Alberta-based Crew Energy announced it was using the funds from the sale to invest in development of the Montney shale field in British Columbia. Last month, Crew Energy purchased natural gas assets in Montney for approximately C$105 million.
"The acquired assets fit like integral pieces of a puzzle and are contiguous to, or have joint interest, with Crew's existing land base," Dale Shwed, CEO of Crew Energy, said in a statement in reference to the acquired Montney assets. "Operationally, the acquired assets are a great strategic fit that provide the economies of scale and logistics that are complementary to Crew's existing operations and future development plans."
Long Run's new acquisition is expected to contribute an additional 7,000 barrels of oil equivalent per day to the company's existing oil output of 25,500 to 26,500 boe/d in 2014, according to Reuters.
Crew Energy plans to ramp up investments in its exploration and development capital program for 2014 to $285 million, up from $39 million.
More information on the oil and gas production outlook in British Columbia can be found on PennEnergy's research area.