Scandoil  

Corridor Resources shuts in certain producing natural gas wells


Published May 4, 2015
Corridor Resources Inc.

Corridor Resources Inc. announced an update to its 2015 operations.

Corridor has decided to shut-in certain of its producing natural gas wells for the period from May 1, 2015 to October 31, 2015. The estimated average production from these wells is approximately 5 mmscf/d for such period. Corridor will continue to produce the wells it jointly owns with Potash Corporation of Saskatchewan Inc. in order to meet PotashCorp's short-term natural gas demands for its Picadilly and Penobsquis mines.

In reaching this decision, Corridor considered the significant differential in the sale price of natural gas expected for the summer of 2015 relative to the winter of 2015/16. Currently, the average futures strip pricing for Algonquin city-gates during the 2015 summer period (i.e. May to October) is approximately $US2.70/mmbtu. Conversely, the average futures strip pricing for Algonquin city-gates during the 2015/16 winter period (i.e. November 2015 to March 2016) is approximately $US10.20/mmbtu. In addition, as previously announced, Corridor entered into a forward sale agreement for the 2015/16 winter period for 2,500 mmbtu per day of natural gas production (approximately 2.3 mmscf per day) at an average price of $US9.25/mmbtu.

Tags: Corridor Resources Inc.




Advertisment:

Add a Comment to this Article

Please be civil. Job and promotion will not be added into the comment page.

(Use Markdown for formatting.)

This question helps prevent spam:

+ Larger Font | + Smaller Font
Top Stories

 

 

 

 


 


RSS

RSS
Newsletter
Newsletter
Mobile News
Mobile news

Computer
Our news on
your website


Facebook
Facebook
Twitter
Twitter

Contact
Contact
Tips
Do you have any
tips to us
Stats

 

sitemap xml