Gear entered the Lloydminster area with an initial acquisition of approximately 1,900 boe/d in 2010. Production in the area is forecast to achieve an annual average of 5,250 boe/d for 2018. This growth has been accomplished as a result of repeated successful horizontal drilling of multiple oil bearing Mannville heavy oil reservoirs. Material growth in the recent production, as well as the inventory of future economic drilling locations, has been greatly enhanced through the application of horizontal multi-lateral un-lined drilling techniques.
The key properties within the Lloydminster Heavy Oil asset include Wildmere - Alberta and Paradise Hill - Saskatchewan.
Central Alberta Light Oil
Gear entered the Central Alberta area in 2016 with the corporate acquisition of Striker Exploration. The area is forecast to achieve annual production for 2018 of approximately 2,100 boe/d with significant growth forecast near the exit of the year. Area light oil growth opportunities are comprised primarily of multi-stage fractured horizontal drilling locations in the Basal Belly River, the Cardium and the Lloydminster reservoirs. In addition, multiple areas are currently, or will soon be, focused on improving oil recoveries through the application of water flood technology.
The key properties in the Central Alberta Light oil asset include Wilson Creek, Killam, Drayton Valley and Chigwell.
Gear Energy’s oil-focused operations are located in two core areas, Lloydminster Heavy Oil and Central Alberta Light Oil. Current 2018 guidance forecasts average annual production of 7,350 boe/d, 86% liquids.