International Petroleum Corporation entered into an agreement with Cenovus Energy to acquire all of Cenovus’ interests in the conventional oil and natural gas assets in the Suffield and Alderson areas in September 2017. The acquisition represents the entry of IPC into Canada and consists of stable long-life oil and natural gas production of 24,000 boepd, 26.5Mboe gross 2P reserves of oil and liquids, and 73.1 mmboe (or 438 billion standard cubic feet) gross 2P reserves of natural gas.
We are very excited to enter into this transformational acquisition of high-quality operated assets only five months after the launch of IPC. The Suffield and Alderson assets have been operated safely and efficiently by Cenovus and we are pleased to have reached this agreement to acquire these conventional producing assets as Cenovus focuses on its oil sands and Deep Basin assets. This acquisition fits perfectly with IPC’s strategy of leveraging our existing producing asset base as a platform for value accretive acquisitions of long-life, low-decline producing assets in stable jurisdictions with upside development potential.