Pacific Oil Company anticipates growing its 9,600-acre Lacadena Project in Canada to include the wells and land surrounding the site. Pacific Oil, which is based in Nevada, said the deal would allow the company to acquire 11 natural gas wells located on 3,840 acres. Ed Loven, vice president of Pacific Oil, said the company was given the opportunity to expand on its natural gas project in Shackleton, Saskatchewan, while it was working on increasing production for Lacadena wells.
"As a company we are bullish on the long term importance of natural gas and anticipate it being a significant portion of our overall production portfolio," Loven said in a statement. "The possibility to increase our natural gas foot print in an area in which we already have resources committed to is an opportunity that that makes sense from both a operational and financial standpoint."
Earlier in the month, Pacific Oil said it submitted a bid to Grant Thorton to obtain ownership of 67 oil wells in the area of Lloydminster and Maidstone in Saskatchewan. The company said of the 67 oil wells, 56 are producing or are producible.