Farml,
Some of us go back to the 2004 wildcat wells drilled by IFR/Husky which gave the geological insight of area reservoirs and source rock....if you around back then IFR was the penny stock with huge potential. IFR hold two nearby SDLs with Husky as operator....Husky learned from the 2004 and subsequent conventional exploration projects. They also learned the rock is highly faulted and the reservoir is very complex. Even with pretty good information, Husky managed to drill some expensive dusters on conventional traps in subsequent projects...too bad because IFR stock is at
.08 now when analysts were calling for $3 in 2008. So much for analysts...and their obsidian crystal balls.
https://www.internationalfrontier.com/i/pdf/CMV_Jan2012.pdf
IFR was to small to manage the cost of buying into the 2011 land sale and they are pretty much minor players now with their leases surrounded by massive land positions held by majors and MGM.
Anyway one of the wells drilled by Husky flowed at 20MM cu. ft/day and the other at 5 MM cu ft/day. Pretty gassy returns with a lot of condensate (liquids). Arguably the Canol is condensate rich with a fair amount of gas.
I think we posted and bantered late last year and discussed the merits of reinjection into depleted reservoirs in the Norman Wells area. I think that has low likelihood as Imperial would benefit for repressurizing their reservoir but would be faced with the same Opex costs for managing the surplus gas. Long term flaring of surplus associated gas has gone out with the dinasaurs (or you need to be in Saskatchewan; you sometimes find dinosaurs there).
I could be wrong but the majors are holding these lands for the long term and if ever, the MVPL is economic the resource will be drilled up and it'll make BCF of gas and thousands of barrels of oil....it's not if but when.
BCF might be a stretch...OK. But the majors and MGM will need to conserve the resource....that could be a challenge for commercial field development programs.
Regards,