CALGARY,
AB, March 11, 2024 /PRNewswire/
- Strathcona Resources Ltd. ("Strathcona") (TSX: SCR) today
reported its year end 2023 reserves.
Strathcona
has posted a shareholder letter on its website which provides
additional detail on its 2023 reserves.
The tables below summarize Strathcona's year end 2023
reserves which were prepared by McDaniel & Associates
Consultants Ltd. ("McDaniel") and Sproule Associates Limited
("Sproule"). A complete filing of our oil and gas reserves and
other oil and gas information presented in accordance with National
Instrument 51-101 – Standards of Disclosure for Oil and
Gas Activities will be included in Strathcona's Annual Information Form for the
year ended December 31, 2023, to be
released in late March 2024.
In addition, a letter to shareholders regarding its year end
2023 reserves has been posted on Strathcona's website at
https://www.strathconaresources.com/investors/#reports.
Shareholders are encouraged to read the letter, which provides
additional detail on Strathcona's
2023 reserves, including a summary of growth and value creation
since 2017.
Summary of Oil and Gas Reserves (Forecast Prices and Costs)
as of December 31, 2023
|
Reserves
Category
|
Light
&
Medium Crude
Oil
|
|
Heavy
Crude Oil
|
|
Bitumen
|
|
Conventional Natural
Gas
(Associated &
Non-Associated
Gas)
|
|
Gross
(mbbl)
|
|
Net
(mbbl)
|
|
Gross
(mbbl)
|
Net
(mbbl)
|
|
Gross
(mbbl)
|
|
Net
(mbbl)
|
|
Gross
(mmcf)
|
|
Net
(mmcf)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proved
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Developed
Producing
|
925
|
|
719
|
|
92,897
|
80,576
|
|
119,623
|
|
83,009
|
|
452,900
|
|
409,622
|
|
Developed Non-
Producing
|
1
|
|
1
|
|
826
|
765
|
|
-
|
|
-
|
|
5,257
|
|
4,780
|
|
Undeveloped
|
775
|
|
579
|
|
356,261
|
315,189
|
|
553,434
|
|
362,239
|
|
884,378
|
|
787,418
|
|
Total
Proved(2)
|
1,701
|
|
1,300
|
|
449,983
|
396,529
|
|
673,057
|
|
445,248
|
|
1,342,535
|
|
1,201,820
|
|
Total
Probable
|
3,359
|
|
2,409
|
|
168,324
|
143,544
|
|
680,169
|
|
430,653
|
|
1,073,714
|
|
921,859
|
|
Total Proved Plus
Probable(2)
|
5,059
|
|
3,709
|
|
618,307
|
540,073
|
|
1,353,226
|
|
875,901
|
|
2,416,249
|
|
2,123,678
|
|
Reserves
Category
|
Conventional Natural
Gas
(Solution Gas)(1)
|
|
Natural Gas
Liquids
|
|
Oil
Equivalent
|
|
|
|
Gross
(mmcf)
|
|
Net
(mmcf)
|
|
Gross
(mbbl)
|
|
Net
(mbbl)
|
|
Gross
(mboe)
|
|
Net
(mboe)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proved
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Developed
Producing
|
10,647
|
|
9,768
|
|
48,091
|
|
37,810
|
|
338,793
|
|
272,013
|
|
|
|
Developed Non-
Producing
|
312
|
|
291
|
|
754
|
|
608
|
|
2,509
|
|
2,219
|
|
|
|
Undeveloped
|
8,865
|
|
7,959
|
|
88,001
|
|
72,563
|
|
1,147,344
|
|
883,133
|
|
|
|
Total
Proved(2)
|
19,824
|
|
18,018
|
|
136,846
|
|
110,981
|
|
1,488,647
|
|
1,157,365
|
|
|
|
Total
Probable
|
25,497
|
|
22,630
|
|
88,447
|
|
67,230
|
|
1,123,501
|
|
801,251
|
|
|
|
Total Proved Plus
Probable(2)
|
45,321
|
|
40,648
|
|
225,294
|
|
178,211
|
|
2,612,148
|
|
1,958,616
|
|
|
|
Notes:
|
|
|
(1)
|
Conventional Natural
Gas (Solution Gas) includes all gas produced in association with
light and medium crude oil and heavy crude oil.
|
|
(2)
|
Figures may not add due
to rounding.
