keep buying your favorite  PONY.