IPC plans southern Alberta property acquisition

Feb. 7, 2023
International Petroleum Corp. (IPC) has agreed to acquire Cor4 Oil Corp. for about $62 million.

International Petroleum Corp. (IPC), a Lundin Group company, has agreed to acquire privately held Cor4 Oil Corp., Calgary, for about $62 million.

The acquisition includes total proved plus probable (2P) reserves of 15.9 MMboe as of Dec. 31, 2022. The southern Alberta assets to be acquired have forecast average net production of about 4,000 boe/d for 2023 and include an inventory of drilling locations near IPC’s existing properties.

IPC now holds over 25 drilling locations on the Ellerslie play fairway that extends from the west of the company’s Suffield asset to a recent land acquisition and into the Cor4 property. IPC plans to drill a total of six wells on this new play in 2023.

The deal remains subject to regulatory approvals and is expected to close by end of first-quarter 2023.

Guidance

Separately, the company set average net production guidance for 2023 of 48,000-50,000 boe/d and a 2023 capital expenditure budget of $365 million. Annual average net production for 2022 was 48,600 boe/d, the company said in a release Feb. 7. In addition to providing guidance, the company said it has sanctioned Phase 1 of the Blackrod project in Canada, which has successfully been on pilot production since 2011. Phase 1 matures 218 MMboe into 2P reserves, with forecast first oil in late 2026 and production planned to increase to 30,000 boe/d by 2028, the company said.