The Reminder is making its archives back to 2003 available on our website. Please note that, due to technical limitations, archive articles are presented without the usual formatting.
Manitoba's latest public sale of Crown oil and gas rights earned $1,185,451 in revenue, Industry, Economic Development and Mines Minister Scott Smith announced yesterday. "This sale shows a renewed interest in oil and gas exploration in Manitoba," said Smith. "Ongoing high oil prices combined with the province's competitive oil and gas fiscal regime and our recent five-year extension of the Manitoba Drilling Incentive Program are all part of this success." The rights to 73 parcels of land were sold at an average price of $93.72 per hectare or $37.49 per acre. The land covered 11,893 hectares (29,387 acres) in southwestern Manitoba, the province's primary region of oil and gas exploration and development. This is the largest sale of Crown oil and gas rights since 1997. Fifty-seven wells have been drilled so far this year. It's expected that the high level of activity will continue and result in a yearly total of 110 to 120, the most since 1986. In 2003, 94 wells were drilled in the province and almost four million barrels of crude oil, valued at approximately $157 million, was produced. The province collected $5.7 million in royalties and production tax on oil production in 2003. The province makes public offerings of Crown oil and gas rights throughout the year. This is the third of four sales scheduled for 2004. Bidders apply under sealed tender to win the exclusive right to explore for and produce oil and gas from the lease area. The next sale will be held Nov. 3.8/19/2004
