From MD&ABlackbird will have an option to acquire a working interest of up to 20% in Tidewater’s proposed deep cut sour gas processing facility located near Wembley, Alberta (the “Tidewater Facility”), which is expected to significantly reduce processing fees. The Tidewater Facility is expected to have an initial processing capacity of 100.0 mmcf/d, with Blackbird serving as an anchor tenant. Tidewater is currently working toward a gas gathering system for Blackbird north of the Wapiti River.
Additionally, Blackbird and Tidewater are evaluating the construction of a gathering system that would tie-in volumes from the Company’s current 100% owned and operated Pipestone / Elmworth facility located at 12-14-70-7W6 to the Tidewater Facility.