|
Summary of Net Present Value of Future Net Revenue
Attributable to Oil and Gas Reserves (Forecast Prices and Costs) as
of December 31, 2023
|
|
Before Deducting
Income Taxes
|
|
After Deducting
Income Taxes
|
|
RESERVES
CATEGORY
|
|
0 %
|
|
5 %
|
|
10 %
|
|
15 %
|
|
20 %
|
Unit
Value(2)
|
|
0 %
|
|
5 %
|
|
10 %
|
|
15 %
|
|
20 %
|
Unit
Value(3)
|
|
|
(in $
millions)(1)
|
$/boe
|
|
(in $ millions)(1)
|
$/boe
|
|
Proved
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Developed
Producing
|
|
6,322
|
|
6,252
|
|
5,585
|
|
5,002
|
|
4,531
|
20.53
|
|
6,322
|
|
6,252
|
|
5,585
|
|
5,002
|
|
4,531
|
20.53
|
|
Developed
Non‑Producing
|
|
60
|
|
50
|
|
44
|
|
38
|
|
35
|
19.62
|
|
60
|
|
50
|
|
44
|
|
38
|
|
35
|
19.62
|
|
Undeveloped
|
|
27,940
|
|
15,219
|
|
9,005
|
|
5,630
|
|
3,639
|
10.20
|
|
25,434
|
|
13,660
|
|
7,987
|
|
4,939
|
|
3,153
|
9.04
|
|
Total
Proved(4)
|
|
34,322
|
|
21,521
|
|
14,634
|
|
10,670
|
|
8,205
|
12.64
|
|
31,817
|
|
19,962
|
|
13,616
|
|
9,979
|
|
7,719
|
11.76
|
|
Total
Probable
|
|
32,301
|
|
13,192
|
|
6,809
|
|
4,111
|
|
2,751
|
8.50
|
|
28,816
|
|
11,376
|
|
5,713
|
|
3,383
|
|
2,234
|
7.13
|
|
Total Proved plus
Probable(4)
|
|
66,624
|
|
34,714
|
|
21,442
|
|
14,781
|
|
10,956
|
10.95
|
|
60,632
|
|
31,337
|
|
19,329
|
|
13,361
|
|
9,953
|
9.87
|
|
Notes:
|
|
|
(1)
|
Net present value of
future net revenue includes all resource income, including the sale
of oil, gas, by-product reserves, processing third party reserves
and other income.
|
|
(2)
|
Calculated using net
present value of future net revenue before deducting income taxes,
discounted at 10% per year, and net reserves. The unit values are
based on net reserves volumes.
|
|
(3)
|
Calculated using net
present value of future net revenue after deducting income taxes,
discounted at 10% per year, and net reserves. The unit values are
based on net reserves volumes.
|
|
(4)
|
Figures may not add due
to rounding.
|
Forecast Prices and Costs
|
Year
(1)
|
|
Inflation
(%)(2)
|
|
Exchange
Rate
(US$/Cdn$)
(3)
|
|
Crude
Oil
|
|
|
Natural
Gas
|
|
|
Natural Gas
Liquids
|
|
WTI
Cushing
Oklahoma
40 API
($US/bbl)
|
|
Canadian
Light
Sweet
Crude
40 API
($Cdn/bbl)
|
|
Western
Canadian
Select
20.5 API
($Cdn/bbl)
|
|
|
Alberta
AECO-C
Spot
($Cdn/
mmbtu)
|
|
|
Edmonton
Pentanes
Plus
($Cdn/bbl)
|
|
Edmonton
Butane
($Cdn/bbl)
|
|
Edmonton
Propane
($Cdn/bbl)
|
|
Ethane
Plant
Gate
($Cdn/bbl)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2024
|
|
0.00
|
|
0.75
|
|
76.00
|
|
97.33
|
|
81.33
|
|
|
2.33
|
|
|
101.33
|
|
50.67
|
|
28.21
|
|
6.47
|
|
2025
|
|
2.00
|
|
0.75
|
|
76.00
|
|
97.25
|
|
84.67
|
|
|
3.64
|
|
|
101.33
|
|
50.67
|
|
33.03
|
|
10.09
|
|
2026
|
|
2.00
|
|
0.75
|
|
76.00
|
|
97.17
|
|
84.33
|
|
|
3.95
|
|
|
101.33
|
|
50.67
|
|
32.78
|
|
10.93
|
|
2027
|
|
2.00
|
|
0.75
|
|
77.52
|
|
99.12
|
|
86.02
|
|
|
4.03
|
|
|
103.36
|
|
51.68
|
|
33.44
|
|
11.15
|
|
2028
|
|
2.00
|
|
0.75
|
|
79.07
|
|
101.10
|
|
87.74
|
|
|
4.11
|
|
|
105.43
|
|
52.71
|
|
34.11
|
|
11.38
|
|
2029
|
|
2.00
|
|
0.75
|
|
80.65
|
|
103.12
|
|
89.50
|
|
|
4.19
|
|
|
107.54
|
|
53.77
|
|
34.79
|
|
11.60
|
|
2030
|
|
2.00
|
|
0.75
|
|
82.26
|
|
105.18
|
|
91.29
