manitoba oil and gas review

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MANITOBA Oil & Gas Review SERVING MANITOBA’S OIL & GAS INDUSTRY 2012 – Manitoba Oil Activity – Maps: The Lifeblood of the Oil and Gas Industry – Mounds, Landscapes and Place in Manitoba’s Oil Patch – Manitoba Looks to Join the Petroleum Registry of Alberta – Municipal Roadways Strain Under Increased Activity in Oil Exploration COMMUNITY PROFILES Birtle • Boissevain • Brandon • Deloraine • Estevan • Melita • Virden • Waskada PUBLICATION MAIL AGREEMENT #40934510

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The Manitoba Oil and Gas Review covers the last in oil and gas development in the province of Manitoba.

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Page 1: Manitoba Oil and Gas Review

MANITOBAOil & Gas Review

SERVING MANITOBA’S OIL & GAS INDUSTRY

2012

– Manitoba Oil Activity

– Maps: The Lifeblood of the Oil and Gas Industry

– Mounds, Landscapes and Place in Manitoba’s Oil Patch

– Manitoba Looks to Join the Petroleum Registry of Alberta

– Municipal Roadways Strain Under Increased Activity in Oil Exploration

COMMUNITY PROFILESBirtle • Boissevain • Brandon • Deloraine • Estevan • Melita • Virden • Waskada

PUBL

ICAT

ION

MA

IL A

GRE

EMEN

T #4

0934

510

Page 2: Manitoba Oil and Gas Review

Manitoba and Area Locations

Baker Hughes Head Office1000 – 401, 9 Avenue SW, Calgary, Alberta T2P 3C5

(403) 537-3400 Toll Free 1-877-285-9910

www.bakerhughes.com/canada

Completions & ProductionEstevan, SK (306) 636-1640

Edmonton, AB (780) 465-0117Toll Free 1-800-866-1176

FishingEdmonton, AB (780) 440-2110Toll Free 1-877-285-9206

Artificial LiftEstevan, SK (306) 636-1640

Lloydminster, SK (780) 875-7333

Weyburn, SK (306) 842-1850

Leduc, AB Toll Free 1-888-611-7867

Wireline SystemsNisku, AB (780) 955-3033Toll Free1-877-955-3033

Drilling SystemsRepair FacilityNisku, AB (780) 955-2020

Drill Bit SystemsEstevan, SK (306) 636-1640

Kindersley, SK (306) 430-7000

Edmonton, AB (780) 434-8800

PDC Hotline (780) 432-6920

Red Deer, AB (403) 346-4765

Vermilion, AB (780) 581-8522

Pressure PumpingEstevan, SK (306) 634-1572Toll Free 1-888-349-2206

Lloydminster, SK (780) 875-6182Toll Free 1-888-349-2217

Medicine Hat, AB (403) 548-6655Toll Free 1-888-349-2209

Upstream ChemicalsVirden, MB (204) 748-6858

Estevan, SK (306) 636-1640

Kindersley, SK (306) 463-2129

Lloydminster, SK (780) 875-4361

Swift Current, SK (306) 773-0757

Calgary, AB (403) 537-3850

Medicine Hat/Redcliff, AB(403) 526-3347

Industrial ChemicalsMoose Jaw, SK (306) 693-4254

Page 3: Manitoba Oil and Gas Review

enform c.o.r. certified

(306) 842-2378 • www.unitedcentrifuge.caFax: (306) 842-2403 • Email: [email protected]

Shop 1560, New City Garden Road • Weyburn, Saskatchewan • S4H 2L5

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SoLidS CoNTRoL & dEWaTERiNG EquipmENT

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Page 4: Manitoba Oil and Gas Review

Impact Oilfield Management Team

is a leading firm that specializes in supervision for the oilfield in all phases of construction, drilling and completion. What sets this firm apart from all the rest, is their desire to strive as a team.

Gregg Fischer and Steve Lobreau have both excelled in the oil and gas industry and have worked alongside each other since the early eighties. They started the Impact team in 2007 with a small core group of individuals and have grown the company into to a strong team.The Impact team has a wide variety of specialized expertise in the oil and gas industry with:

Let our team IMPACT your BOTTOM line

• Multi-Leg Horizontals

• Mono-Bores

• Underbalanced Horizontals

• Extended Reach Horizontals

• Deep Verticals

• Air Drilling

• Shallow Gas

• Directional S-Curves

• Critical Sour Gas

• Core Exploration for Mining

• Source Water and Disposal Wells

• Re-Entry Horizontals

• Formation Stimulation

• Liner Packer Placements

• Hydro Fracing

• Wellsite Construction

• Logistics and Liaisons

• Road Building

• Pad Construction

• Reclamations

Steve LobreauOwner

Gregg Fischer Owner

C: (306) 483-8546 Head Office:304 7th Street WestBox 1180 Carlyle SK Canada S0C 0R0 (306) 453-6248

www.impactoil.ca

C: (306) 577-8588

Impact_Oil_Ad.indd 1 4/3/12 3:58:34 PM

Page 5: Manitoba Oil and Gas Review

Impact Oilfield Management Team

is a leading firm that specializes in supervision for the oilfield in all phases of construction, drilling and completion. What sets this firm apart from all the rest, is their desire to strive as a team.

Gregg Fischer and Steve Lobreau have both excelled in the oil and gas industry and have worked alongside each other since the early eighties. They started the Impact team in 2007 with a small core group of individuals and have grown the company into to a strong team.The Impact team has a wide variety of specialized expertise in the oil and gas industry with:

Let our team IMPACT your BOTTOM line

• Multi-Leg Horizontals

• Mono-Bores

• Underbalanced Horizontals

• Extended Reach Horizontals

• Deep Verticals

• Air Drilling

• Shallow Gas

• Directional S-Curves

• Critical Sour Gas

• Core Exploration for Mining

• Source Water and Disposal Wells

• Re-Entry Horizontals

• Formation Stimulation

• Liner Packer Placements

• Hydro Fracing

• Wellsite Construction

• Logistics and Liaisons

• Road Building

• Pad Construction

• Reclamations

Steve LobreauOwner

Gregg Fischer Owner

C: (306) 483-8546 Head Office:304 7th Street WestBox 1180 Carlyle SK Canada S0C 0R0 (306) 453-6248

www.impactoil.ca

C: (306) 577-8588

Impact_Oil_Ad.indd 1 4/3/12 3:58:34 PM

Page 6: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 20126

In This Issue...Published by:DEL Communications Inc.Suite 300, 6 Roslyn RoadWinnipeg, MB R3L 0G5www.delcommunications.com

Publisher:DavID LanGStaff

associate Publisher:JaSon StEfanIk

Editor:LynDon [email protected] advertising Sales Manager: Dayna ouLIon

advertising Sales:JIMMy noRRISMIC PatERSonanthony RoMEo

Production services provided by:S.G. Bennett Marketing Serviceswww.sgbennett.com

art Director / Design:kathy CaBLE

advertising art:REannE DaWSonDana JEnSEnJuLIE WEavER

Cover Photo Courtesy of:aLtuS GEoMatICS

©Copyright 2012. Manitoba Oil & Gas Review. all rights reserved. the contents of this publication may not be reproduced by any means, in whole or in part, without the prior written consent of the publisher.

While every effort has been made to ensure the accuracy of the information contained herein and the reliability of the source, the publisher in no way guarantees nor warrants the information and is not responsible for errors, omissions or statements made by advertisers. opinions and recommendations made by contributors or advertisers are not necessarily those of the publisher , its directors , officers or employees.

Publications mail agreement #40934510Return undeliverable Canadianaddresses to:DEL Communications Inc.Suite 300, 6 Roslyn RoadWinnipeg, Manitoba, Canada R3L 0G5Email: [email protected]

PRIntED In CanaDa04 | 2012

DELCommunications Inc.

OverviewManitoba Oil Activity ....................................................................................................7

Manitoba Looks to Join the Petroleum Registry of Alberta .................................... 20

Southwest Manitoba Booming – Larry Maguire, MLA Arthur-Virden ...................... 22

Message from Jeff McConnell, Mayor of Virden ...................................................... 24

Surge Energy Inc. – Growing for Continues Success ................................................ 45

Redvers & District Oil Showcase ................................................................................ 48

Municipal Roadways Strain Under Increased Activity in Oil Exploration ............. 56

The Changing Face of Geosciences in the 21st Century ........................................... 58

What’s in a Barrel of Oil...............................................................................................61

Clariant and Prairie Petro-Chem: Focused on Growth ............................................ 62

Questions to Ask Before Hiring a Foreign Worker ................................................... 64

Mounds, Landscapes and Place in Manitoba’s Oil Patch .......................................... 66

Expro – Stop the Guesswork ....................................................................................... 66

Millennium Directional Services Ltd. – On the Leading Edge ................................ 72

Altus Geomatics – Local Presence, Local Knowledge ................................................74

New Building Designs from Norseman Structures .................................................. 77

Advanced Growth Group Works for You .................................................................. 78

Maps: The Lifeblood of the Oil and Gas Industry .................................................... 80

Hodgson Custom Rolling Inc. – Expertise and Service ............................................ 82

Freehold Mineral Rights ............................................................................................. 84

Get the Government’s Skin into the Game with SR&ED ........................................ 86

First Energy – Focus, Commitment and Philanthropy ........................................... 88

Prairie Skills – Valuable Services ................................................................................ 90

Atom-Jet Group – Leadership Through Innovation ..................................................91

Outback Mats – The Strength of Family ................................................................... 94

Moving Forward with Impact Oilfield Management Team .................................... 95

Index to Advertisers .................................................................................................... 96

Community ProfilesThe Future Looks Bright in Virden ........................................................................... 26

Brandon – Diversity and Opportunity ...................................................................... 30

Welcome to Waskada .................................................................................................. 34

Deloraine – Capture Your Lifetime Dreams Through Our Opportunities ............ 28

Melita – Endless Opportunities ...................................................................................41

Birtle – Scenery, Serenity and Safety .......................................................................... 44

Boissevain – Embracing the Future ........................................................................... 46

Estevan – A Wealth of Opportunity ........................................................................... 52

Page 7: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 7

ManItoBa oIL aCtIvIty

2011 Oil Activity

2011 Highlights• 2011 was the busiest drilling year on

record having 578 wells drilled, a 12.9%

increase from the 512 wells drilled in

2010 and 66 wells over the previous

record in 2010.

•Manitobaestablishedanewproduction

record of 1,910,575 m3 (11.94 million

barrels) during 2011, a 2% increase over

the previous record established in 2010.

• FoursalesofCrownoilleasesand

exploration reservations covering 23,091

hectares generated $13.3 million in

revenue to the province in 2011, an

increase of 9.73% from 2010.

•AsofJanuary1,2011,therewere13oil

fields and 174 non-confidential oil pools

designated in the province.

Contact us today!Alberta (403) 934-1222

Saskatchewan (306) [email protected]

Strathmore, AB | Lloydminster, AB | Saskatoon, SK | Virden, MB

SAFE TO THE COREWireline Coring • Conventional Coring • direCtional Coring • Core hauling

Over 20,000 metres cored at 98% recovery.

Page 8: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 20128

ManItoBa oIL aCtIvIty

Crown Oil and Gas Dispositions Public offerings of Crown oil and gas rights are held under sealed tender in Manitoba throughout the year. Four Crown oil and gas sales were held in 2011. SALE DATE AVERAGE BONUS $/ha

february 9, 2011 201.46

May 11, 2011 632.26

august 10, 2011 1,450.65

november 09, 2011 573.86

As of December 31, 2011, the total area of Crown oil and gas rights under disposition was 119,693.7 hectares; 115,789 hectares under lease and 3,904 hectares under exploration reservation. In 2011, the total area under disposition increased by 7.75% compared with 2010. Exploration reservations provide the holder with the exclusive right to drill for a 3-year term within the reservation area. Crown oil and gas leases provide the holder with the exclusive right to drill and produce oil and gas for a 5-year term within the lease area. Leases may be renewed for additional 5-year terms, or extended by application for one-year terms with additional rental penalties

and drilling commitments. Non-productive leases are surrendered and available for lease by other interested parties. On December 31, 1982, deeper rights reversion provisions came into effect. Under these provisions, non-productive areas and rights below the producing formation revert to the Crown at the end of the first renewal of the lease term. These rights again become available for lease by other interested parties.

Freehold Mineral Owner’s Leasing and Revenue Approximately 80% of the oil and gas rights in southwestern Manitoba are privately owned (freehold). Companies may negotiate leases with freehold mineral owners in areas of current interest where leases have expired or where oil and gas rights are not presently leased. Freehold mineral owners receive revenue from signing bonuses, delay rental payments and royalties when production is obtained. Freehold royalties may range from 12 1/2 to 20% of gross production sales value. It is estimated that gross royalties payable to freehold owners in 2010 were approximately $93 million (before payment of provincial and federal taxes). again become available for lease by other interested parties.

Page 9: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 9MB Oil & Gas Review Ad

7’’ x 4 5/8’’

FIND OUT MORE ABOUT MANITOBA’S

E-mail: [email protected]: 1-800-223-5215Telephone: 204-945-6577Fax: 204-945-0586Website: www.manitoba.ca/petroleum

CONTACT US TODAYManitoba Innovation, Energy and Mines – Petroleum Branch360 – 1395 Ellice AvenueWinnipeg MB R3G 3P2

• Low drilling density, under explored pre-Mississippian horizons

• Competitive oil and gas fiscal and regulatory regime

• High producer netbacks

• Multi-component drilling incentive program designed to enhance pay-out

• Simple land tenure

• Digital log and technical well file images

• Comprehensive digital well database and shape files

Explore Manitoba

ManItoBa oIL aCtIvIty

Geophysical Activity

Eighteen geophysical programs were run in 2011 covering 3,385 km. There were seven 2D/Dyn, one 2D/Vib, five 3D/Dyn and four 3D/Vib and one 3D/Vib/Dyn programs. The estimated cost of the programs was $8,645,025.16.

Page 10: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201210

ManItoBa oIL aCtIvIty

Drilling Activity In 2011, 673 drilling licenses were issued, resulting in 28 different companies drilling 578 wells, an increase of 12.7% from 2010. Eighteen drilling contractors drilled 1,068,753 metres of hole for an average well depth of 1,849 metres.

Drilling Activity by Area

Drilling Activity by Area  

Field TWP RGE WPM

Wells Drld.

Development Drld. POW

Exploratory Drld. *POW

Total POW Dry/ABD **Other

Daly-Sinclair 07-11 27-29 169 161 157 8 8 165 3 1 Waskada 01-02 24-26 249 245 243 4 3 246 3 0 Virden 09-12 25-26 5 5 4 0 0 4 1 0 Whitewater 01 21 1 0 0 1 0 0 1 0 Pierson 02-03 28-29 59 54 53 5 5 58 1 0 Kirkella 12 29 1 1 1 0 0 1 0 0 Coulter 01-02 27 8 8 8 0 0 8 0 0 Regent 04-05 21-22 3 3 3 0 0 3 0 0 Birdtail 15-16 27 21 18 18 3 3 21 0 0 0 Other areas 62 38 38 24 17 55 7 0 Total 578 533 525 45 36 561 16 1 % of Total Drilled 92 8 * POW – Potential Oil Wells **Other – (WIW, WSW, SWD) Daly-Sinclair – Amalgamated in 2009

Waskada – Waskada is the most active area in the province with a total of 249 wells drilled. Of this total 245 were development wells and 4 were drilled as exploratory. Daly Sinclair – Daly and Sinclair amalgamated in 2010. In 2011 there were a total of 169 wells drilled. Of this total, 161 were development wells and 8 were drilled as exploratory. Pierson - In 2011, there was a total of 59 wells drilled. Of this total 54 were development wells and 5 were drilled as exploratory. Birdtail – In 2011, there was a total of 21 well drilled. Of this total, 18 were development wells and 3 were drilled as exploratory. Other Areas - There were 62 wells drilled in other areas in 2011. Of these 62 wells, 38 were development, and 24 exploratory. 55 were completed as potential oil wells.

Waskada – Waskada is the most active area in the province with a total of 249 wells drilled. Of this total 245 were development wells and 4 were drilled as exploratory.

Daly Sinclair – Daly and Sinclair amalgamated in 2010. In 2011 there were a total of 169 wells drilled. Of this total, 161 were devel-opment wells and 8 were drilled as exploratory.

Pierson – In 2011, there was a total of 59 wells drilled. Of this total 54 were development wells and 5 were drilled as exploratory.

Birdtail – In 2011, there was a total of 21 well drilled. Of this total, 18 were development wells and 3 were drilled as exploratory.

Other Areas – There were 62 wells drilled in other areas in 2011. Of these 62 wells, 38 were development, and 24 exploratory. 55 were completed as potential oil wells.

Page 11: Manitoba Oil and Gas Review
Page 12: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201212

ManItoBa oIL aCtIvIty

Non-Abandoned Wells 2011

Notes:(1) Wells classified as capable of oil production at year end that produced oil in 2011. Dual completions or commingled wells count as one well.(2) Includes Water Injection, Salt Water Disposal, Water Supply, Gas Injection and Other Wells.

Active (1) Active (2) Field Oil Producers Other Wells Daly-Sinclair 1990 168 Waskada 813 3 Virden 648 123 Pierson 413 4 Other Areas 87 145 Whitewater 61 5 Regent 58 73 Kirkella 46 6 Birdtail 36 3 Tilston 26 0 Souris Hartney 23 4 Mountainside 10 1 Lulu Lake 6 7 Coulter 2 11 Total 4219 553

Exploratory* Wells Drilled in Manitoba by Formation 1974-2011(Geological Period of Deepest Formation Drilled)

Exploratory* Wells Drilled in Manitoba by Formation 1974-2011 (Geological Period of Deepest Formation Drilled)

Year Cretaceous Jurassic Mississippian Devonian Silurian Ordovician Cambrian Precambrian Total 1974 1 -- 5 -- -- -- -- 12 18 1975 1 -- 4 1 -- 4 -- 1 11 1976 -- -- 5 7 -- -- -- -- 12 1977 -- -- 10 -- -- -- -- -- 10 1978 -- -- 9 1 -- 1 -- 1 12 1979 -- -- 6 1 -- -- -- 2 9 1980 -- -- 8 1 1 -- -- 1 11 1981 -- -- 21 6 -- -- -- 5 32 1982 -- -- 72 5 -- -- -- 1 78 1983 -- 1 48 9 1 -- -- 1 60 1984 1 -- 32 2 -- -- -- 1 36 1985 -- -- 49 2 -- -- -- 1 52 1986 -- -- 30 13 -- -- -- -- 43 1987 -- -- 13 19 1 -- -- -- 33 1988 3 -- 9 6 -- -- -- -- 18 1989 -- 1 2 3 1 -- -- -- 7 1990 -- -- 15 -- -- -- -- -- 15 1991 -- -- 1 -- -- -- -- -- 1 1992 -- -- 2 3 -- -- -- 1 6 1993 -- 2 9 2 -- -- -- 1 14 1994 -- -- 11 5 -- -- -- 1 17 1995 -- -- 9 4 -- -- -- -- 13 1996 -- -- 14 14 -- -- -- -- 28 1997 -- 2 19 21 1 3 - 2 48 1998 -- -- 6 14 -- -- -- -- 20 1999 -- -- 4 3 -- -- -- 1 8 2000 -- 13 5 5 1 -- -- 2 26 2001 -- 3 8 4 1 -- -- 1 17 2002 -- -- 11 -- -- -- -- -- 11 2003 -- 3 12 9 -- -- -- 1 25 2004 -- -- 6 21 -- -- -- -- 27 2005 -- -- 9 60 1 -- -- -- 70 2006 3 -- 14 78 -- 1 -- 1 97 2007 2 -- 14 28 -- -- -- -- 44 2008 -- -- 6 44 -- -- -- -- 50 2009 0 1 1 31 0 0 0 0 33 2010 0 26 20 37 0 0 0 0 83 2011 0 6 10 29 0 0 0 45

TOTAL 11 58 529 488 8 9 0 37 1140 * Exploratory - includes outpost, new field wildcat, new pool wildcat and deeper pool wildcat classifications.

Page 13: Manitoba Oil and Gas Review

oak & fir rig mattingMATSOUTBACK

DOUG FENWICK 204-483-0775 [email protected]

MURRAY TEMPLE 2 0 4 - 5 5 2 - 6 5 9 7 [email protected]

Sales & Inquiries

SHAWNA TEMPLE 2 0 4 - 4 8 3 - 0 0 2 5 [email protected]

administration

A proudly Manitoban company

Box 490, Hartney, MB R0M 0X0

uscontact

Page 14: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201214

ManItoBa oIL aCtIvIty

Well License Transfers in 2011In 2011, there were 184 well name changes resulting from well license transfers, corporate reorganizations, partnerships and amalgamations.

Well License Transfers in 2011

In 2011, there were 184 well name changes resulting from well license transfers, corporate reorganizations, partnerships and amalgamations.

PREVIOUS OPERATOR

NEW OPERATOR

FIELD/AREA

NO. OF WELLS

TYPE

Aspen Endeavour Resources Inc.

Magellan Resources Ltd. Daly Sinclair 11 Transfer

Corinthian Energy Corp./ Breaker Resources Ltd.

Surge Energy Inc. Waskada 35 Name Change

Lodgepole Energy Corp. Neo Exploration Inc. Daly Sinclair 1 Transfer Whitewater 1 Pierson

Souris Hartney Broomhill

5 5 1

Tundra Oil and Gas Partnership Paradise Petroleums Ltd. Daly Sinclair 1 Transfer

Molopo Energy Canada Ltd. Legacy Oil + Gas Inc. Pierson 66 Transfer Coulter 10

Alberta Oilsands Inc.

IEL Enterprises Ltd.

Tundra Oil and Gas Partnership

Standard Land Company Inc.

Crescent Point Energy Corp.

Tundra Oil and Gas Partnership

Interwest Petroleums Ltd.

Interwest Petroleums Ltd.

Legacy Oil + Gas Inc.

