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Saskatchewan
In April 2007, Enterra acquired Trigger Resources Ltd., a private company active in oil and gas exploration and development in western Saskatchewan. Trigger’s main producing fields are concentrated in two areas located in west-central and south-western Saskatchewan. The Primate field is the main oil producing property. The Liebenthal field is an exclusively gas producing property. All of the lands and production acquired with Trigger are characterized by working interests in excess of 90%.
Primate
The main producing asset in the Primate field is a large McLaren oil pool. While it produces heavy oil, solution gas drive allows higher than average production rates and lower initial operating. Lower than average sand and water cuts further characterize production from this pool.
Enterra currently has 21 oil and gas drilling opportunities identified in the Viking, Colony, Sparky and McLaren zones in the Primate area and is presently planning a strategic farm-in of offsetting lands to add more opportunities to the area. Enterra plans to focus capital development in this area. The program includes land acquisition and the drilling of several McLaren wells by the end of the third quarter of 2007.
Liebenthal
Production from the Liebenthal field is exclusively gas produced from the Viking formation. The pool is the second largest Viking gas pool discovery in Saskatchewan and is analogous to the Bayhurst Viking gas pool lying to the northeast. The reservoir is characterized by high porosity and high unrestricted gas deliverability rates. Enterra has adopted a conservative production approach by controlling pressure drawdown to minimize the risk of water incursion.
The land position at Liebenthal consists of almost twenty sections of contiguous land overlying the Viking pool. Potential upside opportunities may include further delineation and infill drilling of the main Viking gas pool along with potential Belly River targets. Enterra currently has three drilling opportunities identified for the Liebenthal area consisting exclusively of gas prospects.
