Prospera Energy Inc.

Our Operations

Operations Overview

Southwest Saskatchewan Assets (Luseland, Hearts Hill & Cuthbert)

The three Southwest Saskatchewan assets are medium oil producing properties consisting of ~94% oil with an approximate 16 API quality.

In June 2018, Prospera purchased a 20% interest in three producing properties predominantly in Saskatchewan and was appointed as operator for each. The properties consist of a gross total of 64 sections of land (approximately 41,526 acres and 62 net sections) and include 240 oil wells and 12 natural gas wells.

In December 2018, Prospera purchased an additional 15% interest in the three areas to bring its working interest in each property to 35%. A further purchase in May, 2019 increased the working interest in Luseland and Hearts Hill to 50%.

Prospera Energy Inc. believes that significant opportunities exist in each of the three properties. At the well level, the company has identified numerous candidates capable of individually increasing production by upsizing the bottom hole pumps. Further, a large number of suspended wells have been identified for reactivation. On reservoir management, Prospera believes that there is significant opportunity to improve oil recovery through improved pattern balancing, conformance treatments and implementation of secondary and EOR methods in a number of areas throughout the fields. Further, there is significant opportunity to complete up-hole zones in all three fields. On the operating cost side, a number of opportunities have been identified to reduce costs while also increasing the efficiency and run time of production.

Northern Alberta Assets (Red Earth & Pouce Coupe)

Both Northern Alberta assets are light sweet oil producing properties.

Red Earth is 100% owned and operated by Prospera. The asset consists of one section of land with five producing wells and a water injector. The wells are currently producing from the Granite Wash formation in which a waterflood has been implemented. Additionally, the asset has Slave Point potential in which a horizontal well has produced and will likely be reactivated in the near future.

To facilitate the waterflood, Prospera constructed a battery to separate the water and oil, inject water back into the formation, and reduce overall operating costs. In late 2019, further modifications were made to improve the efficiency of the battery. Through the implementation of these operations, lifting costs have been significantly been reduced. Further, some of the wells have began seeing a positive response to the waterflood. Prospera has identified additional opportunities in the asset including the reactivation of additional wells, increasing the production rate from existing wells and further improvements to the waterflood.

Pouce Coupe consists of three producing wells of which Prospera operates two wells. Production from the asset exhibits a very low decline year over year. Prospera has identified the potential for infill drilling and the possible implementation of a waterflood.