CPEC

Daly Sinclair

Daly Sinclair

Daly Sinclair

East McAuley

Tilston

3

17

3

1

24

Transfer

Name Change

Transfer

Transfer

Name Change

Total 184

Page 15: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 15

Manitoba’s Top 25 Oil Producers

Manitoba’s Top 25 Oil Producers

2011 2010 Increase (decrease) Rank Operator m3 % of Total m3 % of Total m3 % Change 1 Tundra Oil & Gas Partnership 967028.5 43.8 881783.1 47.6 85245.4 9.7 2 EOG Resources Canada Inc. 408690.7 18.5 339829 18.3 68861.7 20.3 3 Penn West Petroleum 258825.4 11.7 108241.4 5.8 150584 139.1 4 Enerplus Corporation 176317.8 8 205102.1 11.1 -28784.3 -14 5 Canadian Natural Resources Limited 64007.4 2.9 68237.1 3.7 -4229.7 -6.2 6 ARC Resources Ltd. 56670.2 2.6 57584.4 3.1 -914.2 -1.6 7 Reliable Energy Ltd. 48249.2 2.2 22104.6 1.2 26144.6 118.3 8 Legacy Oil & Gas Inc. 34753.7 1.6 39549.4 2.1 -4795.7 -12.1 9 Fairborne Energy Ltd. 32020 1.5 32536 1.8 -516 -1.6 10 Red Beds Resources Limited 25024.5 1.1 5180.9 0.3 19843.6 383

11 Magellan Resources Ltd. 18504 0.8 5972 0.3 12532 209.8 12 Black Gold Energy Ltd. 17860 0.8 7938.4 0.4 9921.6 125 13 Kiwi Resources Ltd. 11799.3 0.5 16246.3 0.9 -4447 -27.4 14 Surge Energy Inc. 11753.8 0.5 878.3 0 10875.5 1238.2 15 Petrobakken Energy Ltd. 11671 0.5 13415 0.7 -1744 -13 16 Zargon Oil & Gas Ltd. 10080.6 0.5 7092.1 0.4 2988.5 42.1 17 T. Bird Oil Ltd. 8175.1 0.4 3675.1 0.2 4500 122.4 18 White North Energy Corp. 7704.5 0.3 6186.8 0.3 1517.7 24.5 19 Fort Calgary Resources Ltd. 7695.3 0.3 1910.1 0.1 5785.2 302.9 20 Cosens Drilling Limited 6585.9 0.3 7881 0.4 -1295.1 -16.4 21 Neo Exploration Inc. 6111.1 0.3 7821 0.4 -1709.9 -21.9 22 Antler River Resources Ltd. 5942.4 0.3 4828.3 0.3 1114.1 23.1 23 Interwest Petroleums Ltd. 5191.6 0.2 5198.7 0.3 -7.1 -0.1 24 618555 Saskatchewan Ltd. 3898.3 0.2 384.9 0 3513.4 912.8 25 Relative Resources Ltd. 3120.3 0.1 4497.8 0.2 -1377.5 -30.6

* Oil production figures may vary year to year due to well transfers and company mergers.

ManItoBa oIL aCtIvIty

CES, a proud member of Manitoba’s Energy Services Industry, is pleased to

include Virden to its locations.

Supplying clients with a full range of services across Manitoba, Saskatchewan and Alberta,

CES is excited to be part of the future of the industry.

Box 352Virden, MB R0M 2C0Ph: (204) 748-2796Fax: (204) 748-2295

Lampman Head Office:(306) 487-2281www.carsonenergyservices.com

Final Copy MB OG 2012.indd 1 22/03/2012 08:40:08 AM

Page 16: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201216

ManItoBa oIL aCtIvIty

Oil PricesManitoba’s overall average crude oil selling price in 2011 increased from 2010 to $581.26/m3 (92.37 Cdn. per barrel). The average monthly price was lowest in February at $505.40/m3 (80.31 Cdn. per barrel) and highest in April at $664.75/m3 ($105.63 Cdn. per barrel).

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Page 17: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 17

ManItoBa oIL aCtIvIty

Provincial Revenue from Oil ProductionDuring 2011, the Manitoba government collected approximately $44 million in revenues ($13.9 million in Crown oil royalties, $15.9 million in freehold oil taxes, and $13.7 million Crown lease sale bonuses, rentals and fees), resulting in a 17% increase from 2010. These figures do not include provincial revenue from corporate capital tax, sales tax, and corporate and individual income tax.

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Page 18: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201218

Direct Revenues to Crown fromOil Exploration and Production in Manitoba* – 1951-2011

Direct Revenues to Crown from Oil Exploration and Production in Manitoba* 1951-2011

Crown Royalties

Freehold Crown Oil & Gas

Miscellaneous Total Direct

Crown Royalties

Freehold Crown Oil & Gas

Miscellaneous Total Direct

Oil Tax Rights Revenue

Fees Revenue

Oil Tax Rights Revenue

Fees Revenue

Year ($000’s) ($000’s) ($000’s) ($000’s) ($000’s) Year ($000’s) ($000’s) ($000’s) ($000’s) ($000’s) 1951 2 -- 4 5 11 1981 2,715 10,022 1,846 12 14,595 1952 7 -- 7 9 23 1982 3,176 11,947 1,292 28 16,443 1953 50 46 6 8 110 1983 4,111 14,825 1,347 59 20,342 1954 156 64 106 24 350 1984 4,238 15,642 2,466 67 22,413 1955 230 92 696 10 1,028 1985 4,323 14,977 4,522 90 23,912 1956 318 83 668 18 1,087 1986 2,570 8,179 1,195 53 11,997 1957 382 126 531 -- 1,039 1987 2,740 8,649 855 55 12,299 1958 356 137 293 31 817 1988 2,034 5,861 639 40 8,574 1959 344 165 215 2 726 1989 2,273 6,757 364 37 9,431 1960 313 130 102 2 547 1990 2,578 7,662 266 35 10,541 1961 306 105 228 5 644 1991 2,567 6,438 213 37 9,255 1962 298 96 116 10 520 1992 1,978 4,938 209 21 7,146 1963 276 91 87 3 457 1993 1,884 4,501 1,005 41 7,431 1964 307 86 157 23 573 1994 1,581 3,620 1,415 44 6,660 1965 344 84 164 3 595 1995 1,618 3,480 2,860 43 8,001 1966 353 96 154 3 606 1996 1,866 4,450 2,024 51 8,391 1967 370 111 139 10 630 1997 1,806 4,431 6,335 55 12,627 1968 411 116 99 14 640 1998 1,259 2,579 752 30 4,620 1969 405 128 115 4 652 1999 1,286 2,751 764 18 4,819 1970 377 143 43 1 564 2000 2,537 4,488 783 21 7,829 1971 373 143 55 2 573 2001 2,506 4,008 1,272 28 7,814 1972 348 138 16 1 503 2002 3,203 2,994 444 60 6,701 1973 404 144 15 2 565 2003 2,668 2,984 431 44 6,127 1974 1,599 5,216 15 4 6,834 2004 2,565 2,879 1,491 41 6,976 1975 1,823 6,498 12 1 8,334 2005 2,936 4,326 6,269 82 13,613 1976 2,024 6,128 11 11 8,174 2006 4,406 13,909 2,646 128 21,089 1977 2,263 7,012 10 3 9,288 2007 7,887 12,982 897 140 21,907 1978 2,281 8,018 10 6 10,315 2008 11,279 12,241 5,454 62 29,036 1979 2,280 8,769 988 12 12,049 2009 6,239 6,147 6,011 94 18,492 1980 2,575 9,159 2,012 11 13,757 2010 5,887 8,658 12,482 163 27,191

2011 13,941 15,890 13,708 511 44,050 TOTAL 134,232 286,339 89,331 2,428 512,333

* Does not include corporate capital tax, sales tax or corporate and individual income tax. All figures are based on calendar year receipts.

If you have comments or require more information, contact: Manitoba Innovation, Energy and Mines, Petroleum Branch Unit 360 - 1395 Ellice Avenue, Winnipeg, MB R3G 3P2 Tel: (204) 945-6577 | Email: [email protected]. u

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Page 20: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201220

Since October 2002, the oil industry in Alberta has had access to the Petroleum Registry of Alberta, a

web-based system providing services that facilitate fast, standardized, safe and ac-curate management and exchange of key volumetric, royalty and commercial in-formation associated with the upstream petroleum sector. Saskatchewan has just gotten on board, and Manitoba has been in discussions with the Registry for sev-eral years and is currently in the assess-ment phase, required prior to joining the Registry.

What is the Registry? The Registry is a joint strategic organi-zation supporting Canada’s upstream oil and gas industry. It is represented by gov-ernment (Alberta Department of Energy [DOE] and the Alberta Energy Resources Conservation Board [ERCB]), and indus-try (represented by the Canadian Associa-tion of Petroleum Producers [CAPP] and the Small Explorer and Producers Asso-ciation of Canada [SEPAC]). On April 2, 2012, the three-year Regis-try Saskatchewan Inclusion Project was fully implemented, adding the Saskatch-ewan Ministry of Energy and Resources (SER) to the list of Registry stakeholders.

It operates under the overall guidance of a unique and proven Crown-industry governance structure. The Registry is jointly funded by government and indus-try stakeholders and resides in govern-ment. The Registry delivers:•Mission critical business processes and

information required for assessing, levy-ing, and collecting crown royalties for Alberta and Saskatchewan.

•Essential information to support Al-berta’s and Saskatchewan’s regulatory mandates and legislation.

•Keyservicesthatfacilitateimportantin-dustry commercial activities, including partner-to-partner reporting, cheque exchange activities, financial analytics, compliance assurance and production accounting.

The Registry is accessible to individu-als with a legitimate business reason for using it, including operators, non-oper-ating working interest owners, pipelines, shippers and other entities reporting to the DOE, ERCB or SER. The Registry fre-quently receives queries from other juris-dictions and organizations that have ex-pressed an interest in the Registry. To as-sist those parties, the Registry has created a communication protocol, which can be

obtained by contacting the Registry Ser-vice Desk at [email protected].

Importance and Benefits The petroleum industry is very com-plex. The Internet-based Registry has sim-plified and streamlined the collection, use, storage, and distribution of volu-metric and royalty-related information reported to government and industry partners. The Registry grew out of a need to make regulatory compliance easier and more efficient. It does this by: •reducingdatainputerrorsandtheneed

to correct and re-work processes; •reducingthetimetakentoadviseindus-

try of errors; •integratingdatacurrentlybeingreport-

ed separately to government and indus-try partners; and,

•simplifying administration - the Regis-try cuts administrative costs by reduc-ing or eliminating electronic data inter-change and associated software transla-tion packages costs, keying costs, paper chasing (photocopying, faxing, re-filing) costs, Crown invoice analysis costs and allocation administration costs.

With the Registry, industry and the

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Page 21: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 21

government can respond more effective-ly to the changing data requirements of a dynamic business environment (i.e. new requirements for government monitor-ing of emissions at wells and facilities). The Registry can also grow to meet fu-ture requirements in an efficient, cost-effective manner. The Registry has impacted virtually ev-ery producing company in the oil and gas industry, changing the way they do busi-ness. By streamlining the way companies exchange information with the ERCB, the DOE, SER and industry partners, the Registry and associated re-engineered business processes provide a number of benefits to both government and the pe-troleum industry, including:•Reduced royalty over-payments, penal-

ties, provisional assessments, and fees. The Registry has up-front validation. Operators are notified of submission errors immediately for on-line submis-sions and by the next morning for batch submissions, allowing for corrections to be done in a timely fashion. The Reg-istry also uses a “factor” concept, assur-ing 100% completeness of allocation processes required for government and partner reporting.

•Fewer amendments, reworks and rec-onciliation. A focus of the Registry is to ensure data submitted is as correct and complete as possible. This focus should significantly reduce the costly and time-consuming amendment, rework and reconciliation activity that existed before the Registry – a benefit to the operator submitting the data, industry partners and government.

•Better, more reliable, accessible infor-mation. The Registry contains a suite of standardized reports and effective query functionality, making it an effective tool to access information, not just a means of inputting and retrieving information.

•Standardization and improved effec-tiveness of input, reporting, and ana-lytic processes. A significant amount of business process re-engineering has been built into the original design of

the Registry. The Registry continues to

add new functionality to respond to

ever-changing government and indus-

try business practices. The result is the

enhancement and standardization of

many existing processes - industry-to-

government, government-to-industry

and industry-to-industry.

Manitoba’s Interest

So what does this mean to Manitoba?

According to the Petroleum Branch, the

Registry would enable industry to submit

data using one source. While this would

be especially beneficial to interprovincial

producers, the Registry also has mecha-

nisms in place to allow any producer to

submit data. As well, the Registry would

enable industry to generate reports for

their own use, and the reduction in data

errors will benefit both producers and

the province. u

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Page 22: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201222

The growth of the oil industry in Southwest Manitoba is phe-nomenal. While it has been in

existence in our communities for more than 60 years, the expansion of the last five years has been tremendous. In fact, since drilling was able to safely resume after the receding f lood of 2011, the ac-tivity in Arthur-Virden is the greatest in Manitoba’s history. In 2011, Manitoba received $8.3 Million in oil royalties with greater benefits from the overall exploration investments and taxation of profiting individuals and corporations. While our agriculture industry recov-ers from the devastation of the worst

overland and river f looding in the Southwest’s history, the growth of the petroleum industry has provided em-ployment and security, firstly for many of our local families, and now, for sever-al new families and individuals—main-ly young people—who are moving to our region to fill the labor void created by this growth. The spin-offs locally have spurred small businesses to stabilize and others to grasp an opportunity for investment in our community—from Boissevain to Birtle and everywhere in between. Ac-commodations in the form of hotels are being built and new housing develop-

ment is taking place at a rapid pace in Arthur-Virden. The industry is also creating a boost for our recreational facilities, in terms of both increased activity and improve-ment. Some of our facilities are being completely rebuilt or replaced with much appreciated support from com-panies in the oil industry. Many fire departments are also being supported by industry with improvements and up-grades to their equipment, which ben-efits the whole region. Benefits can also be seen in the sta-bilization of our school population, the growing needs of our health care

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Page 23: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 23

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facilities and stable jobs. There is also a demonstrated need for upgrades to our infrastructure, provincially and munici-pally. Companies have indicated their oil exploration investment will be in the billions over the next ten years, which provides for solid and longer term planning for our municipalities and businesses. New technology in drilling and extraction, along with Enbridge’s major pipeline upgrades and facilities expansion at Cromer have spurred this

“boom”, if I may cautiously use this term (keeping production in perspec-tive – Manitoba produces about 40,000 barrels per day vs. over 2.2 million/day in Alberta). Since December 2010, the province can’t keep up with requests for land use designations and permit applications to fulfill these growing needs. We need the provincial government to play a stronger role in the development of this industry while listening to the needs of the local landowners. Removing red

tape and barriers would help this in-dustry and others f lourish throughout our province. This vital oil and gas in-dustry is supporting the province in many ways. Now, in turn, the province needs to do its part by committing to infrastructure development. Road and bridge repairs are needed for continued growth in Arthur-Virden. It’s time the province stepped up to the plate and worked together with industry to en-sure ongoing expansion and a vibrant tomorrow for all Manitobans. u

MaGuIRE

Page 24: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201224

Life has been very exciting in and around Virden in the

last few years. When I look at Virden Town Council’s

Vision Statement from 2008, I see that we have been

working hard toward attaining the goals of recreation, culture

and maintaining heritage. Our new multi-purpose recreation

facility is proving its worth by hosting large banquet func-

tions, rodeo, concerts and regional/provincial sporting events.

You definitely need to see this building. The historic Aud The-

ater just celebrated its 100th birthday and has undergone a

significant makeover to highlight its beauty and heritage.

The oil industry has never been busier, and the oil-related

businesses are expanding all the time. The agriculture and oil

sectors contribute to the need for our many retail and service

businesses. New businesses have sprouted on the highway and

in the downtown core, and we are ready to welcome more.

Whether you are visiting or looking to stay for a while, we

think you will find Virden’s quality of life is second to none.

On behalf of the council, staff and people of Virden and

area, we hope you find exactly what you are looking for in

Virden, where we have a proud heritage and strong future! u

Message fromJEFF McCONNELLMayor of VirdenHello from Virden, Manitoba’s Oil Capital!

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Page 25: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 25

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Page 26: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201226

The Town of Virden is located on the Trans-Canada Highway and on the mainline of the Canadian

Pacific Railway. While originally estab-

lished in 1882 as a railway and agricul-

tural service center, with the discovery of

oil in the 1950s, Virden became known

as Manitoba’s Oil Capital.

Today Virden is a rapidly growing

community of over 3,100 people, serving

a market area in excess of 10,000 people.

It is the largest community in western

Manitoba and provides a full range of

financial, retail, education and health

services. The community’s economy is

based on oilfield development and ser-

vicing, agriculture, chemical manufac-

turing, transportation and IT develop-

ment.

The community has seen significant

and ongoing growth in the last five years.

Building permit values are, on average,

increasing. Recent growth includes new

businesses in areas such as fast food, mo-

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Today Virden is a rapidly growing community of over 3,100 people, serving a market area in excess of 10,000 people.

vIRDEn

Page 27: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 27

We cover Liabilities & Property/Equipmentfor Oilfield related exposures such as:

• Service Companies • Construction Companies• Oil Production Companies • Maintenance

• Contract Operators• Oilfield Welders • Oilfield Consultants

Virden Head Office204-748-3944

Reston 204-877-3541

Oak Lake204-855-2314

Brandon204-728-4100

Lee’s Service CentreFor all your farm parts & equipment needsManager/Sales: Jim LeeBox 187Pierson MB R0M 1S0

Ph (204) 634-2293 | Fax (204) 634-2466email [email protected]

MidwesternRedi-Mix (1980)

VIRDEN(204) 748-1592

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45 Years of Service

tel accommodations, oil industry, senior

housing, professional services and trades.

New housing starts in two new subdivi-

sions along with condominium develop-

ments and life lease unit developments

have contributed significantly to the

community’s housing market in the last

two to three years. In 2011, the comple-

tion of a 40-unit senior housing complex

helped reduce the housing pressure in

that market segment. As predicted, it has

not resolved the concern.

The real estate market has remained

strong, guaranteeing residential housing

and business equity. While the existing

rental market is extremely tight, studies

are being undertaken to assess and iden-

tify the market demand, thereby support-

ing the construction of new rental accom-

modations. The largest demand in the

rental market appears to be for multiple

independent living units, such as side-by-

side units, which are more affordable and

suitable for young families.

The Trans-Canada Highway area re-

mains the fastest growing commercial

corridor and this is expected to continue

for the foreseeable future. But in 2012,

significant growth is starting to be seen

in the industrial and commercial sectors

in other areas, primarily due to resource

extraction activity.

Virden is continuing to upgrade the

community’s infrastructure. A new water

treatment plant was put on line in 2010

and has significant available capacity,

which will accommodate Virden’s growth

for the foreseeable future. In addition, the

community has further expanded water

and sewer services to the commercial cor-

ridor along the Trans-Canada Highway.

Further projected growth in the indus-

trial areas has begun and is anticipated to

continue through the coming years.

Anticipating the community’s cur-

rent requirements and future growth

demands, a study has been completed to

assess the various options to increase the

The Trans-Canada Highway area remains the fastest growing commercial corridor and this is expected to continue for the foreseeable future.

vIRDEn

Page 28: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201228

capacity of the community’s wastewater

treatment facility. The study was undertak-

en with the understanding that future in-

creasing regulatory requirements will dic-

tate the need for a flexible and expandable

system in order to meet continuing new

standards. As with the water treatment

plant expansion, capability for future

growth will be a primary deciding factor

and position the community for expanded

commercial and industrial growth.

In the summer of 2011, the community

opened its multi-use recreation facility.

The facility incorporates a 1,200 seat ice

arena with a walking track, fitness facil-

ity, a community hall and is attached to

the existing swimming pool. The unique

energy use system allows for total climate

control of all areas, through out the year.

Virden has seen significant growth

due to the resource extraction sector and

is committed to long-term planning to

build a secure and sustainable future for

all sectors. u

vIRDEn

Virden has seen significant growth due to the resource extraction sector and is committed to long-term planning to build a secure and sustainable future for all sectors.

Please support

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Page 29: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 29

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Page 30: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201230

Brandon is ideally located in

southwest Manitoba as a centre

for servicing Manitoba’s oil and

gas industry. It benefits from many posi-

tive locational factors, including:

•Excellent transportation infrastructure

for both east-west and north-south

movement of raw materials in and fin-

ished product out including trucking/

logistics companies, the Trans-Canada

Highway, both national railways and ex-

cellent regional trunk highways;

•Amplesuppliesofveryaffordableelec-

tricity, natural gas, water and other in-

puts;

•Amplewastewatertreatmentcapacity;

•Areliableskilledandsemi-skilledwork-

force.

Trican Well Service Ltd., a Calgary-

based pressure pumping company with

operations on four continents, will be

opening a regional base in Brandon in

spring 2012. Trican indicated setting up

an office in Brandon made sense due to

the increased oil extraction that is occur-

ring in the eastern portion of Manitoba’s

oil patch. Proximity to the oil field activ-

ity is important to Trican and a natural

advantage for Brandon.

From its inception, Brandon was – and

today remains – the education, health, re-

tail, service and entertainment centre for

the southwest Manitoba region’s 180,000

inhabitants and an important contribu-

tor to the Manitoba economy. Brandon’s

diverse economic base has enabled the

city to carve out a long-standing repu-

tation as a city that offers both a stable

economy and room and opportunity for

businesses to compete profitably in the

global marketplace.

BraNdON –Diversity and Opportunity

By Sandy Trudel, Director of Economic Development, City of Brandon

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Page 31: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 31

As Manitoba’s second largest city and the only Canadian city

with a population less than 50,000 with a university, commu-

nity college and an emergency services college, Brandon boasts

amenities, services, and educational and employment oppor-

tunities generally found in much larger centres. Not only does

Brandon offer close proximity to oil patch activity; it provides

the quality of life elements that ensure a stable and content

labour force.

Located in the southwest corner of Manitoba, Brandon is

a short drive from Manitoba’s abundant natural landscapes,

wildlife, rivers, lakes, parks and forests. It’s near some of Can-

ada’s most amazing natural attractions, including the Spirit

Sands, a prairie desert phenomenon, and the spectacular Rid-

ing Mountain National Park. Brandon is located at the junc-

tion of major highways and rail services providing access to

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Page 32: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201232

Conveniently located

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United States. Brandon lies 197 kilome-

tres west of Winnipeg and Manitoba’s

international airport, 121 kilometres east

of the Saskatchewan border and 100 kilo-

metres north of the United States border.

