Manitoba Innovation, Energy and Mines

Did You Know That .........?   

• Manitoba has two potential areas for oil and gas production, southwest Manitoba and the Hudson Bay
  lowlands.
• Oil was discovered in Manitoba in, and has been produced since 1951.
• Manitoba's current oil production is located in southwest Manitoba along the northeastern flank of the Williston Basin, a sedimentary basin that also occupies portions of southern Saskatchewan, North Dakota, South Dakota and Montana.
• Potential hydrocarbon bearing-formations in southwest Manitoba occur to depths of up to 2 300 metres (7,500 feet).
• The majority of the approximately 7,600 wells drilled in Manitoba have only been drilled to
  Triassic, Mississippian or to the Bakken ; this represents approximately one half of the potential hydrocarbon bearing formations.
• Production in 2010 was  a record 1,871,207.8 m3 – 11.7 million Barrels. The month of Dec 2010 had the highest production on record – 190,595.7 m3 (1.2 million Bbls) or 38,692 Bbls per day. Total production for first quarter 2011 was 587,887 m3 - 3.7 million barrels or 41,108 barrels of oil per day.
• There is over 73 kilometers of core from wells drilled in Manitoba available for examination.
• All pre-1980 oil production originated from Mississippian Lodgepole and Mission Canyon
  formations at depths that range from 600 to 1 050 metres (2,000 to 3,500 feet)
  These formations accounted for approximately 86.9% of Manitoba's cumulative oil
  production.
• Oil was discovered in 1980 above the Mississippian in the Triassic Amaranth Formation.
  Approximately 30% of Manitoba's 2010 production originates from the Amaranth Formation in the Pierson-Waskada area.
• In 1985, oil was discovered in the Mississippian Bakken Formation in the Daly area. Production from the Bakken made up 1.9% of the 2010 annual production.
• In 1993, oil was discovered in the Jurassic Melita Formation in the St. Lazare area and it represented 2.7% of 2010 production. .
• In 2001, oil was discovered in the Devonian Three Forks Formation in the Daly Field, marking Manitoba’s first pre Mississippian Production. In 2010, it accounted for 44.2% of Manitoba’s oil production.
• As of  December 31, 2010, Manitoba oil fields have produced a total of 44,928,142
  m3 (282,744,756 Bbls) of oil. The Virden field has produced 53.8% of this total.
• The oldest producing well drilled in Manitoba is Daly Unit #3 Prov. 7-12-10-26 which has
  produced since July 1951. Manitoba’s most productive well is 2-21-11-26W1 in North Virden Scallion Unit No. 1 which has produced 1.91 million barrels of oil since June 1955.
• Manitoba's oil is of good quality, and in 2010 the average selling price for light sour blend crude was $485.65 per cubic metre ($77.17 CDN per barrel). The estimated value of oil sold in 2010 was approximately $907 million.
• As of December 2010, there are approximately 2,970 producing oil wells in Manitoba, 1520 of which were put on production since January 1, 2006.
• In December 2010, average production rate for producing horizontal wells in the province is 5.23 m3 per day (32.9barrels per day), compared to an average production rate of .82 m3 per day (5.2 barrels per day) for vertical wells. During 2010, horizontal wells accounted for 60.8% of the province’s total production.
• Currently there are 13 designated oil fields and 174 producing oil pools in southwest Manitoba.
• Manitoba's crude oil production is equivalent to approximately 43% of the province's refined
  petroleum products requirements.
• Approximately 11.2 million m3 (70 million barrels) of salt water were produced in 2010, that's 6 m3 of salt water for every 1 m3 of crude oil produced. Salt water must be separated from the oil and re-injected into subsurface formations.
• Approximately 491wells are used for purposes other than production, such as disposal of
  produced water.
• The current cost to drill and complete a well in Manitoba ranges from $325,000 to $1.2 Million depending primarily on depth.
• 512 new wells were drilled in Manitoba during 2010 including 440 horizontal wells; of these wells 462 were cased as potential oil producers (success rate of over 96%), 16 were abandoned dry,  and 33 wells were completed as support wells (injection and salt water disposal wells.)
• Only 10 to 15% of the oil discovered in Manitoba is recoverable under natural depletion. Recovery may be increased to over 30% by water flooding.
• As of December 31, 2009, the remaining established oil reserves were estimated to be 9.5 million m3 (59.8 million barrels).
• Approximately 80% of the oil and gas rights are owned by private individuals or companies
  (freehold), the remaining 20% are owned by the Crown in the right of Manitoba.
• With a geothermal gradient of 1.3°C/m in the Virden area, thermally mature oil and gas can be generated in the rocks as shallow as a depth of 335 m. This means the Cretaceous shales in Manitoba are excellent candidates for shallow gas exploration in most of the extreme southwest corner of Manitoba.
• Royalties payable to private oil and gas rights owners were estimated at $93 million in 2010.
• Total oil industry expenditures in Manitoba in 2010 were approximately $894 million.
• In July 2008, Manitoba approved a CO2 Enhanced Oil Recovery project in the Sinclair Oil Field.
  

Conversions - cubic metre = 6.29 barrels
1 barrel = 35 gallons (Imperial)