November 2, 2024
Alberta West Central oil full-cycle costs at West Texas Intermediate (WTI) equivalent range from a low of USD $47.01/Bbl for wells with an Initial Productivity (IP) greater than 1200 Bbl/d to a high of USD $120.54/Bbl for wells with an IP of under 300 Bbl/d. Average Operating costs USD $11.70/Bbl while royalties & taxes and overhead are USD $12.10/Bbl. F&D costs range from USD $6.66-$55.50/Bbl and the 15% producer return ranges from USD $3.37-$28.06/Bbl. The assumed WTI differential is USD $13.18/Bbl.
Full-Cycle Cost Curve
Incorrys analysis shows that there is 300 MMBbl of oil resource available below USD $50/Bbl and 670 MMBbl available below USD $60/Bbl. Current production (2023) was 63 MBbl/d (23 MMBbl/yr).
Alberta West Central Basin Location
Alberta West Central oil play is located northeast of Edmonton including area around Grande Prairie. The area includes Swan Hills, Slave Point, Beaverhill Lake, and other formations. Wells targeting Montney, Duvernay, and Cardium are not included.
Number of Drilling Locations
Incorrys estimates that Alberta West Central has almost 11,300 drilling locations with initial productivity above 300 Bbl/d and 14,000 drilling locations with initial productivity below 300 Bbl/d.