A low crime rate, affordable housing,

educational excellence, and abundant

recreation and cultural opportunities

create an enviable quality of life for our

residents. Money Sense© magazine has

ranked Brandon #7 as one of the best

places to live in Canada and #1 in Western

Canada the past two years. Recent rank-

ings from Western Investors as one of the

top 10 western Canada communities for

investors, and the Canadian Federation

of Independent Business and Financial

Post’s positioning Brandon as 37th out of

100 top Entrepreneurial Cities, confirm

Brandon offers two key business success

factors: positive business climate and

quality of life for its residents.

As a medical referral centre for South-

western Manitoba, the medical services

available in Brandon are extensive. For

non-teaching hospitals in Manitoba,

Brandon Regional Health Centre offers

the widest range of specialized services.

There are over 100 physicians and special-

ists with admitting privileges at the health

centre and several large family practice

medical clinics and smaller clinics offer-

ing walk-in service located throughout

the city.

Brandon’s colleges and university at-

tract faculty and students from around

the globe by offering one-of-a-kind educa-

tion opportunities such as Applied Disas-

ter and Emergency Studies, Wind Turbine

Specialization, Emergency Response Pro-

grams and Brandon University’s highly

acclaimed Conservatory of Music.

Brandon is a sports-oriented city full of

top-notch recreation facilities: multiple

golf courses, skiing, soccer, equestrian

sports and everything in between. Bran-

don’s many indoor fitness centres offer a

full range of services and equipment, as

well as personalized trainers. Several rac-

quet ball and squash courts, an outdoor

running track and numerous indoor and

outdoor swimming pools, including a

waterslide and an Olympic-sized pool,

are readily available in the city. For those

who are a little more adventurous, there

are a variety of other challenging recre-

ational opportunities offered in Brandon:

pilot lessons, parachute jumping and rock

climbing walls, to name a few.

With the Assiniboine River winding 17

kilometres through the heart of Brandon

and 40 kilometres of paved walking and

hiking trails, the city is an oasis for out-

The city is home to diverse art and cultural offerings, featuring visual exhibits, drama and musical performances in a variety of genres. A diverse offering of concerts and performances are available at the Western Manitoba Centennial Auditorium.

Water activities along the Assiniboine River.

BOX 985, CARLYLE, SK S0C 0R0TEL : (306) 453-6410

FAX : (306) [email protected]

RELIABLE METALBUILDINGS LTD.

www.reliablemetalbuildings.com

RMBR

Page 33: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 33

BRanDon

From left to right: Enjoying a Brandon Wheat Kings game; Clancy’s Eatery & Drinkery, Downtown Brandon; and Great Western Roadhouse.

door enthusiasts. Hiking and cycling are

extremely popular in Brandon and the

nearby Brandon Hills. The city offers a

nice mix of man-made and natural scenic

trails perfect for walking, hiking, biking,

rollerblading, horseback riding, skiing

and snowshoeing.

The city is home to diverse art and cul-

tural offerings, featuring visual exhibits,

drama and musical performances in a va-

riety of genres. A diverse offering of con-

certs and performances are available at

the Western Manitoba Centennial Audi-

torium. The Art Gallery of Southwestern

Manitoba features national and interna-

tional exhibitions and works by regional

artists and is home to a comprehensive

art school facility. Their ceramic facility is

unmatched by any art gallery in Canada,

with many people using the ceramic facil-

ity as a studio for their own hobby or art

practice.

At the end of the day, one of Brandon’s

greatest assets is the balance between

profit and personal reward. Additional

information on Brandon can be found

at www.economicdevelopmentbrandon.

com or www.tourism.brandon.com u

Free Deluxe Hot Breakfast • Salt Water Pool / Hot TubExercise Room • Pillow-Top Mattresses • Flat Screen TVs

www.days-inn-brandon.com

1-888-213-2192(204) 727-3600 • 2130 Currie Blvd.

TRUCKING SERVICE LTD.

~ OIL FIELD TRUCKING ~

P.O. Box 700Carnduff, Saskatchewan S0C 0S0

Tel: (306) 482-3244

SHOAL LAKE, MB

Ph: 1-204-759-2547 • Fax: 1-204-759-2915 Email: [email protected]

Web: steelartsilhouettes.selfip.com

Certified Machining & Welding Custom Plasma Cutting Mobile Welding

Custom Steel Art

Page 34: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201234

The Village of Waskada is located

at the junction of PTH 251 & 452.

We are in the south-west corner

of MB, six and a half miles north of the

international boundary and 25 miles east

of the Saskatchewan boundary. Waskada

is in the Rural Municipality of Brenda,

which also includes the communities of

Goodlands, Medora and Napinka. Waska-

da is the tiniest incorporated municipality

in Manitoba and became incorporated in

1949.

Waskada has a population of just under

200 friendly people. This area has been

a progressive farming district for many

years. Many families have benefitted from

this way of life. The oil boom has caused

many changes in the village in the last

few years. Highways are busy, houses have

been rented and businesses are full of ac-

tivity.

The citizens of Waskada are very in-

volved in their community and show

great community spirit and pride. Was-

kada is a safe and friendly community

and welcomes new people to their com-

munity.

Community Highlights

•Moderneducationalfacilities(K-12

School) - “Striving for Excellence”

•Newdaycarefacilities

•Publiclibrary

•Indoorarena

•Curlingrink

•Golfcourse

•MallintheHall

•Farmers’market

•Specialeventsthroughouttheyear

Services and Amenities

Waskada is well-equipped to serve the

many needs of its residents. All of these

services are open regular hours and will

do their utmost to fulfill your requests.

•Postoffice

•Groceries

•Oilfieldsupplies

•Giftware

•Financialinstitution

•Hotelandrestaurant

•Insurance

•Churches

•Library

•Fitnesscentre

•Grocerystore

•Hairsalons

•Seniorcentreandoutreachservices

•INetLink,regionalcable&MTS,

including high-speed Internet

•Modernwaterandsewerfacilities

•Communitywell

•Recyclingdepot

•Carwash

•Veterinarian

Education

Waskada provides educational oppor-

tunities to all school-aged children. There

are 96 students in K-12, with eight dedi-

cated teachers who foster the following

principles:

•Fosteringopportunitiesforall

•Everyonestrivingforpersonalexcel-

lence

•Viewingeducationasalife-longprocess

•Involvingstudents,parents,teachers,

support staff, seniors, business, and in-

dustry in the education of our children

Options such as web-based courses, in-

dependent studies and IITV are offered

to fulfill the Manitoba curriculum. Extra-

curricular events such as volleyball, bad-

minton, basketball and drama are offered

to the students.

Within the school building is a brand

new daycare centre that caters to clientele

from a wide rural area. The staff is very

Welcome to

WaSKada

WaSkaDa

Experience, leadership, performance.

CanElson Drilling Inc.Suite 700, 808 - 4th Avenue SW, Calgary, AB, Canada T2P 3E8

Phone 403.266.3922 Fax 403.266.3968

www.CanElsonDrilling.com TSX: CDI

Operations offices: Nisku Alberta Carlyle Saskatchewan Midland Texas Mohall North Dakota

Page 35: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 35

caring and provide an essential service

to the community. Nursery School is

also an option through the daycare facil-

ity.

The community benefits from a pub-

lic library located within the school.

Tourism and Culture

Our small community offers a vari-

ety of activities for your leisure time.

Whether it’s an indoor or outdoor ac-

tivity, there are many choices available.

Hunting in the fall, curling, hockey and

snowmobiling in the winter and golf

in the summer keep the residents busy

throughout the year.

•Golfcourse(6-hole)

•Campground

•WaskadaMemorialPark

•Fishingandhunting

Expanded new shop at

116 Supreme Street

Lyle Grube • Burt Blondeau

Offi ce: 306-634-6325 - 24 hour service

Sales• New & Remanufactured Wellhead Equipment & Valves

Services• Wellhead & Frac Tree Installations

Rentals• Frac Trees, 3”, 4” & 5”, 10,000#• Gate Valves, 2”, 3”, 4”, 5” & 7”, 2,000# - 10,000#• Miscellaneous wellhead equipment

WaSkaDa

Page 36: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201236

•Historicsites

•WaskadaMuseumandBlacksmithShop

•BottineauWinterPark(SkiHill)35min-

utes away

•LakeStanley25kilometresfromWaskada

•Groomedsnowmobiletrails

Economic Activity

The Waskada area has welcomed the oil

boom in the past couple of years, and nu-

merous oil companies are working in the

area. Many new wells have been drilled,

with plans for many more to come. There

have been new buildings constructed be-

cause of the presence of oil, and housing is

in high demand, with very few vacancies in

the area. The village maintains a progres-

sive attitude and has created a new subdivi-

sion. Many opportunities are available for

investment in the community.

Driving Time From the Village of Was-

kada and Area:

Deloraine, MB - 20 minutes

Melita, MB - 20 minutes

Brandon, MB - 1 hour, 30 minutes

Winnipeg, MB - 3 hours, 15 minutes

Bottineau, ND - 35 minutes

Regina, SK - 4 hours

Minot, ND - 1 hour, 30 minutes

For more information about relocation or busi-

ness development in Waskada, please contact

the RM Office at 204-673-2401 or email

[email protected]. u

WaSkaDa

V a n c o u V e r • e d m o n t o n • c a l g a r y • S a S k a t o o n • W i n n i p e g

Wire and cable Specialists Since 1978

Texcan offers specialized cables that are designed to withstand the harsh environments oil and gas companies operate in. We provide:

Extensive Stock •Cable Management•Technical Assistance•24/7 Emergency Shipping •State-of-the-Art Distribution•

Contact us to speak with a wire and cable expert. 1.800.665.2491 (toll free)

[email protected]

#2 - 130 Omands Creek Blvd Winnipeg, MB R2R 1V7T: 204.982.9290F: 204.661.8459www.texcan.com

Page 37: Manitoba Oil and Gas Review

in Saskatchewan and Manitoba

Page 38: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201238

Overview

Deloraine proves that the essence of

prairie life and modern living can be

combined to produce a community for

the sustainable future.

Located at the heart of Manitoba’s

southwest corner, Deloraine, in the RM

of Winchester, is a vibrant, safe, family-

orientated rural community nestled at

the foot of the Turtle Mountains. With

population of 1,500 people, its pictur-

esque small-town charm is only enhanced

by the open spaces, natural beauty and

unlimited recreational options offered

by the surrounding countryside. Only

70 miles – about one hour – from Bran-

don, the region’s core urban centre, and

15 minutes from the Canada-U.S. Border,

Deloraine offers a central location to a

variety of business opportunities, both

regional and international.

Community pride is showcased with its

“Flags of the World” signature attraction.

Spread throughout the community, the

f lags – which represent the entire world’s

countries – were raised in celebration of

the millennium and are an excellent sym-

bolic icon of Deloraine’s diverse cultural

heritage.

Deloraine and area is proud to offer

one of the most varied and affordable

residential housing options in the region.

Whether it is a peaceful, idyllic lakeshore

cottage, the wide-open space that acreage

offers or modern condo living, Deloraine

has it all.

Community Highlights

Deloraine strives to meet all its resi-

dents’ needs – and more.

– Region-leading health care

– Local government committed to sus-

tainability

– Modern and competitive educational

facilities

– Unique shopping experiences

– Affordable housing options

– Comprehensive recreation facilities:

•Skatingarena

•Curlingrink

•Outdoorswimmingpool

•Golfcourse

•Recreationsparksandgreenareas

•Racingtrack

•Movietheatre

Education

The Deloraine School addition was

completed in 2006, and as one of Mani-

toba’s most modern education facilities,

it provides a healthy and safe learning

environment. The school offers classes

for students from kindergarten to Grade

12. This facility has small student-driven

classes with a wide assortment of pro-

grams to produce a comprehensive and

dELOraINE –Capture Your Lifetime DreamsThrough Our Opportunities

By Shirley Bell, Economic Development Officer, Deloraine Community Development Corporation

DELoRaInE

PIERSON WELDING LTD.Pierson, Manitoba

General & Oilfi eld Mobile WeldingQ.C. & Licensed Welding Procedures

Barry & Ryan Wilson

204-634-2240 Shop204-634-2545 Fax

129 Broadway Street NorthBox 387Deloraine, MB R0M 0M0

Ph: (204) 747-2572 Fax: (204) 747-2883 E-mail: [email protected]

RURAL MUNICIPALITYof Winchester

Page 39: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 39

progressive school curriculum for all.

It also offers a wide variety of extracur-

ricular activities and programs, includ-

ing music, drama, choir, chess and art.

It also accommodates a variety of sports

programs that include soccer, volleyball,

basketball, hockey and badminton, to

name a few. Deloraine School continues

to produce some of the region’s highest

academic results with the large major-

ity of graduating students continuing to

third-level education.

Providing Educational Opportunities

for Everyone

WEE R SPECIAL Nursery School, lo-

cated within the kindergarten suite at

Deloraine School, provides pre-school

education for children three to four years

old. Campus and Prairie Skills Inc. offers

continuing education. By taking advan-

tage of technology such as the Internet,

university/college courses are available

within the comfort of rural communities.

Services and Amenities

Our excellent healthcare services boast

all the amenities expected in larger ur-

ban centres, ranging from family clinics

to emergency services, including acute

care. With the addition of a Community

Cancer Care Program, which provides

regional chemotherapy treatment, De-

loraine has developed into the region’s

leading healthcare provider. Extended

services are also provided in the personal

care home and lodges.

Deloraine’s business community pro-

vides essential services and more to the

regional residents. Although it retains

an agricultural focus, hardware, lumber

supplies, financial institutions, insurance

agents, financial planning services, to

name a few – combined with a thriving

trades sector – ensure that our economy

remains one of the strongest and diversi-

fied in the area. Deloraine’s small-town

market area offers a special shopping

experience and includes several regional

leaders with modern facilities and prod-

ucts, while still offering its signature: a

small-town charm and individual cus-

tomer care.

The community’s most distinctive

amenity is its rural paved airport – one

of the few located in Manitoba – with

the capacity for recreational use, as well

as larger commercial and medical emer-

gency aircraft.

Recreation, Tourism and Culture

Deloraine’s modern, diverse recre-

ational facilities provide programming

for all. The arena is the proud home to

the Deloraine Royals Hockey Club. It is

also the base of a strong competitive fig-

ure skating club and, of course, becomes

the hub of the community during the

winter months. A rare recreation com-

modity within the Prairies – Bottineau

Winter Park, only 20 minutes away – pro-

vides a winter outlet for downhill skiers

and snowboard enthusiasts alike. In ad-

dition, baseball, a swimming pool, 4-H

club, dance, music and art programs, a

rif le club, snowmobiling, curling, horse-

manship, youth groups and other pro-

gramming opportunities are available for

everyone.

Lake Metigoshe

DiscoverDeloraine

A destination for everyone!

A place for all seasons

Flying the Flags of the WorldFor more information contact: Deloraine/ Winchester Tourism

(204) 747-3668 www.deloraine.org [email protected]

DELoRaInE

Page 40: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201240

Added to this are community library

services and a year-round movie theatre

that doubles as a cultural showcase for

festivals, concerts and much more. Delo-

raine is a place where you will never get

bored.

The tourism and leisure markets have-

become the region’s fastest growing econ-

omies over the last number of years. Of-

fering continuous four-season activities

such as hunting, fishing and bird watch-

ing, along with numerous recreation

trails, the opportunities to enjoy our

unique rural landscape are endless. Lakes

provide many water sport activities, in-

cluding boating, water skiing and tubing,

jet skiing, canoeing and swimming.

Located just 15 minutes from the Can-

ada-U.S. Border, Lake Metigoshe is a rec-

reation wonderland equipped for all sea-

sons. With recent developments, the lake

has become more than just a relaxing

summer cottage destination; it’s a year-

round rural community. In summer, as

the population swells, this poplar destina-

tion for local residents and visitors alike

offers a vast array of water sports and lake

activities. During the winter months, the

focus turns to snowmobiling, ice fishing

and cross-country skiing.

Economic Activities

Agricultural businesses and services

remain the cornerstone of Deloraine’s

economy. The combination of local en-

terprising, innovative individuals, rich

natural resources and strong infrastruc-

ture has resulted in an economy with

varied diversification and many value-

added opportunities. The recent natural

resource exploration and development

adds yet another dimension to our grow-

ing local economy.

The Town of Deloraine and RM of Win-

chester, through the Deloraine Com-

munity Development Corporation, have

committed long-term resources to cre-

ating and attracting new industries to

southwest Manitoba, with a goal of pro-

actively developing Deloraine as a lead-

ing sustainable community.

By offering all the resources, services

and amenities of a larger centre – yet pro-

viding the peace, quiet, security and sense

of community for which rural Manitoba

has become famous – Deloraine can be

the place you call home.

Capture your dreams! u

DELoRaInE

Jim Harper 204-305-0990 Randy Harper 204-305 -0291 Office 204-748-3312 email: [email protected]

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By offering all the resources, services and amenities of a larger centre – yet providing the peace, quiet, security and sense of community for which rural Manitoba has become famous – Deloraine can be the place you call home.

Page 41: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 41

Welcome to Melita, where end-less opportunities are waiting for you and your family! You

can experience, wide open spaces, rolling crops, fresh air and friendly people. With a population of over 1,000, Melita offers an extraordinary assortment of ser-vices, employment opportunities, educa-tional programs, recreation, tourism and cultural experiences. Melita is located at the junction of Highways 3 and 83, southwest of Bran-don. The USA border is only 33 kilome-tres south. From Melita and area (kilometres) Brandon, MB – 134 Winnipeg, MB – 341 Regina, SK – 345 Minot, ND, USA – 139

Community Highlights

•EducationalFacilities•HospitalandClinic•IndoorandOutdoorAreas•CurlingRink•GolfCourse•NewOutdoorPool•NewWaterTreatmentPlantandwater

source

•EventsandActivities•RecreationalProgramming•NewCommercialLotsAvailable•ShoppingandEntertainment•AffordableHousingandRental

Properties All the services of a large center, in a safe friendly family environment! Economic Activity

Our area is a modern, progressive cen-tre in an area producing grain, livestock and resource extraction. Tourism and rec-reation, health and education play an ever increasing role in the community. The Town of Melita and surrounding rural municipalities are aggressively promoting the community as an alternative location for industry in Manitoba. Our area provides business and indus-try with the strategic location they will need to stay competitive and prosperous. Our residential area is booming with newly built single-family dwellings and developments of multi-family lodging. Vacant lots are scarce, but the local Eco-nomic Development Corporation is actively sourcing developers for three potential residential developments. The

local housing market is currently very

active and strong. The newly developed

commercial area is currently at capacity.

In recent months, new locations have

been earmarked for commercial and resi-

dential development. The community has

a dire need for accommodations as the oil

sector saturates our community. The EDC

is currently working on attracting an ac-

commodation facility as well as making

much-needed upgrades to our commu-

nity campground.

Education

Melita provides educational opportu-

nities for all school-aged children. Melita

School has classes for children in kinder-

garten up to grade 12. This facility offers a

wide assortment of programs that are part

of the school curriculum, as well as a va-

riety of extracurricular activities and pro-

grams, such as music and sports. In order

to prepare younger children for school,

Melita manages a nursery school pro-

gram for three- and four-year olds. This

program is conveniently located within

the Melita School.

MELIta

EndlessOpportunities

Page 42: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201242

Services & Amenities

Melita has a hospital with a personal

care unit adjacent, presently staffed by

full-time physicians. The health complex

also provides space for community health,

public health, mental health, meals on

wheels and congregate meals. The Melita

Clinic is adjacent to the hospital. You will

also find alternative health care within

the community, such as a chiropractor,

massage therapy and a pharmacy.

Melita offers all the services your fam-

ily will be looking for in a new commu-

nity and everything your lifestyle needs. A

few services offered are:

•Groceries

•OilfeldSupplies

•Furniture

•Householditems

•Hardware

•Giftware

•FinancialInstitutions

•Accountants

•Automobilecare:Dealership,autobody,

tires, mechanical, parts

•Restaurants

•Electronics

•NewsandPrinting

•Insurance

•Realestateagencies

•Bakery

•Churches

•Library

•ConvenienceStore

•Clothing

•HairSalons

•Hotel/Motel

Recreation Tourism and Culture

Melita is the hot spot for summer! Ev-

erything is available right here – you and

your family don’t need to leave the com-

munity to take part in the best summer

activities for Southwest Manitoba.

•OutdoorSwimmingPool

•9-holeGolfCourse

•BaseballDiamonds

•Campground

•Fishing&Hunting

•Playgrounds

•ParksandWalkingTrails

•HistoricSites

•Museums

•BirdWatching

As the weather turns to snow and ice,

the community of Melita turns into a

winter extravaganza. There is always

something to do for families on a cold

winter night. The arena fills with laughing

children and cheering parents. The local

bowling alley is thunderous with birthday

parties, leagues and tournaments.

•IndoorArena

•OutdoorArena

•CurlingClub

•BowlingAlley

•IceFishing

•Snowmobiling

•Cross-CountrySkiing

All the services and amenities your lifestyle needs!

Brown Accounting & InvestmentsCircle M Furniture Ltd.Delmar’s Hardware Ltd. - RonaMcMechan Plumbing & HeatingNot Just JoeSouris Valley Processors

Southwest ChevroletStewarts Lumber & SupplySuper Thrifty PharmacyTown Tire & AutoValley Collision

Melita & District Chamber of Commerce welcomes you to Melita.

Where endless opportunities are waiting for you and your family!

www.melitamb.ca

PO Box 910, Virden MB, R0M 2C0P 306-577-7606 F 204-748-2468E [email protected]

www.enbridge.com

RON ROSSOWSupervisor Alida/Virden Areas

Enbridge Pipelines(Virden) Inc.

• OILFIELD ELECTRICAL

• INSTRUMENTATION

• AUTOMATION

• SCADA

Chris Jebb

Phone: (204) 845-2315

Fax: (204) 845-2028

Cell: (204) 748-5847

Email: [email protected]

R.T. Jebb Electric

MELIta

Page 43: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 43

Throughout the year our local rec-reation director and other community groups are organizing activities and events for everyone!•Concerts•CommunityDrama•Karate•DanceClasses•Computercourse

•SwimmingLessons•SkatingLessons•HockeyClinics•FitnessCenter•MovieTheatre•IndoorWalking•HealthandWellnessclinics•PancakeBreakfasts•FallSuppers

For more information about relocation or business developments in Melita, please contact:Economic Development Officeat (204) 522-2490 or e-mail: [email protected] Town of Melita at (204) 522-3413or e-mail: [email protected]. u

MELIta

Everything is available right here –

you and your family don’t need to

leave the community to take part

in the best summer activities for

Southwest Manitoba.

