Pengrowth Energy Increases Lochend Cardium Assets

Pengrowth Energy Corp. (TSX:PGF,NYSE:PGH) announced that it has increased its Lochend Cardium light oil play land holdings to 44 net sections. Its new assets have a production capability of 650 barrels of oil equivalent per day weighted 95 percent light oil.

According to the press release, key attributes of the assets acquired include:

• Current production capability of 650 boe/d and netbacks of approximately $59/boe
• 11 (10.3 net) sections of land in the most productive part of the Cardium fairway
• 32 net, internally identified low-risk drilling locations
• Offsetting analog bookings between 150,000 and 250,000 boe per well.

Derek Evans, president and CEO of Pengrowth, commented:

I’m excited about this transaction, which allows us to consolidate assets in one of our main operating areas. The acquired assets increase our land position in the defined high deliverability Cardium fairway and provide additional access to infrastructure in the area.

Click here to read the full Pengrowth Energy Corp. (TSX:PGF,NYSE:PGH) press release.