|
|
|
4.27
|
|
|
109.69
|
|
54.84
|
|
35.48
|
|
11.84
|
|
2031
|
|
2.00
|
|
0.75
|
|
83.91
|
|
107.29
|
|
93.11
|
|
|
4.36
|
|
|
111.88
|
|
55.94
|
|
36.19
|
|
12.07
|
|
2032
|
|
2.00
|
|
0.75
|
|
85.59
|
|
109.43
|
|
94.97
|
|
|
4.44
|
|
|
114.12
|
|
57.06
|
|
36.92
|
|
12.31
|
|
2033
|
|
2.00
|
|
0.75
|
|
87.30
|
|
111.62
|
|
96.87
|
|
|
4.53
|
|
|
116.40
|
|
58.20
|
|
37.66
|
|
12.56
|
|
Escalation of 2% per
year thereafter
|
|
Notes:
|
|
|
(1)
|
Product sale prices
will reflect these reference prices with further adjustments for
quality and transportation to point of sale.
|
|
(2)
|
Inflation rates for
forecasting costs only. Prices inflated at 2% after 2024 where
applicable.
|
|
(3)
|
The exchange rate is
used to generate the benchmark reference prices in this
table.
|
Reconciliation of Changes in Gross
Reserves(1)
|
|
|
|
|
|
Conventional Natural
Gas
|
|
|
|
|
Light &
Medium Crude
Oil
(mbbl)
|
|
Heavy Crude
Oil
(mbbl)
|
|
Bitumen
(mbbl)
|
|
Non-
Associated
and
Associated
Gas
(mmcf)
|
|
Solution Gas
(mmcf)
|
|
Natural Gas
Liquids
(mbbl)
|
|
Oil Equivalent
(mmboe)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proved
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
2022
|
|
2,776
|
|
468,679
|
|
646,474
|
|
824,049
|
|
19,896
|
|
80,970
|
|
1,339,555
|
|
Extensions and
improved
recovery(2)
|
|
-
|
|
1,667
|
|
35,277
|
|
43,248
|
|
257
|
|
5,575
|
|
49,770
|
|
Technical
revisions(3)
|
|
(873)
|
|
(2,505)
|
|
11,663
|
|
(12,895)
|
|
1,791
|
|
1,707
|
|
8,155
|
|
Discoveries(4)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Acquisitions
|
|
22
|
|
-
|
|
-
|
|
483,880
|
|
-
|
|
53,880
|
|
134,549
|
|
Dispositions
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Economic
factors(5)
|
|
8
|
|
292
|
|
-
|
|
892
|
|
69
|
|
371
|
|
831
|
|
Production
|
|
(232)
|
|
(19,580)
|
|
(20,355)
|
|
(52,423)
|
|
(2,192)
|
|
(7,466)
|
|
(56,750)
|
|
Infill
drilling
|
|
-
|
|
1,430
|
|
-
|
|
55,785
|
|
3
|
|
1,809
|
|
12,537
|
|
December 31,
2023(6)
|
|
1,701
|
|
449,983
|
|
673,057
|
|
1,342,535
|
|
19,824
|
|
136,846
|
|
1,488,647
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Probable
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
2022
|
|
4,499
|
|
169,426
|
|
630,111
|
|
906,539
|
|
30,074
|
|
60,171
|
|
1,020,309
|
|
Extensions and
improved
recovery(2)
|
|
-
|
|
879
|
|
22,210
|
|
21,785
|
|
-
|
|
5,092
|
|
31,812
|
|
Technical
revisions(3)
|
|
(1,186)
|
|
(2,729)
|
|
27,848
|
|
(2,303)
|
|
(4,514)
|
|
(1,365)
|
|
21,432
|
|
Discoveries(4)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Acquisitions
|
|
8
|
|
-
|
|
-
|
|
206,474
|
|
-
|
|
26,811
|
|
61,232
|
|
Dispositions
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Economic
factors(5)
|
|
37
|
|
31
|
|
-
|
|
(2,996)
|
|
(63)
|
|
(453)
|
|
(896)
|
|
Production
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Infill
drilling
|
|
-
|
|
717
|
|
-
|
|
(55,785)
|
|
-
|
|
(1,809)
|
|
(10,389)
|
|
December 31,
2023(6)
|
|
3,359
|
|
168,324
|
|
680,169
|
|
1,073,714
|
|
25,497
|
|
88,447
|
|
1,123,501
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proved Plus
Probable
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
2022