P.O. Box 58 • Pierson, MB • R0M 1S0

scott Dalziel – Wellsite SupervisorCell: (204) 522-0075 • Fax: (204) 634-2481

[email protected]

Completions, Workovers, Repairs & Construction

Production Testing / Frac FlowbackDALE

306-861-3635

Page 44: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201244

The RM of Birtle’s first experi-

ence with oil production came

in the mid 1990s. Approximate-

ly 27 vertical wells were drilled, a bat-

tery was created and oil tankers were

BIrTLEScenery, Serenity and Safety

BIRtLE

Norbert’sTHE LEADER IN

Custom Enclosed,Flatdeck &

Utility Trailersfor the Oilfield Industry

Norbert’s Mfg. - Glenboro, MBPhone: (204) 827-2015

www.Norberts.com

The Complete Line of Norbert’s Trailers are ondisplay and available at Freightliner Manitoba

Brandon • 1-800-440-3522

For informationregarding Doghouse &Boiler Trailers, please

call factory direct

seen on our roads. Not much changed un-

til 2010, when Tundra Gas & Oil started

drilling horizontal oil wells. The intent by

fall of 2011 is to have roughly 18 horizon-

tal wells producing and the creation of a

new battery. The 18 wells are located in

the southwest corner of the RM Birtle and

south east of RM of Ellice. There will be

some new roads built and other roads will

need upgrading. Local residents will no

doubt see far more traffic than in the past.

Due to the level of activity, there prom-

ises to be new job opportunities available

here. Birtle now has the potential to be

the next hot spot in Manitoba for oil pro-

duction, and the community is hoping to

attract service industries for the oil sector.

Extremely reasonable housing prices

in a beautiful location is one of the many

reasons to make Birtle your home. It is

located on Highway 42 & 83, 322 kilome-

tres west of Winnipeg and 150 kilometres

northwest of Brandon, near the Saskatch-

ewan border.

This scenic valley community with its

beautiful rolling landscapes beckons you

to stay and make Birtle more than just a

place to visit. Please call 1-204-842-3602 or

visit us on the web at www.birtle.ca.

Come to Birtle and enjoy scenery,

serenity and safety. u

This scenic valley

community with its

beautiful rolling landscapes

beckons you to stay and

make Birtle more than just

a place to visit.

Page 45: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 45

Surge Energy Inc. (TSX:SGY) first entered into southwest Manitoba during the summer of 2010 via an acquisition of a private oil and gas company with assets in Waskada

and surrounding areas (Pierson, Goodlands). The acquisition

positioned Surge in the Spearfish (Amaranth) light oil resource

play, where it estimated a gross DPIIP (Discovered Petroleum

Initially In Place) of more than 77 million barrels of light oil

with less than one per cent recovered at that time.

Subsequent to the initial acquisition, Surge has continued to

expand its foothold in the area by acquiring adjacent prospective

Spearfish lands via crown land sales in Wasakda and by acquir-

ing a larger asset south of the border in North Dakota. Surge

now controls more than 202 million barrels of internally esti-

mated gross DPIIP and a drilling inventory of more than 325

gross/230 net horizontal multi-fracing oil well locations in the

area.

Surge has invested in Waskada since 2010 by drilling and com-

pleting new wells, building facilities and infrastructure and ac-

quiring additional land. To date, Surge has successfully drilled a

total of 21 gross/21 net horizontal multi-frac wells at Waskada.

The company is encouraged by results achieved to date and plans

to drill an additional 12 gross (12 net) horizontal multi-frac wells

at Waskada in 2012. Surge also plans to initiate a waterflood pi-

lot in Waskada sometime in 2013 to further enhance oil recovery

and to continue to add to its reserves.

In addition to drilling operations, the company completed

construction of a new oil treating facility and a 4.5-kilometre

emulsion-gathering pipeline at Waskada in the fourth quarter of

2011. These facilities are forecasted to decrease operating costs in

the area by approximately 30-40 per cent.

Surge currently employs two full-time operators from Waska-

da and Melita and will continue to add qualified local residents

to its operations staff. Surge strongly believes in supporting the

local communities it operates in and looks forward to continued

success and growth in the area in 2012 and beyond.

Surge is an oil-focused oil and gas company with operations

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Page 46: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201246

Location The Town of Boissevain and the Rural Municipality of Morton have a combined population of approximately 2,500 resi-dents. Located 45 minutes south of Bran-don on Highway 10 – just minutes north of the US Border, with a 24 hour Port of Entry – Boissevain is just east of De-loraine, nestled in the Turtle Mountain region, near Turtle Mountain Provincial Park, the Bakken oil field and the Inter-national Peace Garden.

Community Amenities Our well-equipped hospital is serviced by two full-time doctors and can handle all your medical requirements. We are part of the Assiniboine Regional Health Authority.

The residential housing market in Bois-sevain is a stable mixture of older and newer homes. We offer a wide range of housing options, newer and older homes, rental properties, as well as our new Cro-cus Hill Estate. A new residential area has been constructed and is waiting for you to build your new home. Boissevain is a full-service community, with all your basis needs available. From purchasing your groceries, furniture, clothing, household needs, it is all here! We have seven different churches to meet your spiritual needs. Social activities such as indoor walk-ing, pool, darts, baseball, bowling and hockey bring the community together, to grow and promote healthy living. Parks, fishing, camping, skiing, skating, and to-bogganing are just some of the activities that can be enjoyed in the area.

Economic Activity Western Archrib, providers of laminate beams, and Goodon Industries, providers of pole constructed buildings, are Bois-sevain’s two major manufacturing busi-nesses, serving international clients and providing employment opportunities. Other opportunities include Prairie Part-ners, Miller Equipment, Turtle Mountain School Division, the local hospital, and our retail and service sector. We have an industrial park ready for your business idea, whether it’s manufacturing, servic-ing the oil fields, or whatever you can imagine.

Education For the family, there are many child care and educational options, including day care, kindergarten, pre-school, pri-mary and middle grades and senior high. Our adult learning centre offers uni-versity and college programs, as well as English as a Second Language. Our local

school offers many extracurricular activi-ties such as drama, music and sports. You can check out our local school division at www.tmsd.mb.ca. Presently we have plans to build a new library with a the-atre – for live performances and movies – as well as a cultural centre.

Community Highlights Incorporated as a town in 1906, Bois-sevain is rich in history and culture. Our community is named after Adolphe Bois-sevain, who assisted in bringing the rail-way to the region to expand and expedite development. Our community motto is “No fear of the future nor regrets of the past.” Our community is proud to host four museums: the Moncur Gallery (prehis-tory), Beckoning Hills Museum (prairie pioneer), Chokecherry Junction (railway collection) and the Irvin Goodon Inter-national Wildlife Museum (over 4,000 square feet of exhibits). We host over 20 murals in our outdoor gallery, which can be toured by walking, driving or a horse-drawn wagon tour. We are a Community in Bloom – we hope that you will enjoy our f lowers and parks throughout the community! Boissevain invites you to come and vis-it – call ahead and we’ll give you a guided tour! Start planning your visit now. Call 204-534-6303, email [email protected]

or visit www.boissevain.ca. u

BOISSEVaIN –Embracing the Future

BoISSEvaIn

Page 47: Manitoba Oil and Gas Review

Triangle Welding & Machining

For more information contact:

Paul BellBoissevain, MB I P:204.534.7382 I F:204.534.7217Licensed Supplier

Free Standing

Stackable

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The Ex-Fence panel system is the most cost effective to transport, store, install and configure of any fencing system on the market!

It is also more durable than the typical fencing sys-tem as the triangle shape of the legs provides excep-tional strength and will not bend or be driven into the ground.

ExFence Simply Better.

Page 48: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201248

Our fourth Redvers & District Oil Showcase is just around the corner. Scheduled dates are to be May 10 & May 11, 2012, and we’ve already had a great deal of

interest with regards to registrations and sponsorship. This year, our keynote speaker at the supper on Thursday night will be Pat-rick Ward, President and CEO of Painted Pony. The previous shows were held in 2007, with the 2nd annual in 2008. The first two-day event was held May 7th and 8th, 2010, offsetting the Weyburn Oil Show, and here we are - 2012! Based on some of the feedback that we received from several exhibitors from our last show, we’ve decided to change things up a bit again this year and host the show on Thursday and Friday rather than Friday and Saturday as it was in 2010. The committee hopes that

this will allow many of the people who work a variety of differ-ent shifts to attend. With Redvers being situated right in the middle of the Bakken play in southeast Saskatchewan and southwest Manitoba (as well as adjacent to the same play in North Dakota), this makes it the perfect location to showcase existing and upcoming technologies for the oilfield and related industries. Our previous oil shows re-vealed Redvers as a town progressing and moving forward, and we want to continue that trend. With a new hotel in progress, as well as an expansion planned at the campground, there will be ample space for all to stay in town at the next oil show. The 2010 oil show was a tremendous success, with Brett Her-man, CEO of Tristar Oil & Gas Ltd., being the keynote speaker to a sold out crowd at the roast beef and “pork on a spit” banquet on Friday evening. One hundred exhibitor spaces were filled both inside and outside at the Redvers arena – showcasing a number of oilfield and other industry technologies and well over 1100 people came out to check things out. At the 2010 show, we also entered the names of all of the gold and silver sponsors to a draw for either a commercial lot in Redvers or a trip voucher, and Es-sential Coil Tubing won the draw and selected the travel vouch-er. Feedback from the last oil show was remarkable, and we an-ticipate a full show yet again with loads of exhibitors and hope-fully a similar showing of people taking the opportunity to take a look around and make new industry contacts. BAR Engineer-ing’s comments on the last show: “For a new company in SE Sask, it was a wonderful place to make contacts” and “the Redvers & District Oil Showcase was a very well organized show”, Ron Plett, BAR Engineering. The committee would like to thank all of the sponsors and volunteers who helped to make the 2010 event a success. We look forward to seeing you in May 2012! To be a sponsor or to request a booth at the next show being held Thursday May 10 & Friday May 11, please contact the Red-vers and District Oil Showcase Committee at 306-452-3225, or e-mail [email protected]. You may also visit the Town of Redvers website and click on the Redvers & District Oil Show-

case link. u

Redvers & District Oil ShowcaseREDvERS

23 Service Street, Redvers, SK

P: 306-452-6393 • F: 306-452-3627E: [email protected]

OWNER/MANAGER – PHIL JACOBSON

24 Hour Service

STEAMER & VAC TRUCKSOilfield Maintenance, Fencing,

Snow Removal, Operating & Supervision

Serving South East Saskatchewan& South West Manitoba

Page 49: Manitoba Oil and Gas Review

Gold Sponsors

Fiberglass Solutions | PetroBakken | Town Of Redvers | Enbridge | SaskPower | 3-Way Power TongsHei Bro Tech 24-7 Enterprises Ltd. | Ensign Big Sky Drilling | Three Star Trucking | McGillicky Oilfield Construction Ltd. | Winacott Western Star

P&M Oilfield Consulting | Grimes Sales & Service Co. Ltd. | Swayze’s Concrete Ltd. | Saskatchewan Energy & Resources | RBC InsuranceCrescent Point Energy Corp. | Dangstorp’s Services | Classic Vacuum Truck Ltd. | Tundra Oil & Gas Partnership | TS&M Supply | The Rig Store

Essential Coil Tubing Services | 3-D Enterprises 1996 Ltd.

NewAlta Corporation | Canadian Capital Energy Corp | Poplar Services Ltd. | Weatherford | Eagle Oilfield Services Ltd. | Prism Oilfield ConstructionParkside Oilfield Services Ltd. | Millenium Directional Service Ltd. | Impact Oilfield Management Team | Safety Source

Ener-Test Well Servicing & Rentals Ltd. | Estevan Plastic Products Ltd. | Palko Energy Ltd. | RedHawk Well Servicing Inc. | CJ 1280 Radio MidCanada Filtration Solutions | Equal Transport | Girard Bulk Service | Spectra Credit Union | Fast Trucking Service Ltd. | NAL Resources

Virden FORD | Frontier Peterbilt Sales Ltd. | SouthEast Electric | Moose Mountain Mud | TSL Industries Ltd. | Precision Well Servicing Tremcar West Inc. | Greg Cousins Construction Ltd. | Carson Energy Services Ltd. | Tierra Alta

Athena Resources Ltd. | Sun Valley Land Ltd. | Sunrise Aviation | Prairie Rat Hole Services | L.D. Allen Enterprises | Gem Well Maintenance Inc. Superior Safety Inc. | D & G Generators | Shaw Pipe | Parasolve Ltd. | Oil Spill Contingency Area 4 &5 | RBC Royal Bank | Envirotrap Systems

Advantage Co-Op | The Real Slashers | Brady Land Services Ltd. | T.K. Trailers | TransGas Ltd. | Prairie Winds AdvertisingHansen Steamers | KC Oilfield

Redvers & District Oil Showcase Committee would like to thank the 2010 Sponsors for helping make their3rd Oil Showcase and Dinner a Great Success!

Silver Sponsors

Bronze Sponsors

Redvers & District 4th Oil Showcase May 10th and 11th, 2012

Dinner Guest SpeakerPatrick Ward, President & CEO Painted Pony

Sponsorship for this year’s show includes:Gold – $1000 | 1/4 Page Ad in Program | Tradeshow Booth | Table of 8 for Dinner | Advance Advertising | Poster Advertising

Silver – $500 | Business Card Ad in Program | Tradeshow Booth | 4 Tickets for Dinner | Poster AdvertisingBronze – $150 | Listing in Program

For more information go to www.redvers.ca and click on the linkto the Redvers Oil Showcase, e-mail [email protected] or call (306) 452-3225.

RedversAd_2012 12-02-21 1:20 PM Page 1

Page 50: Manitoba Oil and Gas Review
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Manitoba Oil & Gas Review 201252

As the world continues to witness increasingly dire economic

circumstances, it seems the area surrounding Estevan, Sas-

katchewan is unaware of what’s happening around them.

The city has seen four consecutive years of record development and

each year seems to bring new major announcements and projects that

continue to attract new people, wealth and opportunity to the com-

munity.

Estevan has been dubbed Saskatchewan’s Energy Capital, and it’s

with good reason: the city is home to a thriving oil & gas sector, two

power-generating facilities, a massive coal mining operation and a

young, vibrant and determined population intent on capitalizing on

a once-in-a-lifetime opportunity. As the oil & gas, power generating,

mining and agricultural sectors continue to thrive, the community is

doing all it can to ensure it is at the forefront of new training, environ-

mental and recreational infrastructure and technology.

With programming set to begin February 27th, 2012, final details

are being addressed to complete construction of Southeast Regional

College’s new 44,000-square-foot Saskatchewan Energy Training Insti-

tute (SETI). Built to meet the increasing and ever-changing demands

of the local energy sector, the new SETI will feature two labs designed

to be reconfigured as required and a large shop lab that will allow for

fall arrest and confined space training to be provided away from the

elements on a year round basis.

Keith Madu of SETI stated simply

that the existing facility did not pro-

vide enough space to meet the growing

demands of the area and that the new

facility, along with the strong relation-

ship being forged with industry, will

allow the college to offer training that

meets their needs and can adapt to the

ongoing changes in industry require-

ments. Along with the new lab space,

the new SETI facility has also doubled

the number of program classrooms for

the college, added meeting and board

rooms and provides an auditorium and

food service space to be able to accom-

modate community events.

The new facility has been strongly

supported by all three levels of gov-

ernment; the City of Estevan donated

EStEvan

ESTEVaNA Wealth of Opportunity

Page 53: Manitoba Oil and Gas Review
Page 54: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201254

a five acre lot and municipal services in

the newly developed Glen Peterson In-

dustrial Park, while the provincial and

federal governments have pitched in a

combined $14.1 million for the facility’s

construction. They will now look to fund-

raising and the local business community

to fund an estimated $3.5 million in or-

der to equip the facility’s classrooms and

offices.

Officially announced in April, con-

struction of the $1.2 billion Boundary

Dam Clean Coal project began just a

month later on May 1st, 2011. The com-

pleted venture will transform the aging

unit into the world’s first and largest ful-

ly integrated clean coal, carbon capture,

storage and enhanced oil recovery (EOR)

project. While the cost is significant, Sask-

Power is currently working to sign on

purchasers of the captured carbon diox-

ide that can be used to regenerate mature

oil fields through EOR.

The project, as of November 10, 2011,

was 13% complete and had 140 people

working on site. Once complete in 2014,

the estimated 300 year supply of locally

mined coal will continue to be used to

provide a reliable, low cost fuel source for

Saskatchewan’s base load power genera-

tion, while enhancing local oil produc-

tion and reducing greenhouse gas emis-

sions by about 1 million tonnes per year

or the equivalent of removing 250,000

vehicles from Saskatchewan roads.

After receiving council approval in

February, 2006 Estevan’s New Arena Fun-

draising Committee quickly got to work

raising what would become $8.14 mil-

lion in local contributions toward a $23

million project (after $10.2 million was

provided through a combination of pro-

vincial funding and the Building Canada

Fund, the taxpayers were only left with a

price tag just over $4 million). While cor-

porate donations provided the bulk of the

funds raised (including $1 million from

Spectra Credit Union to acquire naming

rights for 10 years), five fundraising din-

ners brought significant funding (more

than $1 million) and with the assistance

of such guest speakers as Gary Bettman,

Brian Burke, Ray Scapinello and Steve

Yzerman, a tremendous amount of ex-

citement and attention was drawn to the

project.

In the end, the residents of the Estevan

area are left with a stunning facility fea-

turing a 4 sided video scoreboard, 216 m.

long rubberized walking track, 24 private

suites and a lounge overlooking the ice

surface with retractable windows provid-

ing viewers with a tremendous view and

experience. The facility also includes a

f looring system that was purchased to

cover the ice in order to ensure Spectra

Place could handle major events year

round. Aside from being home to the

SJHL’s Estevan Bruins, Spectra Place has

already hosted two concerts, a business

awards gala, an MMA Hard Knocks event,

two tradeshows and in February 2012,

Hedley will take to the stage to perform

before a sold out (2,400) crowd.

EStEvan

Manitoba Oil & Gas Review 201254

Page 55: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 55

Toll Free: 1-888-638-6433 or 1-306-634-6400Plant: 1-306-388-2344 Fax: 1-306-634-7828

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email: [email protected] website: www.estevanplastics.com

ALSO MANUFACTURERS OF:

• Fibreglass Belt Guards • Internal Fibreglass of Steel Tanks • Tank Skimmers • Insulated Wellhead Shelters

EStEvan

With the continuing growth in Es-

tevan’s oil and gas sector seeing no

immediate sight in end, the most sig-

nificant challenge for the community

has been to accommodate the num-

ber of new residents coming to town.

With over 1,200 jobs available and a

1.5% rental vacancy rate, businesses

have been challenged when trying to

bring in the staff they require. Fortu-

nately, much has been done over the

past two years as Estevan has led the

province in housing starts per capita

and much more is planned for 2012.

The construction of 56 single detached

homes and 22 multi-family units

in 2011, along with the city nearing

completion of 24 new lots has made a

significant impact. Development of a

new 120 acre residential development

is also slated to begin in the new year,

which once complete, is expected to be

home to upwards of 3,500 residents.

As the economy continues to thrive

in the area, Estevan’s business commu-

nity and residents are seeing signifi-

cant change and improvements in the

community’s dynamic and infrastruc-

ture. A growing number of people are

calling Estevan home and with the

influx of new residents, so too comes

new opportunity; the community’s

retail sector is growing, sports and cul-

ture opportunities are expanding and

a constant desire to a quash status quo

and seek improvement is felt strongly

amongst the community’s residents. u

Page 56: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201256

While increased activity in Manitoba’s oil industry cre-ates jobs and brings economic

prosperity to the province, Rural Munici-

palities (RM) are faced with the challenge

of footing the bill for the maintenance

and repair of roads that fall within their

jurisdictions. Heavier traffic on route to

Cromer, as well as the higher weights of

trucks and oil rigs, places a strain on mu-

nicipal roadways that have been made

available to accommodate the transporta-

tion needs of oil companies. These new

demands on infrastructure, together with

a devastating f lood season and the need

to replace aging bridge systems, has re-

sulted in escalating costs that far surpass

the current budgets of many RMs.

The southwest corner of the province

is experiencing the most impact in dam-

aged roads and more traffic, as a result of

the oil boom. In an effort to address the

concerns of local RMs, the Southwestern

Oil Producing Municipalities of Mani-

toba (OPMM) was formed. The group

represents 13 RMs that extend from the

Birtle/Ellice Field in the north to the Was-

kada Field in the south. The group’s ob-

jective is to remove the burden of the cost

of infrastructure from the municipalities

to government and the oil industry.

“Oil has to move to the Cromer pump-

ing station and Tundra terminal and,

when trucks have restrictions on provin-

cial roads, they will use municipal roads

to get there,” says Ross Tycoles, Reeve of

the RM of Pipestone and Chair of the

Southwestern OPMM. “Our government

has made tremendous concessions to the

oil industry to get companies here, and

the government is generating revenue be-

cause of oil exploration. We’d like to see

both government and industry put some-

thing back into infrastructure.”

Since 2004, oil production in Manitoba

has almost tripled, with the oil industry

spending $3 billion in drilling 2,171 new

wells in the province. Manitoba Statistics

has estimated that for every dollar spent

developing Manitoba’s oil industry, thirty

cents goes back to the three levels of gov-

ernment in the form of taxes collected.

One of the drivers of increased oil explo-

ration in the province is the Manitoba

Drilling Incentive Program, which has

been extended to January 1, 2014.

“This program is similar to programs

offered in the other western provinces,”

says Keith Lowdon, Director of the Petro-

leum Branch of Science, Technology, En-

ergy and Mines. “The program has helped

to spur activity in the province, but with-

out other economic factors, such as pric-

ing and technology being in place, it is

unlikely we would see continued high

activity levels.”

At the local level, the boom in the oil

industry is clear, with the need to increase

maintenance on municipal roads. While

RMs do receive property taxes on wells

drilled, 62 per cent of that goes back into

education. In the municipality of Pipe-

stone, for example, the municipality has

added one grader to its road maintenance

program, for a total of five maintenance

Municipal Roadways Strain Under Increased Activity in Oil Exploration

By Lisa Fattori

RoaDWayS

Page 57: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 57

graders and one construction grader for

road repairs and rebuilds. At approxi-

mately $250,000 per new grader, plus

the salaries of added staff and the cost to

maintain and repair equipment, incre-

mental tax revenue is not enough to cov-

er the up-front capital costs and the long-

term cost of keeping municipal roads safe

and in good working order.

