The March natural gas and petroleum rights sale resulted in $19.7 million

The March natural gas and petroleum rights sale resulted in $19.7 million in bonus bids, ending the fiscal year total at over $220 million

The March 26th, 2014, sale offered 23 parcels in northeastern B.C. covering 12,216 hectares. Nineteen parcels were sold with an average price of $1854 per hectare.
Key parcels in this month’s sale included:
• Two drilling licences and two leases in the Doe–Mica–Parkland area, about 25 kilometres north of Dawson Creek. Collectively, these four parcels earned more than $11.7 million in tender bonus at average prices ranging from $2,771 to $6,426 per hectare.
• Two drilling licences and three leases in the Laprise Creek–Nig Creek area, about 125 kilometers northwest of Fort St. John. Collectively, these five parcels earned more than $3.3 million in tender bonus at average prices ranging from $1,793 to $3,106 per hectare.
Drilling licences provide the exclusive right to explore for petroleum and natural gas by drilling wells, and are acquired by the successful bidder at the Crown sale. Primary terms are 3, 4, or 5 years depending on location.
Leases provide the exclusive right to produce petroleum and natural gas. They are acquired by the successful bidder at the Crown sale, or selected from permits and drilling licences. Primary terms are five or 10 years, depending on location.
Natural gas and petroleum activities play a vital role in B.C. by employing thousands of British Columbians. Revenues from rights sales provide immediate economic benefits, funding social programs and infrastructure development in communities throughout the province.
The next sale, scheduled for April 23rd, 2014, will offer 13 parcels covering 13,327 hectares.

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