Questfire Energy Corp. Receivership Sale

PricewaterhouseCoopers Inc., LIT (“PwC”), in its capacity as Court appointed Receiver and Manager of Questfire Energy Corp. (“Questfire”), is seeking offers to purchase all or any part of the assets of Questfire and has retained Peters & Co. Limited (“Peters & Co.”) as its exclusive marketing agent to assist in this process.

Questfire’s joint venture with Stream Asset Financial Questfire LP has been collapsed, with Questfire retaining ownership of the Lookout Butte and Medicine Hat facilities. These facilities are included in this asset sale.

HIGHLIGHTS

• Attractive Base Production: Questfire’s assets are producing ~3,700 BOE/d with an average base decline rate of ~10%; 2017 production is in-line with the P+PDP forecast from the 2016 year end Reserves Report. P+PDP represents ~61% of 2P volumes.
• Liquids Exposure: Base production is ~25% liquids weighted with both oil and liquids-rich gas development opportunities.
• Significant Booked Reserve Life: Questfire has booked RLI of over 11 years on a Proved basis and over 19 years on a Proved plus Probable basis.
• Recent Undercapitalization of Asset Base: Last operated well was drilled in August 2015, with minimal recompletions / workovers happening since that time.
• Production Enhancement Opportunities: > 250 recompletion / workover opportunities exist; these opportunities can be performed in an expeditious and inexpensive manner to enhance production operations.
• New Well Development Opportunities: > 600 locations (97 booked) have been identified on a go-forward basis, in both oil and gas prospects, across the asset base.
• Strategic Infrastructure: Ownership of operated infrastructure in key producing assets and non-core assets, which provide gathering and processing for working interest production as well as generate third party revenue.
• Seismic Library: Ownership in ~6,100 km of 2D and ~1,000 km2 of 3D covering both working interest assets and third party lands.
• Clean Capital Structure: No structural encumbrances related to secured debt.

Click here for the information memorandum and confidentiality agreement

Both are now available. Confidential information will be made available to parties who execute a confidentiality agreement.

Offers to purchase the assets are subject to the terms and conditions outlined in the Court approved Sales Process. Timing for transaction proposals will be communicated at a later date. Any asset sale will be completed on an “as is, where is” basis and subject to approval of the Court.

Peters & Co. invites parties interested in acquiring the assets of Questfire to contact any of the Peters & Co. team listed below:

Shane R. Hutzal, Principal, Corporate Finance at 403-261-2289, shutzal@petersco.com
Scott A. Johnston, Principal, A&D at 403-261-2264, sjohnston@petersco.com
Benjamin M. Gazdic, Vice President, Corporate Finance at 403-261-2228, bgazdic@petersco.com
Franklin P. Eldridge, Vice President, A&D at 403-261-2287, feldridge@petersco.com