“We need the funding to grade main

haul roads twice a week, rather than

once every two weeks,” says Floyd Buhler,

Chief Administrative Officer for the RM

of Wallace. “Oil companies are doing

well and they want the roads improved,

and the province is getting revenue from

taxes. We want to accommodate the oil

companies, but municipalities have to be

accommodated at the same time.”

Alberta and Saskatchewan have under-

gone similar lobbying efforts in resource-

rich rural areas that require more road

maintenance. In 2009, Saskatchewan As-

sociation of Rural Municipalities (SARM)

partnered with the province’s Ministry of

Highways and Infrastructure to manage

and administer the Municipal Roads for

the Economy Program, which includes a

Heavy Haul-High Volume Program.

“Some money has been put into fund-

ing programs for the oil industry and for

other economic drivers,” says Dale Har-

vey, Executive Director of SARM. “Find-

ing solutions is a balancing act. Munici-

palities have the ability to tax, but you

don’t want those taxes so high that you

scare away the oil companies. Our RMs

are still lobbying for increased funding.

We have hundreds of bridges that need to

be replaced in the next few years, and I’m

sure it’s the same situation in Manitoba.”

As a relatively new association, the

Southwestern OPMM is working to for-

mulate a proposal that it can take to the

provincial government, and is looking

to hire a consultant to help develop a

comprehensive analysis of the oil indus-

try and its impact on local communities.

Various possible solutions have been

narrowed down and include designating

specific corridors for heavy truck usage;

namely, Highway 83 from the south, and

Highway 256 south to Highway 2. At the

Association of Manitoba Municipalities

Annual Convention in November, the

Southwestern OPMM met brief ly with

Manitoba’s Minister of Infrastructure

and Transportation, Steve Ashton, to dis-

cuss some of the challenges facing RMs. “We’d like to see increased weight lim-its and permit changes that would allow usage,” Tycoles says. “By making these highways all season, traffic would be re-stricted to these routes, so that trucks are not using our municipal roads.” While oil companies working in the southwestern region of the province have proven to be good corporate citizens, in some cases, building roads and grading roads after transporting rigs, RMs would like to see greater consistency in sharing the responsibility of road maintenance. As oil exploration expands outward, af-fecting new RMs, a set policy on road us-age and maintenance will be an improve-ment to the current ad hoc approach in meeting the needs of industry and rural municipalities. “In Pipestone, the growth of the oil in-dustry was slow and steady, but for other areas, the growth is coming fast, and RMs don’t have the equipment and manpow-er to handle it,” says Tycoles. “The region is getting economic spin-offs, but all of the activity has created some stress areas. Growth is good, but with growth, you

also get growing pains.” u

RoaDWayS

Page 58: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201258

The Changing Geosciences World

It wasn’t long ago (at least it seems

like just yesterday) that the domestic up-

stream oil and gas industry was still in

the exploration phase – looking for new

reserves, exploring for new play concepts

and enhancing technology to find new

resources. Our geosciences disciplines

were generally isolated disciplines that

got together as technical teams but oper-

ated as generalists within their silos. The

majority of geoscientists were involved in

the exploration side of the business, and

we spent our time and energy looking for

new and yet undiscovered resources.

Now, the industry compass has swung

around to other directions. Today, the

most hydrocarbons being “discovered”

are by the drill bit as unconventional re-

source. The new resource plays are based

on resources that we’ve known existed in

the ground for years – we just couldn’t

economically get them to the surface. The

“mining” of oil and gas (oil shale, tight

gas, heavy bitumen) is now a materials-

handling process rather than true explo-

ration. Much of our current technology

advancement is in the area of horizontal

drilling, rock mechanics and induced

fracturing – all designed to assist in the

extraction of hydrocarbons from known

areas and to bring the resource to market.

The Geoscientist of Today For the benefit of the undergrad stu-dent peering into the looking glass, try-ing to get a glimpse of our industry, I have classified today’s geoscientist into three broad classifications. •The Explorationist: There are still a myri-

ad of small to medium-sized companies in the exploration game, and they are do-ing a great job of finding oil (since natu-ral gas is a four-letter word today). Geo-scientists still play a vital role in finding these resources, and many senior geolo-gists and geophysicists can be found at the helm or in the management team of most small outfits. They have a gen-eral knowledge of many aspects of their respective fields – seismic including acquisition, processing and interpreta-tion, and geology – depositional envi-ronments, core and cutting analysis and play-making, having all cut their teeth early in their careers with large oil com-panies or major service companies.

•The Exploitationist: If you “follow the money”, however, you find that most investment dollars are f lowing into the unconventional resources. These geoscientists work as part of an inte-grated team to develop unconventional resources. They possess more specific knowledge of resource extraction tech-nology and apply geology and geophys-ics to rock mechanics, pore connectivity and fracture analyses.

•The Specialist: One segment of our dis-cipline that I believe is a growing com-ponent is the geoscientist who excels in a specific field of geology or geophysics. These are the ones most likely to speak at technical luncheons and who under-stand and do research in a specific, nar-

ThE ChaNGING FaCE OFGEOSCIENCES IN ThE 21st CENTury:What You Need to Know to Survive

By Larry Herd

GEoSCIEnCES

• Fluid Levels

• Dynamometers

• Pressure Surveys

• Foam Depressions

• Equipment Sales

Rentals & Repairs

• Repairs done on all

models including:

Sonolog Echometer, DX, etc.

• Major parts & supplies

in stock at all times

P.O. Box 4, Midale, SK S0C 1S0 Phone: (306) 458-2367 or (306) 861-1001

Fax: (306) 458-2373 • Email: [email protected]

Well Optimization Sales & Services

Hydrovac • Pipeline Locating

Keith Stowe(204) 851-0329

Box 2506, Virden, MB, R0M 2C0 [email protected]

Page 59: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 59

row field of study. They are the technical leaders in whatever field they work in and are usually, but not always, found in major service or oil and gas companies.

A Primer for the Gen-Y Geophysicist What do you need to know to survive once you “get there”? Well, here are my credentials: I graduated from the Uni-versity of Manitoba in 1978 and am a full-f ledged stereotypical baby boomer. My parents are classical “builders” (tra-ditionalists) and my children (a relative term) are generation Y. I have managed a service company of baby boomers, gen-X and gen-Y staff for many years and I have at least a cursory understanding of the issues. For my sources of information, I f lagrantly plagiarize from reliable Inter-net sources like Wikipedia and various blogs, rely on innuendo and hearsay, dis-cuss issues with my peers over beverages and read the odd professional manage-ment article. All in all: sound and reliable sources of fully pedigreed information – see note of apology below. Kids these days... “They waste time chatting with co-workers. They show up for work in shorts and T-shirts. They plug in their music, text on their phone and try to work at the same time. And then they take the afternoon off to go skiing.” (Overheard in a management meeting.) Welcome to the “Age of Entitlement”, the brave new world of generation Y. Gen-Yers value positive reinforcement, autonomy, positive attitudes, diversity, money and technology. They have grown up in prosperous and tranquil times and, as a result, have a very optimistic outlook on life. They demand more input into their learning regimen, crave supportive feedback and lots of variety in the work-

place and expect good salaries to spend on multitasking gadgets. They are the generation of “multi-taskers” and utilize technology to read, listen, type and talk all at the same time.

Why Understanding the Generation Gap is Important to the Gen-Yer You (the gen-Yer) need to understand the relational working environment in which you (hopefully) find yourself. I call it the “Totem Pole Concept of Corpo-rate Hierarchy” – chances are that when you start into your new role as a young geoscientist, you will be at the bottom of the totem pole. Your boss will likely be a gen-Xer and his or her boss will likely be a baby boomer. If you think your boss doesn’t understand you – try talking to his or her boss! Gen-Xers believe in investing in their own development rather than in their or-ganization’s and they embody the entre-preneurial spirit. They are cautious about investing in relationships with employers because experience has shown that these relationships are not reliable. To a gen-Xer, this may mean two-week’s notice. They usually have clear goals and prefer managing their own time and solving their own problems rather than having them managed by a supervisor. This gen-eration works hard but they would rather find quicker, more efficient ways of work-ing so that they have more time for fun. While the baby boomers worked hard to move up the ladder, gen-Xers are work-ing hard so that they can have more time to balance work and life responsibilities. When communicating with this genera-tion, use email and texting as your pri-mary tool, and talk in short soundbites to keep their attention. Keep them in the loop and ask them for feedback regularly. Baby boomers, who coined the phrase “workaholic”, value peer competition. They work hard because they view it as necessary to climb the ladder of success, which is a fundamental belief. Boomers are the “show me” generation and body language is important when commu-nicating. When dealing with boomers, answer questions thoroughly and expect

to be pressed for the details, and pres-ent options to demonstrate f lexibility in your thinking. They embrace the team approach to business and as long as you perform to their standards, they will ac-cept you as an equal. They don’t appre-ciate rules for the sake of having rules, and they are not afraid of challenging “the system”. Baby boomers have strong principles and will fight for a cause if they believe in it.

Supportive Tips to Gen-Yers As a guideline to help you, the gen-Yers:•Experiencedoescount.Learnfromoth-

ers’ experiences. •Ifyoudon’tknow,ask.Ifyoudon’tget

an answer, ask again.•Continuetonetwork–yourbossesmay

not understand, but your network of peers is an invaluable tool for both you and the company for which you work.

•Technologyisatool,notananswer.Usethe technology to its fullest but remem-ber that technology only assists in the creation of knowledge. Auto-picking the 3-D seismic survey on a workstation pro-vides the data picks but doesn’t tell you how to interpret the trap.

Supportive Tips to Gen-Y Bosses andTheir Corporations As a guideline to help the supervisors of Gen-Yers:•Don’tmanage;mentor.Don’tassign;ex-

plain. They thrive on learning through mentorship.

•Useactionwords -andchallenge them

GEoSCIEnCES

Page 60: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201260

at every opportunity.

•Don’t dictate; solicit. Gen-Yers appreci-

ate interaction, and resent being talked-

down to.

•Don’t ignore; respond. Gen-Yers have

little patience for bosses who don’t re-

spond. Email is preferred.

•Don’t conceal; communicate. Provide

an open-door policy and make sure you

talk to your gen-Yers. Seek their feedback

and provide them with feedback regular-

ly.

•Usehumour and create a fun learning

environment. Don’t take yourself too se-

riously.

•Encourage risk-taking. Encourage them

to break the rules so that they can ex-

plore new ways of learning.

As a leader of a corporation whose em-

ployees span the three generations, you

might consider restructuring leadership

across the generations, providing com-

pensation, benefits and incentives to

satisfy each generation. The traditional

boomer’s “one-size-fits-all” strategy

won’t work. Stop trying to communicate

using the standard company line – ef-

fective corporate communications must

now include multiple formats and styles.

Closing note: the Scale-up Challenge

As an industry, we are facing an in-

credible dilemma. Our brain trust demo-

graphic is retiring, and we have a small

group to fill their shoes. While the job

market should be running full throttle

to replace us, the rapidly departing baby

boomers and early gen-Xers, hiring is still

subjected to the whims of the ebb and

f low of oil economics. Yesterday, all of

the new grads were offered jobs; today, there are many who go without an inter-view. As soon as the industry regains its traction and needs to fire on all cylinders, where are the experienced talent to drive business forward? We had better figure out more ways to keep our young people enthused about the geosciences or we won’t have replacements coming in our stead.

Author’s note: An apology to my sources (Sharyn Devereux, Catherine Jones, Shane Austin, Jennifer Blanchard and Ray Williams); I have mutilated this discussion so much over the years so as to make all references from reputable sources indistinguishable from my own. If you recognize any of the text as direct quotes, I will just plead ignorance so I ask your indulgence. About the author: Larry Herd is the president of RPS Boyd PetroSearch, a geophysical consulting arm of RPS Energy, and is also the 2011-2012 president of the Canadian Society of Exploration Geophysicists. u

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Page 61: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 61

This article is not written for the

professional but for the ordinary

citizen who may be sitting in the

doctor’s or dentist’s waiting room read-

ing this magazine who may have been

inundated every day with the changing

price of a barrel of oil. It is especially dif-

ficult for Canadians who have gone from

imperial gallons to litres and now to bar-

rels that are 42 US gallons. Following is

a thumbnail sketch to help relate to the

consumer price of motor gasoline at the

pumps. US gallons are used throughout

this article.

The standard barrel contains 42 US gal-

lons of crude oil. After refining, the 42

gallons will result in more than 44 gal-

lons of petrol products. This is actually an

increase in the volume of product real-

ized because there is a reduction in the

density of some of the original crude oil

as different petroleum products are cre-

ated during the refinement process.

The refining process involves the distilla-

tion of crude oil into its constituent ele-

ments. After distillation, conversion – the

the process of cracking molecules to allow

for further refinement of the elements

that form crude oil in the very beginning

– occurs. Finally, enhancement occurs.

This is a process trough which the qual-

ity of the ultimate product is enhanced

in various ways, such as reducing sulphur.

The largest portion of the 42 gallons of

US crude ends up as 19.65 gallons of mo-

tor gasoline. Distillate accounts for 10.03

gallons, and jet fuel accounts for 4.07 gal-

lons. Residual fuel accounts for 1.72 gal-

lons of the overall refined product.

Other petroleum products created

from a barrel of oil during the refining

process include still gas, petroleum coke,

liquefied refinery gas, asphalt and road

oil, various oils for food stocks, lubricants,

special napthas, kerosene, waxes and an

assortment of miscellaneous products.

(It should be noted that the different

end products that can be produced from

a barrel of oil differ in their percentages

depending on what part of the world the

crude oil originated from.)

Can you imagine another resource that

results in so many different products that

benefit the world as crude oil when it is

refined?

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Page 62: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201262

In April 2011, global specialty chemi-cals company Clariant acquired Prai-rie Petro-Chem, an Estevan, Saskatch-

ewan-based company with about 40 em-ployees and a 40-year history of serving the southern Saskatchewan and southern

Manitoba market. The acquisition, which integrated Prairie Petro-Chem into Clari-ant’s oil services business line while al-lowing it to retain its name, significantly enhanced Clariant’s presence in Canada and the Bakken Shale. Nearly a year lat-

er, both companies are pleased with the progress of the acquisition, according to Blane Fichter, Assistant General Manager for Prairie Petro-Chem. As a facet of the company’s integration, staff at Prairie Petro-Chem met with exist-ing customers to answer questions and ex-plain what the integration meant for the company’s capabilities and service offer-ings. Initially concerned, customers began to realize that by joining Clariant, Prairie Petro-Chem had access to more resources and expanded geographic reach. “Our customers have been asking us, ‘What other things, now that you’re big-ger, can you help us with?’” Fichter said. The answer to that question, Fichter said, is quite a lot. “Gaining the technical ex-pertise that comes with a larger company, improving the quality of facilities, and adding production facilities and manu-facturing plants has advantages both technically and economically,” he said, adding that Prairie Petro-Chem can now compete for larger contracts that it would have been unable to secure before joining Clariant. Jubal Slayer, technical coordinator, re-located from Houston, Texas, to Prairie Petro-Chem’s headquarters in Estevan to oversee the company’s transition into the Clariant family. Change has been imple-mented gradually at Prairie Petro-Chem, Slayer emphasized, and employees are on board with the new structure. Slayer said Clariant has learned from experience that parties in an acquisition can take time to gel, but that this one has been remarkably smooth. “Certainly, whenever one company acquires another, there’s always a fear of redundancies. But that hasn’t happened here,” Slayer said. “That’s definitely been a positive.” In 2012, Prairie Petro-Chem is focused

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Prairie Petro-Chem, A Clariant Oil Services Business: 738-6th St.,Estevan, SK S4A 1A4. Phone Orders: 306-634-5808. Fax Orders: 306-634-6150. Email Orders: [email protected] Inquiries: 306-634-7362. General Fax: 306-634-6694.Web: www.oil.clariant.com. Twitter: @ClariantOilSvcs What do you need?

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Page 63: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 63

on growth: growing its customer-base in Northern Saskatchewan and establishing a larger presence in Alberta, particularly in Calgary. Business has increased and sales have steadily climbed upward, and Fichter said that trend should continue. As Prairie Petro-Chem adjusts to life as a member of Clariant’s large, internation-al network, it maintains a commitment to local customers and providing excel-lent, customized solutions. “Our customers expect a high level of service,” said Fichter. “As a Clariant com-pany, we have the resources and capabili-ties to continue to exceed their expecta-tions.” u

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Page 64: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201264

As an immigration lawyer, I can’t

tell you how many times I’ve

heard new clients say, “I wish I

had known that before” or “If I had just

consulted you before I filed the applica-

tion, this mess could have been avoided.”

Some examples of complications that

may occur when a step is missed in the

work authorization process include

lengthy delays in the hiring process, of-

ficers rejecting applications and inter-

ruptions in the work term of a valuable

foreign national employee.

Many of these situations may be avoid-

ed if the right issues had been considered

first and the proper steps had been taken

in the process at the right time. Correct-

ing mistakes after they happen and re-

taining a lawyer at that time to assist is

often significantly more costly than re-

taining one before the process starts and

getting it right the first time.

Here are five questions to ask which

may help you to avoid some of the more

common errors:

1. Does the position and candidate fit

within a legal exemption that could sim-

plify and speed up the process of hiring the

foreign worker?

Generally, before an employer may

hire a foreign national, the employer

must first prove they tried to hire a Ca-

nadian citizen or Canadian Permanent

Resident (landed immigrant). However,

in certain cases, this step may not be nec-

essary.

The general “proof” must be demon-

strated in accordance with specific adver-

tising and other requirements and varies

depending on the position in question.

For instance, the requirements for hir-

ing a foreign national for higher skilled

work are different than what is required

for lesser skilled work. The nature of the

position also affects what other support-

ing documentation may be required for

certain application processes.

Some work permit categories are exempt

from the aforementioned proof step.

Knowing that an exemption exists can

save the employer time and money as

certain steps in the general process may

be avoided completely.

2. Does the candidate have a criminal

record?

If the foreign national candidate has a

criminal record, it may have an impact

on his or her ability to obtain Canadian

work authorization. The type of criminal

charge(s), what conviction was entered,

when the conviction was entered and

when the sentence was completed are all

relevant factors in the analysis of assess-

ing whether the inadmissibility may be

overcome.

In some cases, and depending on the

seriousness of the crime(s), the inadmis-

sibility may be overcome in a timely fash-

ion; in others, an officer may choose not

to permit entry to Canada.

When it comes to criminal records, you

don’t want any surprises. So being aware

of a candidate’s criminal record is impor-

tant because in certain cases steps can be

taken to resolve the criminal inadmissi-

bility, at least temporarily, for the dura-

tion of the work authorization.

Five Questions anEmployer Should AskBefore Hiring aForeign Worker By Sofia Mirza

Proceed with more confidence.

Fillmore Riley LLPBarristers, solicitors and tradeMark agents

Maria Penner (204) 957 8302 [email protected]

Sofia Mirza (204) 957 [email protected]

www.fillmoreriley.com

fILLMoRE RILEy

Page 65: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 65

3. Does your proposed candidate require a

medical exam?

Depending on the duration of the

work term, citizens of some countries

may have to undergo an immigration

medical exam as part of the work autho-

rization process. Only designated medical

practitioners authorized by Citizenship

and Immigration Canada may perform

such immigration medical exams. If your

candidate requires a medical exam, this

may increase work authorization process-

ing times by a few weeks while the medi-

cal results are processed.

4. Where is the candidate eligible to apply

for their proposed work authorization?

Citizens of some countries, such as the

United States, do not require a visa be-

fore they apply to enter Canada. When

it comes to applying for work authoriza-

tions, this can speed up the total process-

ing time significantly as certain work au-

thorizations may then be adjudicated at

specific ports of entry to Canada instead

of applying outside of Canada first. Citi-

zens of some other countries must have

their work permit applications adjudi-

cated outside of Canada first. If the can-

didate is resident in a country that is not

their country of citizenship, other filing

location options may also be available.

Of course, all supporting documents

required must be in order and the can-

didate must still meet all requirements

under the Immigration and Refugee Pro-

tection Act of Canada and amendments

thereto.

5. Have you considered the long-term pic-

ture for your proposed foreign worker?

Let’s assume your foreign worker has

successfully obtained Canadian work au-

thorization and settles in nicely only to

learn a few months into the job another

work permit is required. Knowing in ad-

vance what steps are required and how

long they take is critical to avoiding costly

and unexpected interruptions in employ-

ment. You also need to be aware in ad-

vance that some work permits may be

renewed and others may not. This knowl-

edge will help you plan for the long term,

giving you time to consider what options

are available to you and your employee.

Knowing the factors to consider before

hiring a foreign worker helps to avoid

costly errors in the process and will help

move the process forward in the most

cost-effective and efficient way possible.

Doing your homework ahead of time and

asking the right questions so you can de-

termine what options are available will

make the process easier on both you and

your employee.

Sofia practises immigration law at

Fillmore Riley LLP. You can reach her at

[email protected] or

(204) 957-8335. u

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Page 66: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201266

Aboriginal Earthen Mounds are not a common feature in West-ern Canada and by most mea-

sures could be considered rare. Manitoba

is an exception, and the southwest corner

of the province contains over one hun-

dred known mound sites, and probably

many more that have gone unrecorded

yet may be known about locally. Mani-

toba is also somewhat unique in the west

in that its mounds were investigated sci-

entifically as early as 1857 when Henry

Youle Hind, a professor of chemistry and

geology, partially excavated a mound to

test its origins:

“We found a number of conical

mounds, and the remains of an intrench-

ment. Our half-breeds said it was an

old Mandan village; the Indians of that

tribe having formerly hunted and lived

in this part of the Great Prairies. We en-

deavoured to make an opening into one

of the mounds, and penetrated six feet

without finding anything to indicate that

the mounds were the remains of Mandan

lodges.”

In fact, as Hind suspected, he did not

dig into an earth lodge, but he very likely

was digging into a burial mound prob-

ably associated with what is now referred

to as the Devils Lake-Sourisford Burial

Complex, a series of archaeological re-

mains associated with Siouxian ances-

tors who lived in the area between Devils

Lake in North Dakota and the Souris-

ford locality of southwestern Manitoba.

