Sign up
Oil Capital

Transerv Energy invests in producing oil, gas assets in Canada

Production is expected to double over the next 12 months.
shutterstock_148754153.jpg
The portfolio includes 65 producing wells

Transerv Energy (ASX:TSV) is investing A$4.9 million (C$5 million) for a 20% working interest in Point Loma Resources’ (ASX:PLX) producing oil and gas assets in Alberta, Canada.

The assets comprise of 210,000 acres (42,000 acres net to Transerv) and existing production of 900 barrels of oil equivalent per day (boe/d), up from 135 boe/d in July 2016.

Point Loma’s portfolio includes 65 producing wells and circa 70 million cubic feet per day in gas plant capacity, production facilities, pipelines and associated infrastructure.

The new funds brought in by Transerv will be invested to unlock the proven reserves and acquire additional producing properties in the vicinity of the Point Loma facilities.

The companies are also aiming to improve the efficiency of the production facilities and thereby reduce operating expenses.

Importantly, Transerv’s investment is expected to double production over the next 12 months.

The acquisition is structured in two tranches, the first of which will be the payment of C$1.5 million within seven days of the execution of the binding term sheet.

The second payment of C$3.5 million will occur on satisfactory completion of due diligence and execution of final documentation.

Canada is a world-class oil and gas province that actively supports exploration and production activities, with many opportunities for companies of Transerv’s size.



Register here to be notified of future TSV Company articles
View full TSV profile

Transerv Energy Timeline

View All

Related Articles

shutterstock_307983431_56fcfe530f76e.jpg
With USOP’s apparent period of inactivity coming to an end, however, McDonnell strikes an enthusiastic tone as he talked Proactive Investors through plans that could add much needed materiality to its much speculated upon potential.

© oil Capital 2017

Oil Capital, a subsidiary of Proactive Investors, acts as the vanguard for listed oil companies to interact with institutional and highly capitalised investors.
Headquartered in London, Oil Capital is led by a team of Europe's leading analysts and journalists, publishing daily content, covering all key movements in the Technology market.