Oil and Gas Properties and Location of Production Acquisition, exploitation and exploration activities have resulted in the Corporation having significant interests and assets in the following areas of Alberta and Montana.
Montana Exploration Corp operates in Montana through ML&E. Its acreage is located 25 miles south of the Canadian border and is offset to the northwest by the Battle Creek field operated by Northwestern Energy Corporation and Omimex Canada, Limited and to the west by the Bowes Field operated by Citation Oil and Gas Corp, and the Tiger Ridge field operated by Northwestern Energy Corporation. Although on trend with these fields, ML&E’s acreage blocks originate from multiple landowners and are largely unexplored utilizing any modern gravity or seismic data and have had very little previous drilling activity.
Montana Exploration Corp. controls interests averaging 29 percent in 26,807 gross (7,876 net) acres at Viking Kinsella, Alberta including thirty producing wells and varying interests between 44.5 percent and 49.5 percent in an extensive gas gathering system. In late 2013 a decision was made by the working interest owners to decommission the compression facilities and tie the wells into third party processing facilities. These changes, made in early 2014, resulted in significant operating cost savings by eliminating the ongoing high maintenance and repair costs of the outdated compressors. Although there are several probable Viking gas locations to drill there are no other ongoing plans for this property until there is a significant improvement to gas prices.