Although not the only mound builders

in the province, Devils Lake-Sourisford

is the largest mound complex in North

America. Many of these mounds were

excavated in the decades subsequent to

Hind’s explorations and found to contain

human remains, usually associated with

elaborately decorated pottery. Evidence

suggests that some may have served

much like cemeteries of today, being an-

cestral locations where aboriginal bands

may have regularly placed the bones of

their dead members as bundles, probably

the important members who had some

status in their society. Today the mounds

are the most visible indication of the past

human occupation of southwestern Man-

itoba and as characteristic of the works of

people then as were grain elevators of the

last century and the ever-increasing num-

bers of pump jacks and oil field batteries

in the area today.

The most well-known, preserved

mounds are found at the Linear Mounds

National Historic Site, locally referred to

as the Sourisford Burial Mounds. They

are located a few kilometres north of the

Hamlet of Coulter, in the Sourisford Lo-

cality. These mounds are federally protect-

ed, designated a National Historic Site of

Canada. Today they are difficult to see on

the prairie, having settled somewhat over

the more than half dozen centuries when

they were first estimated to have been

built. When considering their visibility,

one wonders what they would they have

looked like when they were first built. Ar-

chaeological evidence suggests that they

were varied in form and size, some repre-

senting single interments (or perhaps just

markers) that were less than a metre high

and maybe two or three metres across.

Others were quite large, perhaps 10 me-

tres across and built up over two metres

in height, so that they could contain one

or more pits that were layered with poles,

sod and clay forming an elaborate burial

enclosure. Some were even overlaid with

slabs of stone. The ones in the Sourisford

Locality are more than mounds: they are

actually complex linear earthworks, one

Mounds, Landscapes andPlace in Manitoba’s Oil Patch

By Terry Gibson, Shabnam Inanloo Dalloo, Peggy McKeand and Jim Finnigan, Western Heritage

From left to right: DkMh-18 north side of Pipestone Creek, looking south; DkMh-18 north side of Pipestone, looking NNW; and DkMh-18 site area on north side, looking north.

WEStERn hERItaGE

Manitoba Oil & Gas Review 201266

Page 67: Manitoba Oil and Gas Review

Case Study: Screening Risk Factors

The diagrams at the right show two independent measures of risk. The line diagram shows a pipeline network ranked by slope risk, where segments crossing higher slopes have an enhanced risk of being damaged by soil failures. The lower image is a special classification of disturbed soils. The large yellow area is a sandy area that was destabilized by the north south road. Both of these can be quantified and added to an overall risk model. Other risks related to land use or soils can be incorporated

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Page 68: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201268

being nearly 200 metres long and six me-tres wide, with circular mounds attached to each end. At the time, the end mounds could likely have been observed from a great distance on the level prairie because they were located in highly visible areas overlooking the Souris River valley. Visibility was probably a key factor in the placement and the way that they were laid out. Parks Canada, in describ-ing the character-defining elements of the mounds, recognized the landscape where they were placed was important, stating that “landscape itself, with its un-interrupted views of the mounds and surrounding prairie” is a key element contributing to the heritage value of a site. It would appear that at that time people were building mounds not only to inter their dead, but possibly as a way to identify themselves with places in the

landscape. Even now, these mounds are cultural elements in today’s landscape; they make the landscape unique and spe-cial. Cultural landscapes are about con-nectivity, about people and their interac-tion with the surrounding environment, about culture and nature, and about the tangible and intangible. The mounds provide one of the few outwardly obvi-ous connections to the people who lived in southwestern Manitoba in the ancient past. Following from this, any industrial player, like an oil field developer, has to consider the impact that their planned developments may have on a cultural landscape, especially one that is closely tied to the natural environment. In Al-berta, for example, oilfield developments are regulated to avoid affecting the scenic view of provincial parks, especially ones

that provide an historic vista, like the

North Saskatchewan River valley views-

hed of Fort George/Buckingham House

Historic site or the Milk River valley

containing Writing-on-Stone Provincial

Park. Furthermore, Alberta restricts de-

velopments in the vicinity of sacred First

Nations sites such as medicine wheels be-

cause of their spiritual nature. To do so

otherwise would be to profane the land-

scape and destroy the special place repre-

sented by these kinds of features. This is

only to be expected, just the same as most

oilfield developers would think twice be-

fore putting an active oilfield battery ad-

jacent to a rural church or a pump jack

and tanks beside a cemetery. In the case

of mounds, the problem is that they are

hard to recognize. Over the centuries they

have settled into the landscape and been

subject to a century or more of intensive

agricultural modification or been plowed

over or fenced in as pasture land and ap-

pear to blend into the landscape.

A recent archaeological investigation

of a proposed pipeline in southwestern

Manitoba illustrates the above points. A

pipeline route was originally planned to

follow along the gently rolling upland on

the north side of Pipestone Creek. Much

of this landscape has been under cultiva-

tion for many decades, although some

parts of the route remained in native

grass as pastureland. A review of histori-

cal records showed that a possible earth-

en mound recorded in 1986 was located

in the vicinity of the proposed pipeline

route. The general characteristics of the

mound fit the description of a simple

rounded mound characteristic of the

From left to right: DkMh-19 site area south side of Pipestone Creek; DkMh-19 south side, looking SSE; and the mound.

WEStERn hERItaGE

• Winch Trucks • Texas Bed Trucks• General Oilfield Hauling

OFFICE: (306) 634-3009P.O. Box 453, Estevan, Saskatchewan S4A 2A4

Waskada, MB • (204) 264-0566

DENNIS TROBERT • OWNER OPERATORCell: (306) 421-3807

Page 69: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 69

Devils Lake-Sourisford Burial Complex. In-field investigation was undertaken to relocate and protect it. On the ground, the mound was difficult to see at first since it was situated on the edge of a bluff of trembling aspen, hawthorns, and wil-lows next to an open section of pasture. Once relocated, however, it was quite ap-parent, measuring roughly nine metres in diameter and about one metre high. The pipeline, originally planned to pass adjacent to its location, was slightly re-routed into a cultivated field to the north of the site, preserving the mound and its immediate surrounding landscape. But the archaeological work didn’t stop there. Testing on either side of the creek on uncultivated pasture revealed even more historically intangible locations. These were two buried archaeological sites, probably encampments, represent-ed by the remains of stone tool making and bison bone. Dating of the bone in-dicated the sites were occupied at differ-ent times, one as recently as 200 years ago and the other about 600 years ago. There is no way to know how these sites relate to the mound, although one of them seems to fall in the same date range as the estimated range for the burial com-plex that the mound may be associated with. Since neither site was investigated in any detail (the pipeline was also routed to avoid them, and they were left as pro-tected locations), this remains a question for future investigation to address. The example shows that in planning for new developments it is critical for oilfield developers to recognize that the mounds in southwestern Manitoba, wherever they may be, are a component of the larg-er landscape in which they reside and not separate from their surroundings. They are special places and they require careful stewardship. Also, special ancient places aren’t restricted to mounds, although they are the easiest to see. There are an-cient places all over the landscape, buried in the ground, and they are as worthy of

protection, if only because they are so few

of them left after a century of intensive

landscape modification in the province.

How can an oilfield developer help to

preserve ancient landscape features that

yet remain? At the outset, it is better to

be proactive, to plan ahead of time and

to be aware that there are places on the

landscape that need to be trodden on

lightly and left unchanged as much as

possible. Cultural landscape manage-

ment is not about freezing a landscape

in time and blocking change. Rather, it is

about participating in the process, being

part of the story and managing change to

ensure the continuity of what is left of the

old landscapes can be passed on to future

generations. u

WEStERn hERItaGE

PUMPING UNITS

GrimesSales & Service Co. Ltd

http://grimessales.com

Highway #361 West | PO Box 220 | Lampman, SK | S0C 1N0

P: (306) 487-2525 | F: (306) 487-2560 | C: (306) 421-0528E: [email protected]

It would appear that at that time people were building mounds not only to inter their dead, but possibly as a way to identify themselves with places in the landscape.

Page 70: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201270

The age of technology has brought about many changes in how an operator collects information to

optimize production. Few inventions have been as influential and revolution-ary as the downhole video camera. Un-derstanding the tremendous value of this service, Expro has identified itself as a global leader in downhole video technol-ogy. Expro’s highly skilled Canadian team is equipped with the product line, incom-parable service standards and experience to best assist customers in achieving their unique objectives. Seeking to view f luid entry? Our real-time, full-motion video services utilize a cutting edge fiber-optic telemetry system. The system uses a patented optical fiber cable to transmit video information from the downhole camera to surface, produc-ing distortion-free transmission of clear, sharp images. The system captures even the most subtle movements, making it a perfect solution for examining perfo-rations and viewing production. Live broadcasts have been captured at depths over 5,000 meters and viewed in real time! Looking to examine mechanical prob-lems such as a fish, casing damage or lengthy pipe inspection? The HawkEyeIII electric line video system transmits an image every second, making it perfectly suited for the viewing of a motionless me-chanical failure. The robust video system

incorporates a 1-11/16 backlight camera, and operates on virtually any single or multi-conductor wireline cable. Due to this versatility, the system has overcome traditional cable limitations and allows video surveying of wells with corrosive f luid conditions, high-temperature, and high-pressure. The HawkEye can success-fully assist operators who wish to exam-ine the location and orientation of plugs, whipstocks and windows in multilateral completions. Examining the pipe wall, BOP stack or openhole formation fractures? The lat-est addition to Expro’s downhole video services is the ViewMax, which incorpo-rates a second side-view camera in the patented backlight camera system. Opera-tors can switch between down-view and side-view, and rotate the camera to get a circumferential view of the casing, pipe or openhole. These close-up images assist our customers in identifying the causes of failures in their wells. ViewMax is com-patible with either the fiber optic video system, or the HawkEye series of electric line cameras, making is an extremely ver-satile tool. Requiring casing inspection? In addi-tion to downhole camera systems, Expro offers a variety of casing integrity inspec-tion options. Our extensive caliper servic-es include 24-, 40- and 60-arm electronic Sondex tools. These tools can be run on memory or real-time surface read-out to

suit customers’ applications and can be

deployed via mechanical slickline, elec-

tric line, conventional and smart coil.

Caliper services can be run in conjunc-

tion with Expro’s MTT tool to identify

metal thickness and external corrosion.

New to Canada! The Kinley line of me-

chanical calipers offer virtually unlimited

temperature and pressure ratings, mak-

ing them the perfect tool for thermal and

critical well applications. Expro has also

combined video and caliper investigation

with a unique combination tool, CalVid.

CalVid allows operators to inspect casing

visually with a 40-arm caliper and camera

combination, giving you surface read-out

caliper/camera service in a single entry.

Investigating production and zone con-

tribution? Expro also offers a full suite of

specialty and standard production log-

ging tools. Our production logging ser-

vices allow operators to effectively mea-

sure zonal contribution in vertical, devi-

ated and horizontal completions. Our

horizontally focused MAPS array tools

offer a unique tool design with circum-

ferentially mounted sensors. This means

you are able to measure individual phase

hold ups and velocities, resulting in supe-

rior reservoir management.

For further information, please contact

Expro Group Canada Inc. at 403-532-0873.u

Stop the GuessworkEXPRo

Suite 300, 6 Roslyn Road, Winnipeg, Manitoba, Canada R3L 0G5Toll Free:1.866.831.4744 | Toll Free Fax: 1.866.711.5282

www.delcommunications.com

We offer outstanding personal serviceand quality in the areas of:

CREATIVE DESIGN | ADVERTISING SALES

TRADE PUBLICATIONS | QUALIFIED SALES & EDITORIAL TEAM

DEL Communications Inc. and you – the key to success.

DELCommunications Inc.

Page 71: Manitoba Oil and Gas Review

For operations, call 403-885-4054For Sales or information, call 403-532-0873

Page 72: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201272

Millennium Directional Service Ltd. was founded in 2005 in response to demand for qual-

ity, reliable directional drilling services in the Williston Basin area of southeast Saskatchewan and Manitoba. Based in Carlyle, SK, with a sales office in Cal-gary, the company is now the provider of choice for many of the largest and fastest growing oil & gas companies in Western Canada and can provide services on 12 separate drilling operations at any given time. “The potential for directional and horizontal wells in the Western Canadi-an Basin was significant at start up,” says company president Dan Eddy. “The num-ber of horizontal wells drilled in Western Canada was steadily increasing. Our focus

on directional grassroots and horizontal wells in southeast Saskatchewan and Manitoba provided an excellent business opportunity.” At start up, competition in southeast Saskatchewan was primarily from larger, publicly traded, Calgary-based direction-al drilling contractors. “There were no small, independent directional drilling companies in the area that provided a complete range of new directional drill-ing equipment with the reliability and high service standards that we were deter-mined to achieve,” Eddy says. “The objec-tive was to react quickly and be far more proactive than our competition.”

Clients First Local companies were Millennium’s initial focus. By providing directional drilling tools in a timely fashion with superior performance and service stan-dards, this group became the company’s loyal client base. “We are committed to the develop-ment of long-term relationships with our clients based on personal service and pro-fessional performance,” says Eddy. “Our goal is to provide clients with the most reliable equipment, combined with high-ly skilled technicians and experienced field personnel to eliminate downtime, increase productivity and optimize drill-ing operations.”

Tools and Technology Millennium’s high service standards, state-of-the-art equipment and software technology – coupled with consistent re-liability and cost-efficiency – maximize economic benefits to clients. This has served the company well and allowed it to surpass original business goals and ob-jectives. “By combining the latest advances in

directional drilling technology and the expertise of reliable, proven manufac-tures, we stay at the forefront of current and emerging industry trends. We work closely with our clients and suppliers to ensure all equipment issues are addressed and all technical requirements are met, in order to achieve performance goals and maximize our client’s drilling potential,” says Eddy. “That’s what really sets Millen-nium apart from our competitors – the reliability of our tools and the experience of our personnel. We designed our MWD system specifically for the conditions ex-perienced in southeast Saskatchewan and Manitoba and regularly see upwards of 3,000 hours MTBF. “Clients can also pick and choose ba-sically any motor configuration to suit the particular area or formation they are drilling. We work with three suppli-ers – National, Dynomax and Shamrock – which enables us to provide a large va-riety of top-of-the-line mud motors. And we are always happy to offer a recom-mendation of what has worked best in a certain area in the past.”

Experienced Personnel The company has made impressive gains while remaining true to its original goals and objectives. According to Dan Eddy, Millennium’s personnel play the biggest roll in the success of the company. “All of our personnel are well-versed in teamwork and the roles of others that combine to plan and execute a successful drilling venture,” he says. “We are privi-leged to count among our employees some of the most experienced and skilled directional drillers and MWD operators in the business, all of whom have shown their commitment to superior service. As new processes and technologies become available, constant upgrading, training

Millennium Directional Service Ltd. – ON ThE LEadING EdGE

MILLEnnIuM DIRECtIonaLSERvICE LtD.

Page 73: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 73

Complete Directional Drilling Services

Bakken and Cardium specialistsPersonal service, professional performanceHighly skilled, experienced personnelState-of-the-art technology & equipmentPositive pulse & electromagnetic MWDCommitted to your success

Dependable, cost-e�ective solutions to meet your drilling program demands

Carlyle, SKPh: (306) 453-2533www.millenniumdirectional.com

“Locally owned and operated since 2005”

Calgary, ABPh: (403) 264-8206

and educational seminars allow our per-

sonnel to keep up to date on advancing

industry trends.”

Safety and the Environment

Millennium is also committed to pro-

viding a safe working experience for all

employees and consultants. “Millennium

takes pride in its responsibility to con-

duct business in a safe and reliable man-

ner,” Eddy says. “We comply strictly with

all environmental legislation and safety

regulations in every aspect of our work,

and employees at all levels – including

management and field supervisors – are

responsible and accountable for imple-

menting safety initiatives.”

The result has been no lost time ac-

cidents since the company began doing

business in 2005, adding to the company’s

reputation for quality and integrity. u

By providing directional drilling tools in a timely fashion with superior performance and service standards, this group became the company’s loyal client base.

MILLEnnIuM DIRECtIonaLSERvICE LtD.

Page 74: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201274

Altus Geomatics and Altus Geo-matics Manitoba take pride in providing the best service to

their clients. This is accomplished by hav-

ing the right people in the right places.

We have highly trained and, more impor-

tantly, dedicated staff with “client first” at-

titudes. With a network of offices across

Western Canada (see coverage map),

Altus can provide the best in class ser-

vice – something our clients have come

to expect. And with the newest addition

of Winnipeg, you can find an Altus Geo-

matics office within reach from the Man-

itoba-Ontario border to the Alberta-BC

border.

To maximize the reach of field crews,

Altus has strategically placed offices to minimize travel time while also provid-ing a full complement of full-time staff. All offices include administration, draft-ers, plan checkers and project managers and land surveyors. These people are the core of Altus’s business. We provide extensive knowledge of lo-cal regulations to streamline client proj-ects. We know and understand the area you work in, and we know it’s the small intangibles that can sometimes help a project move through the system faster and more efficiently. Many of our em-ployees have grown up and lived in the areas they now work. Knowing your sur-roundings “like the back of your hand” cannot be taught in schools or universi-ties. Altus’s network of offices across Can-ada gives clients faster turnarounds and competitive pricing. We’re constantly im-proving our processes through technol-ogy and training. The ability to mobilize crews from the closest office allows for more f lexibility and ensures those rush jobs get executed quickly. Altus is well-versed in both conven-tional survey methodologies and LiDAR methodologies, and we were one of the

companies to pioneer the LiDAR process in Alberta. We pride ourselves applying new technology and processes in order to enhance the timing, quality and costs as-sociated with our services. Altus has been doing this in the field since the introduc-tion of the first electronic distance mea-surement device that replaced the steel surveyor’s chain. GPS technology has become standard survey equipment, but when it was first introduced to our company there was a 30% to 50% decrease in the length of the survey, depending on the area of work. Along with the adoption of GPS, Al-tus implemented surveying directly in UTM coordinates. This move provided several distinct advantages over other companies, one being that, because well site survey requests are mostly provided to us in the form of UTM coordinates, we do not lose any accuracy in convert-ing the coordinates to other systems. As well, we can integrate surveys over large areas and reuse information from previ-ous surveys we have done. This results in decreased time to survey and draft proj-ects. A third advantage is that the data is passed smoothly from field to office with little manipulation which increases speed

Local Presence, Local Knowledge

aLtuS GEoMatICS

Page 75: Manitoba Oil and Gas Review

Capitalizing on Strengths. Delivering Solutions.

Together, we deliver unprecedented access to resources and technical expertise.

Altus Geomatics (Manitoba) Professional Land Surveyors

and Altus Geomatics Limited provide professional land

surveying services to the energy sector, construction

industry and the legal/municipal sector. Positioned at the

forefront of the industry in Western Canada, we offer the

resources and expertise to take on any scale of project,

leveraging our best-in-class technologies and delivering

survey solutions that work for our clients.

Brandon100-158 11th St.Brandon, Manitoba R7A 4J4T 204 727 0651

Virden 280 Ashburton St. E. Box 307Virden, Manitoba R0M 2C0 T 204 748 6860

Winnipeg661 Century St.Winnipeg, Manitoba R3H 0L9

a l tusgeomat icsmb.com

altusgeomatics.com

Page 76: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201276

and quality. Another field application of

GPS and technology put together by Al-

tus is the use of an IPAQ and a software

program named Oziexplorer for digital,

hand-held, real-time navigation of plans

or maps while scouting in the field. Altus

has also been a leader is 3D scanning as it

relates to field processes. Using 3D scan-

ning for complicated as-builts of existing

facilities can save on average 25% from

traditional survey costs. Fuller and more

accurate survey can be obtained this way,

providing information that can be used

by engineers for precise design and practi-

cally eliminating return visits to the field

because it gathers so much information.

We are also currently investigating an

unmanned aerial vehicle which can be

used to take aerial photos of an area to

augment conventional, LiDAR and 3D

scanning surveys and adjust for regular

changes to a site or area. For instance, a

field could be f lown every six months

to provide up to date as-built informa-

tion. Using aerial photos as part of our

field information has also greatly assisted

in scouting. In the digital age, Altus has

taken this one step further to offer a

unique service that enables our clients

to access and view not only aerial photos

but also over 85 mapping layers, such as

ASRD information, ERCB information

and your Altus survey plans online. With

this added service, finding information

regarding projects is very time efficient:

turnaround time for a survey plan from

time of final copy to viewing online is

about 24 hours. This internet-based GIS

mapping site is available to both your of-

fice and field staff and is a secure site with

each individual using their own login

and password.

Another key component to this GIS

Service is the ability to upload your

own drawings and/or documents for any

projects you’re working on, ensuring ac-

curacy, efficiency and organization of

project-specific work within lands. This

program is especially useful for pre-

planning multi-well or pipeline projects.

Providing access and timely information

to all stakeholders involved in a project

realizes gains in quality, timing and costs.

Using this site has allowed Altus to pro-

vide one-day kick-off for survey projects

and at times has allowed for field crews

to be re-tasked en route to a job site for

priority or emergency surveys.

Altus Geomatics and Altus Geomatics

Manitoba has an industry-leading safety

program because safety is not just a pro-

gram but a way of life. We firmly believe

that no activity in our operation is more

important than ensuring the safety of our

workers, subcontractors, clients, equip-

ment, general public and environment.

Altus ensures every person is certified for

their role, and we maintain several safety

association memberships.

Contact your nearest Altus Geomatics or

Altus Geomatics Manitoba office to discuss

your surveying needs with one of our

professionals. u

aLtuS GEoMatICS

Page 77: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 77

After months of research, engi-neering and design, Norseman Structures has introduced two

new buildings to the steel-framed, fabric-covered building market. The A-Series building is the cost-effective, engineered building solution perfect for manufac-turing facilities, warehousing operations, salt and sand storage, riding arenas and airplane hangars. The building is avail-able in 30’ to 70’ widths, manufactured to any length. The 6’ and 8’ leg options provide increased clearance, allowing for improved storage capacity. Designed with functionality and cost in mind, this build-ing is available in a variety of mounting options, resulting in versatile installa-tion, decreased shipping and foundation costs and reduced labor and installation expenses. The F-Series building is the heavy-duty, wide-span premier engineered build-ing solution for large-scale operations. This building is available in 90’ to 130’ widths, manufactured to any length. The I-beam leg provides f lexibility in sidewall height, allowing for various overhead door and side entrance options. As well, the straight sidewall design allows cus-tomers to utilize complete square footage and store oversized items and materials directly against walls. For added build-ing security, the straight sidewall design permits various exterior finishes, such as metal cladding. Some applications for this structure include sports centres, com-modity and equipment storage and pro-duction plants. Both the A-Series and F-Series build-ings are available worldwide and de-signed in accordance with structural re-quirements of the International Building Code, CSA A660-10 and CSA S367. Norseman Structures operates over 200,000 square feet of quality controlled

manufacturing space and, combined with an extensive distribution network and corporate offices, is a world leader in the manufacturing and distribution of steel-framed, fabric-covered buildings. We are

committed to becoming the leading and most respected supplier of innovative building solutions in the world. Norseman Structures – fiercely reliable since 1921. u

NOrSEMaN STruCTurESIntroduces New Building Designs

Alternative Building Solutions

Norseman Structures clear-span buildings provide a strong alternative building solution for oil & gas site operations.

