The company acquired these properties for a total consideration of $520,000 plus a 5% gross overriding royalty on the assets acquired in the Niton area.
The acquired properties include 968 net acres of undeveloped land, average 35.8% working interest (WI) in three Online Energy operated producing Notikewin gas wells at Niton, 7.25 sections of land (42.5% average WI), and 49.2% WI in the company operated producing Glauconitic gas well at Leaman.
The properties are located within Online Energy’s greater Paddle River core area in west-central Alberta.
The company said that the Niton acquisition increases its average WI from 55% to 78% in its primary Notikewin horizontal multi-frac development project, while the Leaman acquisition increases its WI from 50% to 99.2% in an operated Glauconitic gas well.
Online Energy is an oil and gas exploration and production firm with producing properties and more than 42,000 net acres of undeveloped land in Alberta.
