The Antler area is approximately 200 kilometres from Regina in southeast Saskatchewan. The primary target is high quality light oil from the Bakken/Torquay formation, a dolomitic siltstone shale sequence at a depth of between 1,050 metres and 1,150 metres. Secondary targets include the Souris Valley, a carbonate sequence at a depth of approximately 900 metres to 1,000 metres. The Company currently holds 12,690 netacres in the Antler area.
Activities at Antler focused on the optimization of existing production and the pilot waterflood to increase recovery of the oil in place. The Company also consolidated its interest in the area through an acquisition completed in the fourth quarter of 2017.T
Including the acquisition for gross consideration of $7.25 million before customary adjustments, Questerre invested $8.79 million at Antler (2016: $0.54 million) with daily production averaging 179 bbl/d (2016: 209 bbl/d). Total proved and probable reserves at December 31, 2017 were estimated at 2.02 MMbbls (2016: 1.16 MMbbls) with a NPV-10% of $48.72 million (2016: $31.25 million).
The acquisition consisted of approximately 180 bbls/d of light oil production. Acquired assets include 3D seismic data over the producing acreage. The proved and probable reserves associated with these assets were assessed at 0.93 MMbbls at December 31, 2017.
In 2018, Questerre plans to continue work on production optimization and the pilot waterflood.