Our structures are ideal for:

• Equipment and machinery storage • Maintenance shops and warehousing

• Fusion buildings and cold storage • Aggregate, salt and sand storage

• Wash facilities and warm up tents

TF: 1.855.385.2782

Check out our NEW website - www.norsemanstructures.com

noRSEMan StRuCtuRES

Page 78: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201278

Advanced Growth Group provides clients a one-stop solution for all financial needs by providing

purchasing strategies, financing and leas-ing options for land and equipment. We have aligned ourselves with key insurance brokers with solutions for producers to protect their investments. We believe our innovation, honesty and experience can bring growth to your bottom line. Advanced Growth Group has recently diversified into the oil industry, offering equipment leasing in several areas of the oil field. We have successfully placed leas-ing for assets such as pump jacks and a variety of oil field trucks from vac trucks to hot oilers. The biggest advantage to leasing comes when acquiring buildings, like pole structure or steel. This type of as-set depreciates very slowly, and it can take years to get your tax dollars back. We’ve been setting up leasing for pole sheds and steel structure buildings amortizing from two year period to as high as ten years. This allows you to retrieve 100% of your available tax dollars over this time frame. Using several lending companies to give you access to the best rates in Canada, Advanced Growth Group is not the coun-try’s biggest broker but we are the most personable and we strive to provide fast approval times with the greatest selection of companies for your financing needs. We have access to more than a dozen lead-ing leasing companies, allowing us several options for our clients. Many of our leas-ing companies have very specific appe-tites and require precise information and packages. We pride ourselves on having aligned ourselves with the right compa-nies and partners to get the best products and services to our clients. The biggest misconception of brokers is

that we come at a cost to the client. We do get paid for our services – we’re compen-sated by the bank or leasing company, so there are no added costs to our clients. We pride ourselves on being able to get the banks and leasing companies competing for your business, letting the client to stay at arms length from the situation. But remember: the best rate isn’t al-ways the best deal for our clients. The leas-ing world hasn’t always been represented honestly by all institutions and brokers; it can be misleading or there could be extra expenses and fees incurred if you don’t have all the information. We offer free consultation to help with your business needs and discuss the many advantages and disadvantages of leasing, depending on your situation and the asset. We work for you, not the bank!

The Advanced Growth Group TeamDWIGHT LOGEOT, PARTNER Dwight Logeot grew up in Southwest Manitoba and gained hands-on experi-ence from five years of farm equipment management, along with 10+ years of ag-riculture equipment sales, in both leasing and financing parts. Complimenting that experience are his technical knowledge, including a three-year management-train-ing course as well as several other industry training courses, his ongoing studies help keep him current on today’s changing business landscape. He is currently fin-ishing his General Insurance License and plans to continue his studies in succession planning. Dwight founded Advanced Growth Group (AGG) with a clear purpose: “I will continue to get my clients the best possi-ble service and products for their needs. I look forward to the possibilities that AGG

can bring to the community and look for-

ward to establishing relationships with

new clients as well as dealing with clients

that I have supported in the past.”

GLEN TOSH, PARTNER

Glen brings over 10 years of lending

experience to Advanced Growth Group,

including seven years as a Branch Man-

ager for a local Credit Union, handling

residential mortgages and working closely

with agricultural and commercial clients.

For the past three years, Glen has been a

mortgage broker for Dominion Lendings

Advanced Growth Group, finding clients

the right residential mortgage while assist-

ing commercial clients start up or expand

their business. Glen is also a licensed Real

Estate Agent working with Royal Lepage

Martin Liberty Realty based out of Souris.

Glen is focused on delivering first-class

service to his valued clients and putting

them and their needs first. It shows, as

much of his business comes from client

referrals. Glen wants to build strong, life-

long relationships one person at a time.

TAMMY THOMPSON

Tammy brings more than 15 years ex-

perience in financial and mortgage lend-

ing. Starting with Wells Fargo Financial

as a customer service representative and

working her way up to store manager,

Tammy’s main focus is customer needs,

and she continues to strive for 100% cus-

tomer satisfaction.

Tammy is currently working as a mort-

gage broker in Brandon and currently

works with clients across Canada to put

them into their dream homes or help cus-

tomers get into a better position finan-

cially. u

adVaNCEd GrOWTh GrOuP

Works for You

aDvanCED GRoWth GRouP

Dwight Logeot Tammy Thompson

Page 79: Manitoba Oil and Gas Review

Consolidate all your high interest debt into one low

monthly payment. We can also help with residential

mortages and house lines of credit.

Access to the very best products and rates available across Canada.

Leasing Vac trucks to pump Jacks,

automotive and trucks.

Dwight Logeot / Franchise OwnerLeasing & Mortgage Professional

[email protected]

www.advancedgrowthgroup.com Dwight: 204.573.7787 • Fax: 204.573.7787 #20 Suite, 7 – 18th Street, Brandon, MB R7A 5B6 LOCALLY OWNED AND OPERATED

Page 80: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201280

The oil and natural gas industries are major drivers of Canada’s economy. It is estimated that up-

stream oil and gas accounts for $100 bil-lion of revenue annually in Canada. And over the next 25 years, it is expected that the Canadian oil and gas industry will deliver almost 25 million person years of employment, or almost one million jobs each year. This is expected to have a $3.6 trillion impact on the Canadian economy.

Spatial Data and the Exploration Process

Exploration is a vital part of the success of both petroleum and mining compa-nies focusing on the discovery and defi-nition of resource assets to be developed and put into production. Spatial data or maps are the lifeblood of the exploration process. Arguably, exploration is a process of continuously generating, analyzing and reporting spatial information to en-able go-no-go decisions about the exploi-tation of the resource asset.

There are two broad categories of map-ping: reconnaissance and operational. Reconnaissance is the discovery and defi-nition of a particular oil and gas play or ore body and it involves both surface and sub-surface work. Airborne and surface surveys seek to define the probability that a resource asset is present. This is the basis for follow-up drilling programs that pro-gressively discover and define the extent of the asset. In both cases, considerable geological, geophysical and geochemical data and analyses are generated. These datasets are processed, modeled and dis-played using a wide range software tools and applications including 3D modeling and decision support systems. The operational side deals with the reg-ulatory dimension, which is no less con-siderable. This includes the acquisition and continuous management of proper-ties and tenures in different jurisdictions, environmental assessments and stake-holder consultations. This is particularly the case with unconventional or shale

gas plays: because more wells have to be

drilled and because of the amount of wa-

ter and sand that is used to fracture and

stimulate the shale rock to release the

gas, there is more of an imprint on the

community. This involves more extensive

environmental assessments and more in-

tensive community relations.

All of this involves a wide range of

maps: first, asset definition, modeling

and analysis; second, asset development

and production planning. Asset defini-

tion maps include geological, geophysi-

cal and geochemical survey and drilling

results modeling and displays as well as

topographical, water bodies and other

base maps. Asset planning maps include

similar base maps and additionally, land

title and land use data, integrated trans-

portation, administrative boundaries,

ecological datasets and critical infrastruc-

ture.

The Challenges

There are three main challenges facing

petroleum and mining geomatics groups:

1. There is considerable valuable map

data that reside on paper maps that are

typically stored in vaults, often inacces-

sible to analysts or for digital decision

support tools;

2. Digital map data is often maintained

on file systems with no clear documented

rules on the structure of the system or

the format of the files. This results in du-

plicates, update redundancies and inac-

cessible to applications other than those

originating the data;

3. The petroleum and mining industries

are hungry for solutions that can compile

relevant, authoritative and related datas-

ets and present comprehensive results in

a single toolset for effective analysis and

decision-making.

MaPS: The Lifebloodof the Oil and Gas Industry

PaCIfIC GEotECh

Page 81: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 81

This leads to a failure to access existing and appropriate quality datasets resulting in either additional costs or worst still, missed opportunities.

Solutions

The solution to these challenges begins with the deployment of a well-designed spatial data repository to store, manage and access all spatial data to ensure data integrity. A central spatial data repository maintains the authoritative version of all corporate spatial data. It strictly enforces business rules with respect to acquiring,

storing, updating, managing and access-ing data quickly and accurately to support rapid analysis and effective decisions. The spatial data repository can be used to support the migration of paper maps to digital data by scanning, geo-referencing, feature digitization, cataloging and stor-age for effective management, access and use. This requires an effective, automated workflow process that integrates the par-ticipation of all stakeholders to ensure the quality and integrity of the data.Finally, the customization and deploy-ment of a “digital light table” can provide

accurate overlays of relevant spatial data-sets and ready access to spatially-defined quantitative data and reports and the application of analytical tools to enable more effective exploration workflow pro-cesses.

About Pacific GeoTech

PGTS is one of Canada’s leading e-busi-ness and e-government solution provid-ers and software development companies, combining strong business understanding and technical expertise to deliver spatial data infrastructures and custom web-based business solutions for land use and resources management. PGTS has dem-onstrated knowledge and expertise in the design, development, deployment and support of web-enabled mineral and pe-troleum (oil & gas) tenure management systems.

For more information, please visit our web-site at: www.pacificgeotech.com or contact [email protected]. u

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82 Manitoba Oil & Gas Review 2012

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Manitoba Oil & Gas Review 201284

A “Freehold Mineral Right” is Canadian Resource Prop-

erty (CRP) for income tax purposes and is not consid-

ered capital property; any gain on the disposition of

CRP either on a sale or upon death will be taxed at the 100%

inclusion rate.

Income received from CRP is generally treated as investment

income and as a result is not considered earned income for

RRSP purposes nor is the income eligible for the small business

rate for income tax if received by a corporation. A Canadian-

controlled private corporation that receives royalty income and

pays a dividend to its shareholders will be entitled to a refund of

some of the corporate taxes paid on the royalty income.

Upon the death of an individual CRP holder, there will be a

deemed disposition for proceeds equal to the fair market value

on the final tax return and by definition the CRP cannot be re-

ported on a “Right or Thing” tax return. If the value of the CRP

is significant, the tax liability on the final tax return may create

an unwanted tax burden to the estate causing a situation where

the only recourse for the estate is to sell the CRP.

Valuation of an interest in CRP has become complicated in

that the Canada Revenue Agency (CRA) had previously allowed

or not challenged the rule of thumb method of valuing CRP.

The rule of thumb method uses a multiple applied to the aver-

age annual royalty income received. Recently the CRA has stated

through their audit process that a simple multiple of annual

cash f low is not sufficient evidence of value and that a proper

valuation should take into account initial production, decline

rates, price forecasts and discounts factors. For situations when

CRP is not yielding royalty income and a value is needed for

estate or tax planning, consultation with a geologist, business

valuator and tax specialist should be done prior to commencing

the transaction.

Freehold Mineral Rights by Stino Scaletta, CA

The oil and gas industry is constantly changing. That’s why you need strategic business advice from a professional who understands our business and the market in which you operate.

At MNP, our teams of specialists resolve complex issues by delivering premium solutions that help you respond to emerging trends, anticipate risk, improve performance and operate more efficiently.

Working closely with you, we also help you determine which business structure, including ownership and entity, will best serve your business and tax planning needs so you can keep your business opportunities flowing.

It’s knowing your vision, your business and you.

At MNP it begins with a relationship. To find out what MNP can do for you, call Julee Galvin, CA in Virden at 204.748.1340, Deb Calverley, CGA in Deloraine at 204.747.2842 or Audrey Bonkowski, CA in Moosomin at 306.435.3347.

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Page 85: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 85

For estate planning purposes, a popular strategy is to incorporate CRP thereby

changing an income asset into a capital asset.

Advantages to Incorporation

The transfer of CRP can be done on a tax deferred basis with the ability to “freeze”

the value of the estate. This frozen estate value can then be reduced over time on a

tax-efficient basis. There is also the ability to income split the royalty income with

other family members. On death, the disposition of shares will be subject to tax at

the 50% inclusion rate thereby reducing the estate tax on the CRP by 50%.

Disadvantages of Incorporation

The tax rate for Income on royalty income will be higher than the personal tax

rate. There are potential pitfalls in that obscure tax such as corporate attribution,

“kiddie” and land transfer tax may apply after the incorporation of the CRP.

Although incorporation of CRP can be used to minimize tax upon the death of

a CRP holder, this strategy may not be appropriate for all situations and profes-

sional advice should be sought before proceeding. u

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Page 86: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201286

I have often heard of the Canada Revenue Agency being described as “the silent business partner that as-

sumes no risk but shares in the profit”. The SR&ED Program is a Canadian Gov-ernment initiative to stimulate scientific research, experimentation and develop-ment by reimbursing up to 46% of allow-able expenditures to qualifying corpora-tions. The SR&ED incentive program has resulted in over $5 billion being put into the pockets of 18,000 businesses per year in the form of either cash payments or re-duction of taxes payable. Over 75% of the businesses in receipt of SRED are small to medium-sized companies. According to CRA, over half of the companies per-forming scientific research, experimenta-tion and development work are missing out on the benefits of this program. Is

your organization taking advantage? The payment of SR&ED tax credits is dependent upon having a qualifying proj-ect. According to Section 248(1) of the Income Tax Act, the prospecting, explor-ing or drilling for, or producing, miner-als, petroleum or natural gas is precluded from scientific research and experimental development project eligibility. This spe-cifically relates to the drilling of a well in whole. There are, however, unlimited projects within the drilling process that will qualify. For example, the drilling of an exploration well will not qualify; how-ever, the creation of new tool or modify-ing an existing tool used in the explora-tion well would qualify. Failure to make this distinction has led many in the oil and gas industry to forego valid claims. Your company does not need to invent

the mouse trap; just make it better and SR&ED will beat a path to your door. The experimental development to ac-complish technological progression in order to improve materials, devices, prod-ucts or processes may qualify for SR&ED funding. As long as the applied research, which increases the scientific knowledge base of the organization, is used in a spe-cific practical application the work may qualify SR&ED tax credit. The provision of engineering expertise, modelling, pro-cess analysis, statistical examination, com-puter programming, data collection or testing may be part of an SR&ED claim, but only if the work is corresponds direct-ly to the eligible experimental develop-ment, or applied or basic research. The prevalent fallacy encountered with SR&ED is the misconception that

Get the Government’s Skininto the Game with SR&EDBy Frank Bennett, CGA, Office Manager for Sensus Partnership of Chartered Accountants, Virden Office

“The man who comes up with a means for doing or producing almost anything better, faster or more economically has his future and his fortune at his fingertips.”

– J. Paul Getty

Brandon | 204.727.5577

Russell | 204.773.2106

Shoal Lake | 204.759.2240

Souris | 204.483.1370

Yorkton | 306.482.4320

Virden | 204.748.3135

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TiffaNy BodNariuk, CadaNielle fouillard, CafraNk BeNNeTT, CGa

Partnership ofChartered Accountants

We understand your business.

SEnSuS

Page 87: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 87

Noble Well Services Inc.Box 393 • Arcola, Saskatchewan • S0C 0G0

[email protected]

FIELD SUPERVISOR | Chris Nidesh | 306.577.8793

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SR&ED is the realm of scientists and

their white lab coats tucked away in se-

cret hi-tech research facilities. Ninety per

cent of SR&ED dollars are due to work

out in the field or work done on the shop

f loor. One-off projects to solve an infre-

quent obstacle and ad hoc remedies are

often over looked while SR&ED dollars

are gone astray. An ongoing review of an

organization’s day-to-day work f low by

qualified professionals is the only way to

ensure your company receives their max-

imum entitlement.

The SR&ED program permits your or-

ganization to request a tax credit based

upon most of the expenditures related

to accomplishing research and develop-

ment each fiscal year. Expenses relating

to materials devoted an SR&ED projects,

including scrap, may be claimable. The

addition of capital assets used solely in an

SR&ED projects may enhance a claim. A

proxy of leases and overhead costs asso-

ciated with an SR&ED project qualify as

well. Sub-contract payments for tasks in

support of an SR&ED project may earn

further credits. Often the most beneficial

credit applies to wages of staff completing

SR&ED work, as this may also include

the fair market value of owner remunera-

tion. In order to maximize the value of

an SR&ED claim, seek professional as-

sistance to unearth hidden yet allowable

costs.

The Department of Finance is respon-

sible for the legislation that governs the

SR&ED Program and the CRA oversees

the administration. As with any govern-

ment initiative, change is inevitable and

often. Attain the confidence of a compli-

ant SR&ED claim and receive the maxi-

mum benefit with the assistance of a

professional experienced in the SR&ED

Program. In doing so, you will add to the

value of your company. u

204-748-2894337 King Street, Virden, Manitoba

100% Locally owned — Danny PierrardVisit our website at www.integratire.com

SEnSuS

Page 88: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201288

Serving you from locations in Elkhorn, Miniota, Birtle, Rossburn and Russell MB

Contact Info 204-842-3387 Fax 204-842-5326

www.twinvalleycoop.ca

LARRY’SOILFIELD ENGINE

Service – Rentals

Shop: 204.748.2111Cel: 204.748.5928

Almost twenty years ago, four

thought leaders met secretly

behind closed doors at the Cal-

gary Petroleum Club. For a year they

developed a company vision, solidified

their core values, defined their area of

concentration and knew that when the

doors opened in September 1993 at the

top of the (boom and bust) cycle, they

were not in business to test waters but

to make waves in the investment com-

munity. Their timing was defining: the

TSX energy index plunged for the next 18

months. Where many companies would

have failed, strong planning and a very

cost conscious approach prevailed keep-

ing FirstEnergy in good stead, to this day,

during times of volatility. Today, FirstEn-

ergy is a top tier investment bank focused

on one sector – energy.

This focus has enabled FirstEnergy to

become experts in energy by support-

ing oil and gas companies with finance

requirements, providing advice and shar-

ing highly detailed research analysis on

the 200 companies currently covered.

FirstEnergy has always taken an innova-

tive approach, excelling as problem-solv-

ers to their clients. As of March 2012, the

tightly knit, hardworking team has raised

over $89 billion for clients through 1,142

energy sector financings. Lead by one of

the company’s co-founders, Jim W. Da-

vidson, FirstEnergy has a long history of

consistency and top tier performance.

Since inception, FirstEnergy has con-

tinued to grow and has increased its glob-

al reach by diversifying energy offerings

to its clients through partnership with

France-based Societe Generale in 2005.

In 2009, FirstEnergy opened a London

office to service the growing demand for

energy investment in South America, Af-

rica, Southeast Asia, the Middle East, Eu-

rope and the former Soviet Union. “The

partnership with Societe Generale en-

abled local knowledge and global reach,”

according to Jim Davidson, Chairman

and CEO of FirstEnergy. Jim further ex-

plains their expanded reach: “Our global

presence increased in 2009 with the Lon-

don office opening which was profitable

in its second year despite a massive glob-

al financial downturn. It was great tim-

ing supported by hard work and strong

planning. London is the energy financial

centre of the universe, providing an inter-

national portfolio of clients, with antici-

pated growth of 45% to our business over

the next decade.”

FirstEnergy’s innovative approach cre-

ates new opportunities for energy com-

panies requiring capital and enhances the

evaluation and dissemination of energy

related research to new levels of quality

and accuracy. Their business model has

reshaped the way financial companies

specialize in specific sectors, including

energy. The strong work ethic may come

from the company’s structure; FirstEn-

ergy has always been a private company,

with directors who are also owner opera-

tors.

FirstEnergy’s dedicated focus on the

energy sector is seen as their competitive

advantage and distinct value proposition.

Comprised of 100 staff in Calgary and 35

in London, the firm represents clients

Focus, Commitment andPhilanthropy DriveFirst Energy to the Top

By Kathy Hnatiuk – Peritus Communications

fIRSt EnERGy

Page 89: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 89

globally. From inception, FirstEnergy’s

strategy has ensured profitability in every

quarter of it 19 year history. It is the lead-

ing underwriter of oil and gas securities

with research analysts consistently receiv-

ing high ranking in their disciplines.

Jim’s innovative spirit, acute sense of

timing and high level of industry cred-

ibility has resulted in strong financial re-

turns for the company. FirstEnergy’s open

office environment has the managing di-

rectors working alongside staff members

ensuring they are accessible for guidance

and leadership.

The founding partners have always

ensured clients are the focus and founda-

tion of FirstEnergy by incorporating the

highest levels of integrity, timeless values

and strong compliance. FirstEnergy’s cli-

ent functions are renowned throughout

the industry.

Rather than marketing FirstEnergy, the

company redirects energies to marketing

their clients through annual conferences

held in major financial centers such as

New York, London, Toronto, Montreal

and, last year, in Colombia. In addition,

clients are invited to market updates with

Martin King, Vice President of Institu-

tional Research. The advent of enhanced

web technology means these “invite only”

conferences and updates are both free

and accessible to everyone through web-

casts on the FirstEnergy website home

page (www.firstenergy.com). Addition-

ally, other innovative research such as

FirstIndex, an energy-based index, is avail-

able to anyone at anytime. Market indi-

ces are the leading measure of investor

sentiment. Through FirstIndex, the pub-

lic can more easily and accurately predict

prevailing attitudes in the energy indus-

try. Along with following market trends,

FirstEnergy maintains close watch over

changes to markets closer to home.

