Journey Energy Sells Assets in Northwest Alberta for $28 Million

Journey Energy Inc., a Canadian exploration and production company focused on oil-weighted operations in Alberta, Canada, has announced the closing of its previously announced disposition. The assets sold include the Ante Creek pool and the Pine Creek gas field as well as certain minor properties in Northwest Alberta.

The Assets are currently producing approximately 1,170 boe/d (68% liquids) and carry end-of-life costs of approximately $31 million. The proceeds of disposition, before closing adjustments, were approximately $28 million. This deal will be directed towards the ongoing development of the Duvernay light oil resource play.

The company's strategy is to grow its production base by drilling on its existing core lands and implementing secondary and tertiary flood projects on its existing lands. Journey Energy Inc. continues to shift its focus to the development of its unconventional Duvernay light oil resource play, in addition to growing its power generation business through its projects at Gilby and Mazeppa.