Canada Energy Partners, Vancouver, BC, has acquired Hudson’s Hope Gas Ltd., the subsidiary of GeoMet Inc. that is 50% owner and operator of CEP’s Peace River coalbed methane project in Alberta.
The acquisition consolidates operations and 100% project ownership into a single company and addes 230 bcf of resource potential, bringing the total to 500 bcf. The resource potential can only be commercialized under higher gas prices, CEP noted.
The acquisition secures 100% ownership of the Peace River gas plant, which is strategic to both the CBM and Montney shale developments. It solidifies ownership and control within CEP of the only water disposal wells in a 35-mile radius, which are strategic to both developments. CEP also assumes GeoMet’s share of abandonment liabilities.