FirstEnergy recognizes the increased

prominence of Manitoba in the Western

Canada energy landscape and supports a

number of clients with growing presence

in the province, including: ARC Resourc-

es, Crescent Point Energy, Fairborne En-

ergy, Legacy Oil & Gas Inc., Penn West Ex-

ploration, Petrobakken Energy, Renegade

Petroleum, Surge Energy and Whitecap

Resources. Clients with interests in Mani-

toba are benefitting from the industry’s

technological advancements, which in-

clude enhanced recovery through multi-

stage fracturing techniques and water-

f looding. The Spearfish formation near

Waskada has significant potential for oil

and gas companies. Infrastructure devel-

opment and increased transportation

routes will further enhance the regions

attractiveness. This, coupled with no roy-

alties incurred on Manitoba crown land,

illustrates why FirstEnergy clients have

strong incentives to pursue this region.

The demonstrated success of its clients

is evidenced by their early entry into the

region and recently ref lected through

increased land prices and higher values

for acquisitions. For example, Fairborne

Energy recently entered into a strategic

alternative review process and has cur-

rent production of 850 bbls/d on its Sin-

clair assets, which are targeting the Three

Forks/Bakken oil. Fairborne Energy has

approximately 15 sections of land with

an estimated 140 undeveloped locations.

FirstEnergy anticipates high interest from

potential buyers for this high netback as-

set.

FirstEnergy is not all work; one of their

core values, which forms part of the com-

pany’s DNA, is giving back to the com-

munity, with 2.5% of gross revenues given

back to local charities regardless of mar-

ket conditions.

In over 19 years, FirstEnergy and its

partners have donated over $32 million

to 300 plus charities. In 2011, highlights

include: FirstAid charitable trading day,

raising over $500,000 in response to the

Slave Lake wild fires; $285,000 raised for

the Enbridge Ride to Cure Cancer; and

over $250,000 raised through FirstRowdy,

the company’s annual Stampede func-

tion. Closer to home in 1997, Manitoba

experienced the most severe f looding of

the Red River with $500 million in dam-

age. FirstEnergy allocated its trading com-

missions to the Manitoba f lood relief,

raising $450,000. Giving back to local

charities has been both a point of differ-

entiation and a marketing tool as clients

recognize that we care.

With the level of financings and focus

on corporate social responsibility comes

peer recognition, including the Ernst &

Young Entrepreneur of the Year Awards,

numerous top 40 under 40 awards, Can-

ada’s 50 Best Managed Companies, Best

Place to Work, and Volunteerism and

Community Involvement awards.

As the twentieth anniversary of First-

Energy approaches, a few things remain

certain: a continued focus on energy in

Western Canada and beyond; a commit-

ment to good business; and a sense of

responsibility to give back to the commu-

nity.

* FirstEnergy Capital Corp. is a member of

IIROC and the Canadian Investor Protection

Fund. u

232 12th Avenue, Estevan, SK S4A 1E2

Phone: 306.634.5614 Fax: 306.634.9131 Email: [email protected] or [email protected]

Surface:Wellsite acquisitions

Pipeline right-of-waysDamage settlements

Third party agreementsRental reviews

Minerals:Freehold lease acquisitionsCrown lease acquisitions

Locate missing title ownersAll related administration

Confidentiality

Services offered:Garth Hoffort - Land Manager Sheila Guenther - Operations Manager

fIRSt EnERGy

Page 90: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201290

PRaIRIE SkILLS EMPLoyMEntSERvICES PRoJECt

Servicing the rural communities of: Deloraine, Boissevain, Killarney, Melita & Hartney areas

Prairie Skills Employment Services Project

Funding Provided by: The Government of Canada The Manitoba Government

We offer the following services:

Resume and cover letters

Interview preparation

Job search techniques

Placements and referrals

Career exploring/planning

Information on training opportunities

Call today: tracey or Claudette

Tel: 204-747-2610 • Fax: 747-2320 • Toll: 1-866-875-0057

www.prairieskillsinc.net Email: [email protected]

220 Southwest Ave, Deloraine, MB R0M 0M0

Prairie Skills Employment Ser-

vices Project is hosted by Prairie

Skills Inc., a non-profit organiza-

tion run by volunteer board members

and funded 80% by the Government

of Manitoba & 20% by Service Canada.

PSESP assists individuals to prepare, find

and maintain employment within rural

Southwest Manitoba.

PSESP offers a professional and friend-

ly service to all individuals in need of

assistance, using a number of resources

to help clients achieve their end goals,

whether they’re looking to gain employ-

ment and need support creating a résumé/

cover letter, job applications, interviews,

assistance with assessing skills or return-

ing to school to upgrade skills. PSESP

also assists employers in the local com-

munities with job posting, labour market

information and job referrals. The main

office is in Deloraine, with new computer

facilities and free Internet access avail-

able to the public. We also have itiner-

ant sites in the Turtle Mountain Adult

Ed Centres in Boissevain & Killarney on

Tuesdays, the Melita Library on Thursday

afternoons and Hartney by appointment

when needed.

In the past, PSI has offered several life

skills programs and a Youth Community

Plan, both funded by Service Canada. PSI

is currently looking at offering oil ticket

courses and Class 1 training. Due to the

high demand in these fields and the lack

of skilled labourers, PSI feels it would be

beneficial to host these programs to help

both employers and potential employees.

These are valuable services offered to

all the local communities in the South-

west Region to aid and benefit individu-

als/employers. Access to services of this

type is normally found in the cities and

without the support, programs like these

disappear from the rural areas. u

PraIrIE SKILLSValuable Services

Oakland Industries is the company to call for

all your electrical needs. We’ve been in business

for more than 14 years, and our exceptional

electrical contracting professionals are the best

in the business. Give us a call and let us know

how we can help you today!

Oil and Gas Facility cOnstructiOn specialists

electrical/General cOntractOr

[email protected]

158 Anson St., Virden, MB R0M 2C0 • 204-748-3709

Page 91: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 91

atoM-JEt GRouP

Celebrating 50 years of experience in sales, service, manufacturing and repair, Atom-Jet Group is po-

sitioned to continue to grow and expand their relationships with clients the oil & gas industry. With a diversified port-folio of with divisions, the organization provides their clients a solution-based approach to business, driven by their cor-porate vision of “Leadership Through In-novation”. Offering a broad scope of industrial services, Atom-Jet Group is proud to pro-vide a “one-stop shop” benefit to their clients, including precision Machining and Advanced Manufacturing services, a division dedicated to Structural Steel and Metal Fabrication and a commercial grade Powder Coat Paint Facility. With an international presence in Russia, Eastern Europe, Australia and throughout North America, the Agri-culture Division of Ground Engagement Tools and Hydraulic Solutions has led the industry introducing innovative products - a direct result of Atom-Jet Group’s com-mitment to Research & Development. Expansion into custom Carbide Braz-ing and the recent addition of the AJILity Lift, a device to assist disabled individuals

continue employment, help further their

commitment to innovation.

This defined business strategy earned

the company a Business Excellence

Award in 2009 and ranked Atom-Jet

Group as one of Manitoba’s Top 50 Fast-

est Growing Companies over the last de-

cade. Guided by non-negotiable core val-

ues that define the organization, Atom-

Jet Group places key importance on cor-

porate citizenship. This fact exemplified

upon receipt of the Lieutenant Governor

General’s Award for Outstanding Contri-

bution to the Community.

A Range of Services

With two plants in Brandon, Manitoba

and over 50,000 square feet of operating

space, Atom-Jet Group employs nearly

100 skilled trades and senior manage-

ment. The company collaborates with cli-

ents on every aspect of the job to deliver a

superior product. From custom machin-

ing to general repair to mass production,

Atom-Jet is the only stop for any client’s

oilfield needs.

Atom-Jet Group specializes in tank

manufacturing - personal, industrial or

municipal. Well known for custom solu-

tions in hydro-vac trucks, they can also

provide immediate delivery on industrial

waste handling equipment and potable

water systems - backed with a full line of

replacement parts and a knowledgeable

service team. Full welding services are

also available, both in-house and on-site,

structural steel and other metal fabrica-

tion, along with mechanical installation

services. The paint facility boasts both

powder coat and wet paint options, in-

cluding industrial sandblasting on a com-

mercial scale.

Atom-Jet Group operates the largest

custom machine shop in Western Mani-

toba. The division is fully equipped with

a variety of conventional machining

tools, as well as state-of-the-art multi-axis

CNC machines fully capable of handling

almost any request: “one-of-a-kind” parts,

driveline and hydraulic cylinder repair,

align boring, production machining, and

custom fabrication - all CWB accredited

and approved by ISO Quality Assurance

management.

Atom-Jet Group’s custom carbide ap-

plication covers a variety of areas and

needs. What started with in-house braz-

ing, forming and welding, opened the

door for carbide applications in agricul-

ture, forestry, oil & gas and other indus-

tries over the last 25 years. They can also

assist with the design & manufacturing

for any high-wear situations application.

The Atom-Jet Group Advantage

Atom-Jet was founded with a vision of

creativity, quality workmanship and fair

dealings – a philosophy still embraced

in the organization today. The Atom-Jet

Group Advantage is a result of that belief

which led the company to focus on four

aTOM-JET GrOuP –One Stop for Every Oilfield Need

Page 92: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201292

C AN ADA’S HDD T OOL ING SPEC IAL I S T S IN THE

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atoM-JEt GRouP

essential areas crucial to their success: Reliability – “On Time, Every Time” service has become a mantra at Atom-Jet Group. They understand the importance of timeliness and the potential negative impact that can occur on the bottom-line as a result of missed deadlines. Quality Assurance – Atom-Jet Group is committed to the highest standards.

Consistent and methodical internal audit procedures, ongoing training and certifi-cations held by Atom-Jet Group divisions – including CWB, COR, ISO 9001-2008, ISNetworld, CTEA and CRN – ensure a positive and professional working rela-tionship with clients. Innovation – Proud to be at the leading edge of the industry, Atom-Jet Group is prepared to invest in innovation. Re-search & Development is a key element in the company’s growth and develop-ment that represents their vision as an organization. Over the last five years, they’ve introduced seven new products to the marketplace. Team – Atom-Jet Group knows a suc-cessful organization is built on the foundation of a solid team. That’s why their primary goal is attracting, developing and retaining the best talent through global recruiting drives and challenging their

employees, all while fostering a collabora-tive, mutually supportive environment. Atom-Jet Group works to these high standards every day, with a mission to be a reliable resource to all customers by consistently providing innovative solu-tions to improve productivity and prof-itability. These core values and wealth of experience provide their clients the Atom-Jet Advantage.

Visit www.atomjet.com or call1-800-573-5048. u

Rural Municipality of Wallace

In the Heart of Manitoba’sOil Patch

Serving the Oil Industry

ph| 204-748-1239fax| 204-748-3450

305 Nelson St. WestBox 2200Virden, ManitobaR0M 2C0 email: [email protected]

Page 93: Manitoba Oil and Gas Review

ATOM-JET AGRICULTURE | ATOM-JET CUSTOM BRAZING | AJILITY LIFT | ATOM-JET MACHINING | GLENDALE INDUSTRIES | GLENDALE POWDER COATING

ATOM JETGROUPATOM JETGROUPS I N C E 1 9 6 2

LEADERSHIP THROUGH

INNOVATION

1-800-573-5048 | www.atomjet.com

MACHINING & ADVANCED MANUFACTURING | STRUCTURAL STEEL & METAL FABRICATION | INDUSTRIAL SERVICE TANKS

SANDBLASTING | POWDER COAT PAINTING | CUSTOM CARBIDE BRAZING | GROUND ENGAGEMENT TOOLS | HYDRAULICS

Page 94: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201294

Established in 2011, Outback Mats is a family owned company lo-cated in Hartney, Manitoba. Out-

back is in the business of selling and rent-

ing rig mats to the oil and gas sector and

offers both oak and fir mats, available in

different sizes.

“We are a farm family who saw a

need in the local oilfield that we could

fill,” says Shawna Temple, who owns the

business with her husband Murray and

her parents, Doug and Helen Fenwick.

“My mom has been a successful business

owner for more than 25 years and my dad

has worked away from home for a lot of

years. This was something we could do

together and keep everyone at home so

we have more time with our family.”

Shawna says they are trying to work to-

gether to add to their farm, business and

provide for our family so our children

can come back to a rural community if

they choose. She says they currently farm

5,000 acres and would like to expand, but

with the increasing land values, lack of

available land and experienced labour

heading to the oilfield, they started look-

ing at different options to add to our

business. They own the one remaining

elevator in Hartney and purchased the

trackside, allowing access to rail service to

bring in mats by railcar.

“We do our very best to provide excel-

lent customer service,” Shawna says. “We

are efficient and are committed to build-

ing strong relationships with our custom-

ers.” u

Outback Mats Brings theStrength of Family to Business

outBaCk MatS

Page 95: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 95

IMPaCt oIL

Gregg Fischer ranched in the In-terlake of Manitoba in the mid-‘70s, and in order to support

the family farm, Gregg and his father-in-law both went to Alberta to roughneck in the oilfield. In the early ‘80s, the oil and gas brought Gregg back into Mani-toba, in the southwest corner. He then moved his family to the Melita area and worked as a Rig Manager for Can-Am Drilling, where he met up with Steve Lo-breau from Pipestone, Manitoba. Steve and Gregg worked for a few oil companies but mainly for Manitoba Oil and Gas, which later became proper-ties of Tundra Oil and Gas. They both remember the ‘80s as being fun and en-joyable from every aspect of their lives. Their families and work families were closely connected and found themselves often skating on ponds or rinks with family and co-workers, hunting and fish-ing together on their time off or bonding as a crew during shift. The oilfield came to a screaming halt in 1986, and Steve stayed farming in Pipestone. Gregg moved his family to the Steinbach area and went from oil rigs to the water well rigs. He worked for Friesen Drillers, the mother company of Can-Am. There, the value of our freshwa-ter resources and the recourse we need to take while drilling in the oil and gas industry became very clear. In early ‘90s, the oilfield started getting things moving just down the road into

Saskatchewan, where horizontal drill-

ing first came into play. Friesens gave

Gregg their blessing and he headed west,

back to the oilfield, where he saw many

familiar faces. Within the year many of

the Can-Am men were back working to-

gether. During this time, Steve and Gregg

were rig managers and company repre-

sentatives for the Williston Wildcatters

based in Arcola, Saskatchewan. There

were many wells drilled, lots of learning

and new technologies. Anywhere from

different polymer mud systems, mud

motor drilling, PDC bits, MWDs that

sped up the industry and from there has

further excelled the industry to where it

is today. The first horizontal wells were

taking as long as a month to be drilled

and now some of the same wells can be

achieved in less than a week.

In 1995, both Gregg and Steve joined

up with a consulting company called

DLM Oilfield Supervision of Carievale,

Saskatchewan. They gained extensive

knowledge in the new technologies and

were able to work in other parts of North

America, broadening their perspective of

the industry. In 2007, they acquired the

company and renamed it Impact Oilfield

Management Team Inc.

What sets Impact apart from the rest is

the belief of leaders, leading with integ-

rity and its strong family values. Family

is important, and so is feeling part of a

team. The Impact office is located in Car-

lyle, Saskatchewan, Gregg’s home, and

the Impact team is always welcomed to

sit around the dinner table and share a

meal or stop in for a coffee anytime. The

team members live as far away as Grim-

shaw, Alberta and Kamarno, Manitoba.

But as a team we invite all the families

together for fun a couple times a year.

Over the years we have done some skeet-shooting, along with a BBQ, had family fun games and even entered an Impact f loat during the local winter parade of lights and had many of the children of the team ride along and toss candy. Most of the team enjoy many outdoor activi-ties such as hunting, fishing, quad rides, motorcycle rides or just each other’s company. Both Steve and Gregg have realized that as they travel and move forward, it doesn’t matter where the industry takes them; they meet up with the same peo-ple they have rubbed shoulders in their past. The Impact team is big enough to meet all of your company needs, yet small enough to care. u

Moving Forward withImpact Oilfield Management Team

Page 96: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 201296

Index to Advertisers24-7 Enterprises Ltd. ................................................................................ 58

aBCo Supply & Service Ltd. .................................................................31

accu Land Services Ltd. .......................................................................... 58

advanced Growth Group ........................................................................ 79

advanced Growth Group | outback Mats .......................................13

agwerks ........................................................................................................... 25

all test International Inc. ......................................................................... 63

allen’s Machine Works ............................................................................. 33

altus Geomatics Manitoba ..................................................................... 75

annugas Compression Consulting Ltd. ............................................ 23

atom-Jet Group .......................................................................................... 93

Baker hughes ...............................................................................................IfC

Bird River Resources Inc. .........................................................................61

BSM Wireless Inc. ........................................................................................16

Cancade Company Limited ...................................................................60

CanElson Drilling Inc. ................................................................................ 34

Carson Energy Services Ltd....................................................................15

Central hotel ................................................................................................. 63

Clariant oilfiled Services / Prairie Petro-Chem ........................... 62

Classic vacuum truck Ltd. ..................................................................... 45

Countryside Inn ............................................................................................ 85

D&G Polyethylene Products Ltd. .........................................................14

D.B. higgenbotham ................................................................................... 28

Dalziel oilfield Consulting Ltd. .............................................................. 43

Days Inn Brandon ....................................................................................... 33

Diamond Shelters ........................................................................................ 11

Elite Safety Services Inc. ......................................................................... 22

Enbridge Pipelines (virden) Inc. .......................................................... 42

Ener-test Well Servicing & Rentals Ltd. .......................................... 43

Essential Coil & Stimulation Services ................................................19

Estevan Chamber of Commerce ..........................................................53

Estevan Meter Services Ltd. .................................................................. 54

Estevan Plastic Products Ltd. ................................................................ 55

Expro Group Ltd. ..........................................................................................71

fast trucking Ltd. ........................................................................................ 33

fillmore Riley LLP .......................................................................................64

fontana’s trucking (2006) Ltd. ........................................................... 63

fountain tire ................................................................................................. 29

four Corners associates ......................................................................... 27

freightliner Manitoba Group ..................................................................31

GB Contract Inspection Ltd. ..................................................................80

Graham Group Ltd. ................................................................................oBC

Grimes Sales & Service Co. Ltd. .........................................................69

harmax Services Ltd. ................................................................................40

heat hawg ...................................................................................................... 25

hodgson Custom Rolling Inc. ................................................................ 83

hot Rod’s oilfield Services Inc. .............................................................16

hydrodig Canada ........................................................................................ 20

Impact oilfield Management team ...................................................... 4

Integra tire auto Centre .......................................................................... 87

Ironrider oilfield Services ....................................................................... 48

Jay’s Inn & Suites ........................................................................................ 25

Larry’s oilfield Engine ...............................................................................88

Lee’s Service Centre .................................................................................. 27

Manitoba Innovation Energy & Mines.................................................. 9

Melita Chamber of Commerce ............................................................ 42

Page 97: Manitoba Oil and Gas Review

Manitoba Oil & Gas Review 2012 97

Metra Equipment Inc. ............................................................................... 35

Midwest Industrial Services ....................................................................21

Midwestern Redi-Mix (1980) ............................................................... 27

Millennium Directional Service Ltd. ................................................... 73

MnP LLP ......................................................................................................... 84

neset Consulting Service ........................................................................ 24

noble Well Services Inc. .......................................................................... 87

norbert’s trailers ......................................................................................... 44

norman G. Jensen, Inc. ............................................................................ 45

norseman Structures ............................................................................... 77

oakland Industries Ltd. ............................................................................90

outlaw oilfield hauling Ltd. ...................................................................68

Pacific Geotech Systems Ltd. .................................................................81

PennWest Exploration ..................................................................50 & 51

Pierson Welding Ltd. ................................................................................. 38

Pioneer Steel Buildings ............................................................................ 87

Power & Mine Supply Co. Ltd. ............................................................. 63

Prairie Blasting & Coating Ltd. .............................................................26

Prairie Skills Employment Services Project ...................................90

Precision Well Servicing .........................................................................IBC

Pro-Drill Industries Ltd. ............................................................................ 92

PtI Group Inc. .................................................................................................. 5

PWR Custom fencing Ltd. ..................................................................... 29

Rae’s training & Consulting.................................................................... 92

Ranchers Welding ...................................................................................... 24

Redvers oil & Gas Show ......................................................................... 49

Redwood Motor Inn ................................................................................... 32

Reliable Metal Buildings Ltd. ................................................................. 32

RM of Wallace .............................................................................................. 92

RM of Winchester ....................................................................................... 38

Rocking horse Energy Services ............................................................. 7

Royal oak Inn & Suites .............................................................................31

R.t. Jebb Electric .......................................................................................... 42

Ryan Bochek Consulting Ltd. ................................................................ 44

Safety Source ............................................................................................... 85

Schlumberger Canada Ltd. .................................................................... 85

Sensus Partnership of Chartered accountants...........................86

Sto/van oilfield Maintenance ............................................................... 29

Sunrise Credit union ..................................................................................17

Suretuf Secondary Containment Partnership .............................. 37

testlabs International Ltd. ....................................................................... 22

texcan ............................................................................................................... 36

town of Deloraine ....................................................................................... 39

town of virden ............................................................................................. 28

triangle Welding & Machine Ltd. .........................................................47

tSL Industries operations LP ............................................................... 29

tutthill Construction ................................................................................... 20

twin valley Co-op .......................................................................................88

united Centrifuge Ltd. ................................................................................. 3

united Rentals of Canada Inc. ...............................................................18

virden Mainline Motors ............................................................................ 29

Watson Land Services (1994) Ltd. ....................................................89

Western financial Group.........................................................................30

Western heritage Services .................................................................... 67

Workers Compesation Board of Manitoba .................................... 65

Page 98: Manitoba Oil and Gas Review

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Oil_Filler_FP_Layout 1 12-04-13 3:00 PM Page 1

Page 99: Manitoba Oil and Gas Review

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We offer outstanding professionaland quality service in the areas of:

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PUBL

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AG

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#409

3451

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saskatchewanoil

calendar 2012

Image courtesy of Occupational Healthand Safety Division – SaskatchewanMinistry of Labour Relations andWorkplace Safety.

Watford City:in the bullseye of the Bakken

Bakken oil brings wealth of

change to Sidney, Montana

Crude-by-rail services expedite takeaway capacity

N.D. addresses infrastructure

challenges in Bakken oil counties

Potential impacts to the oil industry

of proposed federal tax legislation

Crude-by-rail services expedite takeaway capacity

N.D. addresses infrastructure

challenges in Bakken oil counties

Watford City:in the bullseye of the Bakken

Potential impacts to the oil industry

of proposed federal tax legislation

Bakken oil brings wealth of

change to Sidney, Montana

Oil_Filler_FP_Layout 1 12-04-13 3:00 PM Page 1

Page 100: Manitoba Oil and Gas Review