Offering Details
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Current Offerings / RTD Energy Inc.
RTD Energy Inc.
Joint Venture/Farmout OpportunityBid Deadline: May 8, 2025
12:00 PM
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OVERVIEW
RTD Energy Inc. (“RTD” or the “Company”) has engaged Sayer Energy Advisors to assist the Company with sourcing a joint venture partner or the farmout of its oil and natural gas interests located in the Heathdale area of Alberta (the “Property”).
The Property consists of 7.75 gross sections of contiguous Crown land in southern Alberta, which RTD acquired in 2023. The Property is prospective for 20° API oil production from the Detrital Formation of the Lower Mannville Group. RTD has drilled a short multi-lateral well as an alternative to a horizontal multi-stage fracked well. The Company is seeking a partner to support executing the ongoing development of the Detrital play.
Production capability from the existing wells on the Property is approximately 28 bbl/d of oil.
RTD believes there is a potential drilling inventory of up to 30 single-leg multi-stage fracked wells on the Property.
Detailed information relating to the Property will be available in the virtual data room to parties that execute a confidentiality agreement.
The Property consists of 7.75 gross sections of contiguous Crown land in southern Alberta, which RTD acquired in 2023. The Property is prospective for 20° API oil production from the Detrital Formation of the Lower Mannville Group. RTD has drilled a short multi-lateral well as an alternative to a horizontal multi-stage fracked well. The Company is seeking a partner to support executing the ongoing development of the Detrital play.
Production capability from the existing wells on the Property is approximately 28 bbl/d of oil.
RTD believes there is a potential drilling inventory of up to 30 single-leg multi-stage fracked wells on the Property.
Detailed information relating to the Property will be available in the virtual data room to parties that execute a confidentiality agreement.
Overview Map Showing the Location of the Property
HEATHDALE
Township 27-28, Range 8 W4
At Heathdale, the Company has a working interest in 7.75 gross (6 net) sections of contiguous Crown land which it acquired in 2023. The Property is prospective for 20°API oil production from the Detrital Formation of the Lower Mannville Group.
Recent drilling of offsetting Detrital pools by Cardinal Energy Ltd., International Petroleum Corp. and Torxen Energy Ltd. indicates significant Detrital oil upside with achievable initial production rates of greater than 300 bbl/d of oil per well.
In the fourth quarter of 2023, RTD drilled a multi-lateral well in the west half of Section 33-028-07W4 (AC Gas Company Heathdle 00/05-33-027-08W4/00).
After running into drilling challenges and ultimately underwhelming production results, RTD acquired seismic over Section 33. The re-evaluation of the play indicates that single-leg, multi-stage fracked wells utilizing current completion techniques will yield commercial results.
At Heathdale, the Company has a working interest in 7.75 gross (6 net) sections of contiguous Crown land which it acquired in 2023. The Property is prospective for 20°API oil production from the Detrital Formation of the Lower Mannville Group.
Recent drilling of offsetting Detrital pools by Cardinal Energy Ltd., International Petroleum Corp. and Torxen Energy Ltd. indicates significant Detrital oil upside with achievable initial production rates of greater than 300 bbl/d of oil per well.
In the fourth quarter of 2023, RTD drilled a multi-lateral well in the west half of Section 33-028-07W4 (AC Gas Company Heathdle 00/05-33-027-08W4/00).
After running into drilling challenges and ultimately underwhelming production results, RTD acquired seismic over Section 33. The re-evaluation of the play indicates that single-leg, multi-stage fracked wells utilizing current completion techniques will yield commercial results.
The drill design was three 1,500 metre multi-lateral legs for a total of 4,500 metres of open hole drilling between the existing horizontal well Convega Heathdle 102/08-32-027-08W4/0 and the best producing well at Convega Heathdle 100/11-33-027-08W4/0, as shown on the following map.
RTD ran into numerous technical challenges during drilling, which resulted in a much shorter than anticipated lateral length. Initial production results were encouraging but declined dramatically within one month.
The resultant well contains 4 multi-lateral legs effectively covering 1 LSD. A total of 2,000 metres of open hole and a 300-metre liner to cover junction points.
The well was not effective in connecting the porosity in the reservoir, indicating this is better suited to fracture stimulation, as opposed to open hole development. Ongoing advancement in completion techniques indicate tighter frack spacing for these types of reservoirs yield 3-4 times better results than the methods used when the original horizontal well was drilled in 2012.
Heathdale Upside
As shown on the following cross-section, the Detrital Formation is found at a depth of 1,015 metres subsea with porosity of 25%, up to six metres of oil pay with 20° API oil. Virgin pressure of the formation is approximately 8,800 kPa.
The horizontal well drilled in 2012 (Convega Heathdle 02/08-32-027-08W4/00) crossed the trajectory of the 8-32 vertical and produced 43,000 barrels of oil with limited fracture stimulation.
The resultant well contains 4 multi-lateral legs effectively covering 1 LSD. A total of 2,000 metres of open hole and a 300-metre liner to cover junction points.