|
|
7,275
|
|
638,105
|
|
1,276,584
|
|
1,730,588
|
|
49,971
|
|
141,141
|
|
2,359,865
|
|
Extensions and
improved
recovery(2)
|
|
-
|
|
2,547
|
|
57,487
|
|
65,033
|
|
257
|
|
10,668
|
|
81,582
|
|
Technical
revisions(3)
|
|
(2,059)
|
|
(5,234)
|
|
39,510
|
|
(15,198)
|
|
(2,723)
|
|
342
|
|
29,587
|
|
Discoveries(4)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Acquisitions
|
|
29
|
|
-
|
|
-
|
|
690,354
|
|
-
|
|
80,692
|
|
195,779
|
|
Dispositions
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Economic
factors(5)
|
|
45
|
|
323
|
|
-
|
|
(2,104)
|
|
6
|
|
(82)
|
|
(65)
|
|
Production
|
|
(232)
|
|
(19,580)
|
|
(20,355)
|
|
(52,423)
|
|
(2,192)
|
|
(7,466)
|
|
(56,750)
|
|
Infill
drilling
|
|
-
|
|
2,147
|
|
-
|
|
-
|
|
3
|
|
-
|
|
2,148
|
|
December 31,
2023(6)
|
|
5,058
|
|
618,307
|
|
1,353,226
|
|
2,416,249
|
|
45,321
|
|
225,294
|
|
2,612,146
|
|
Notes:
|
|
|
(1)
|
Gross reserves means
Strathcona's working intertest reserves before calculation of
royalties, and before consideration of Strathcona's royalty
interests.
|
|
(2)
|
Additions due to new
wells drilled and booked during the year, and any reserve changes
due to enhanced oil recovery.
|
|
(3)
|
Technical revisions
also include changes in reserves associated with changes in
operating costs, capital costs and commodity price
offsets.
|
|
(4)
|
Additions where no
reserves were previously booked.
|
|
(5)
|
Changes to reserves
volumes due to changes in price forecasts and/or inflation
rates.
|
|
(6)
|
Figures may not add due
to rounding
|
Undiscounted Future Net Revenue by Reserves Category
|
Reserves
Category
($ millions)
|
|
Revenue
|
|
Royalties
|
|
Operating
Costs
|
|
Development
Costs
|
|
Abandonment
and
Reclamation
Costs
|
|
Future Net
Revenue
Before
Income
Taxes
|
|
Income
Taxes
|
|
Future Net
Revenue
After Income
Taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Proved
|
|
118,432
|
|
28,914
|
|
36,173
|
|
16,568
|
|
2,454
|
|
34,322
|
|
2,506
|
|
31,817
|
|
Total
Probable
|
|
114,955
|
|
35,395
|
|
31,315
|
|
15,184
|
|
760
|
|
32,301
|
|
3,486
|
|
28,816
|
|
Total Proved plus
Probable(1)
|
|
233,386
|
|
64,309
|
|
67,488
|
|
31,751
|
|
3,214
|
|
66,624
|
|
5,991
|
|
60,632
|
|
Notes:
|
|
|
|
(1)
|
Figures may not add due
to rounding
|
Fourth Quarter Financial and
Operating Results and Conference Call
Strathcona will release its
fourth quarter 2023 financial and operating results after market
close on March 26, 2024 and will host
a conference call on March 27, 2024
starting at 9:00AM MT (11:00AM ET).
About Strathcona
Strathcona is one of
North America's fastest growing
oil and gas producers with operations focused on thermal oil,
enhanced oil recovery and liquids-rich natural gas. Strathcona is built on an innovative approach
to growth achieved through the consolidation and development of
long-life oil and gas assets. Strathcona's common shares (symbol SCR) are
listed on the Toronto Stock Exchange.
For more information about Strathcona, visit
www.strathconaresources.com.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/strathcona-resources-ltd-reports-year-end-2023-reserves-302086045.html
SOURCE Strathcona Resources Ltd.
