Jan 24, 2024
In the last few years Pimee Energy, as a junior oil and gas company, has made significant gains with its corporate structure, acquisitions, and development of various assets.
Pimee has oil and gas assets located in the province of Alberta, Canada. Its major asset, the Godin property, is located approximately 700 kilometers (435 miles) straight north of Calgary, Alberta. The second property is the Compeer property which is located approximately 380kilometers (240 miles) northeast of Calgary.
On July 7, 2020, Pimee acquired 20 sections (12,800acres) of heavy oil and gas rights to the Wabiskaw formation in the Godin area of North Central Alberta.
On October 17, 2022, Pimee ‘farmed out’ its interests in only the Clearwater formation in the same twenty sections it acquired on July 7 and retained all other rights to the property. As part of the farm out agreement, it also acquired the rights to the Wabiskaw heavy oil formation of six additional sections to its current property to give a total of 26contiguous sections (16,640 acres).
On January 12,2023, Pimee acquired the assets of Fortem Resources from a bankruptcy court in the State of Nevada. These assets included 3 sections (1820 acres) of land at Compeer, Alberta which included a shut-in horizontal well in the Viking formation, along with 20 sections (12,800 acres) of the Godin property adjacent to its lands acquired in July 2020. This now gives the company a total of 46contiguous sections (29,440 acres) in the heavy oil rights to the Godin Wabiskaw formation.
Pimee retained Deloitte LLP to conduct an independent resource and economic valuation of the Godin assets, specifically only the Wabiskaw formation. The table above is a summary of the ‘Risked’ analysis.
Pimee has commenced with a consultation process with various stakeholders in the Godin area, which is required prior to commencing operations in the field. These stakeholders include the regulatory agencies of the Alberta government such as the AER (Alberta Energy Regulator), Alberta Environment, Alberta Fish and Wildlife, the Bigstone-Cree-Nation in the nearby Wabiskaw Settlement. Although the Godin lands are not on any First Nation lands, Pimee is reaching out to; Traditional Land users, along with going through a consultation process with the owners of the forestry rights, and nearby industry companies. This process will take about 4 months. Near the end of the consultation period, surveyors will be sent out to survey proposed leases for drilling locations. We anticipate the consultation process to take3-6 months; after which, operations in the field will commence.
After surveying is completed, then we will proceed with drilling applications for the building of the two surface leases to accommodate the ‘Phase 1A’ of the development plan. We anticipate drilling and completion of Phase 1A wells to commence early in Q3, 2024.
Phase 1A will involve the drilling of two vertical and4 horizontal wells on two sections of land. Once these wells are drilled, they will be production tested for a period of 3-6 months before embarkation onto Phase 1B.
The Compeer acreage sits in east central Alberta with an intermittent producing horizontal well in the Viking formation. The well was drilled and completed in the summer of 2012. It was placed on production and produced at an initial rate of approximately 30 barrels of oil per day, howeve rit was not able to be produced at a consistent basis due to frac sand plugging at the bottom hole pump and wellbore. As of October 01, 2023, Pimee performed a workover operation to get the well back on production. The bottom hole pump was pulled out of the wellbore, and was found to be filled with frac sand, along with a portion of the wellbore below the pump. After lifting the pump, the horizontal section of the well was cleaned out using coiled tubing and foam. Approximately 60 barrels of oil was recovered during the clean out operation. A decision was made to put the well on production. The well has been placed on production since October 10, 2023, and will be monitored for a period of time.
The company The Canadian Stock Exchange (CSE) and OTC.QX. Our External team of legal counsel, accountants and auditors are working diligently to complete the process as quickly and effective as possible. Based on the Deloitte valuation report and current market analysis, we believe this is a great time to go public and enhance shareholder value.
The company will continue to post newsletters on a quarterly basis along with any news releases from time to time. Our management team look forward to building Pimee Energy into a lucrative oil and gas company.
Michael Kamis, P.Eng.
President and CEO