The well was not effective in connecting the porosity in the reservoir, indicating this is better suited to fracture stimulation, as opposed to open hole development. Ongoing advancement in completion techniques indicate tighter frack spacing for these types of reservoirs yield 3-4 times better results than the methods used when the original horizontal well was drilled in 2012.
Heathdale Upside
As shown on the following cross-section, the Detrital Formation is found at a depth of 1,015 metres subsea with porosity of 25%, up to six metres of oil pay with 20° API oil. Virgin pressure of the formation is approximately 8,800 kPa.
The horizontal well drilled in 2012 (Convega Heathdle 02/08-32-027-08W4/00) crossed the trajectory of the 8-32 vertical and produced 43,000 barrels of oil with limited fracture stimulation.
Detrital Cross-Section
The following map shows the net oil pay in the Detrital Formation at Heathdale. The Company has calculated original oil in place in Section 33 of approximately 9.5 million barrels of oil with 102,000 barrels recovered to date.
Total original oil in place at Heathdale is approximately 130 million barrels, ranging from 12 million barrels to 19 million barrels of oil in place per section.
Total original oil in place at Heathdale is approximately 130 million barrels, ranging from 12 million barrels to 19 million barrels of oil in place per section.
Detrital Net Pay Map
Analogue Pool
Suede Energy Ltd., now Western Basin Energy Corporation, has drilled an offsetting Detrital pool in Townships 24 and 025-17W4. The Company believes this pool to be a lesser quality reservoir than Heathdale, but is showing solid results.
The production plot below from the horizontal well Suede Energy Ltd WinterH 100/09-33-024-17W4/0 shows current production of approximately 150 bbl/d of oil, 334 Mcf/d of natural gas and 41 bbl/d of water.
Suede Energy Ltd., now Western Basin Energy Corporation, has drilled an offsetting Detrital pool in Townships 24 and 025-17W4. The Company believes this pool to be a lesser quality reservoir than Heathdale, but is showing solid results.
The production plot below from the horizontal well Suede Energy Ltd WinterH 100/09-33-024-17W4/0 shows current production of approximately 150 bbl/d of oil, 334 Mcf/d of natural gas and 41 bbl/d of water.
Suede-RTD Type Log Comparison
Suede Offset Pool Analysis - Multi-Stage Fracking
Heathdale Seismic
RTD has 3D seismic data over Section 33 at Heathdale. There is also further seismic 3D data available in the area. Further information relating to the seismic data will be made available to parties that execute a confidentiality agreement.
RTD has 3D seismic data over Section 33 at Heathdale. There is also further seismic 3D data available in the area. Further information relating to the seismic data will be made available to parties that execute a confidentiality agreement.
Heathdale, Alberta
Seismic Coverage
Seismic Coverage
PROCESS & TIMELINE
Sayer Energy Advisors is accepting proposals for the Property until 12:00 pm on Thursday May 8, 2025.
Sayer Energy Advisors does not conduct a "second-round" bidding process; the intention is to attempt to conclude a
transaction with the party submitting the most acceptable proposal at the conclusion of the process.
transaction with the party submitting the most acceptable proposal at the conclusion of the process.
Sayer Energy Advisors is accepting proposals from interested parties until
noon on Thursday May 8, 2025.
NOTE REGARDING A SAYER PROCESS
On each and every offering brochure generated by Sayer, you will note the sentence “Sayer Energy Advisors does not conduct a “second-round” bidding process; the intention is to attempt to conclude a sale of the Property with the party submitting the most acceptable proposal at the conclusion of the process.” What this means is that Sayer will not go back to multiple parties at the same time after bids are received, asking them all for a second bid. We determine which party submitted the most acceptable proposal and then we attempt to negotiate acceptable terms with that party in a “one-off” situation.
If the process involves a cash sale of a property or company and the party which submitted the most acceptable proposal has met our client’s threshold value, that offer will be accepted. If this proposal does not meet our client’s threshold value, then we will advise that party that the offer is not quite what our client was expecting, and we will ask them to increase the offer. If that offer is not acceptable to our client, we will then move down to the party which submitted the next most acceptable proposal and we will then work with that party to attempt to meet our client’s threshold value.
In the extremely rare circumstance where two or more parties submit virtually identical proposals, we will contact all parties, we will advise them of this situation and we will ask them to submit a revised proposal. Once these are received, we will work with the party which has submitted the most acceptable proposal.If the process involves a cash sale of a property or company and the party which submitted the most acceptable proposal has met our client’s threshold value, that offer will be accepted. If this proposal does not meet our client’s threshold value, then we will advise that party that the offer is not quite what our client was expecting, and we will ask them to increase the offer. If that offer is not acceptable to our client, we will then move down to the party which submitted the next most acceptable proposal and we will then work with that party to attempt to meet our client’s threshold value.
CONFIDENTIALITY AGREEMENT
Parties wishing to receive access to the confidential information with detailed information relating to this opportunity should execute the Confidentiality Agreement and return one copy to Sayer Energy Advisors by courier, email (brye@sayeradvisors.com) or fax (403.266.4467).
Included in the confidential information is the following: summary land information, and other relevant technical information.
Download Confidentiality Agreement
To receive further information on the Property please contact Ben Rye, Tom Pavic or Sydney Birkett at 403.266.6133.