International Petroleum Corp. acquires Granite Oil Corp for $59m

International Petroleum Corp. (IPC), a member of the Lundin Group of Companies, has wrapped up its previously announced $59 million acquisition of Granite Oil Corp, a Canadian oil and gas company engaged in light oil production in southern Alberta.

Through the acquisition, International Petroleum Corp. gains access to total proved plus probable (2P) reserves of 14.0 million barrels of oil equivalent (MMboe) along with 6.2 MMboe of unrisked contingent resources, as of 31 December 2019. The deal was announced in January 2020.

The current production from the acquired light oil producing assets in the Milk River area of Alberta is nearly 1,500 barrels of oil per day (bopd) with additional potential for light oil production and development upside. The assets are in close proximity to International Petroleum Corp.’s current area of operations in the southern part of Alberta.

Granite Oil Corp’s assets include existing infrastructure to enable the current gas injection enhanced oil recovery (EOR) scheme, with the capacity to enable potential further field development opportunities. Also included in the assets are associated oil and gas processing and injection facilities located near key sales points.