Forward Thinking in the Multi-Faceted
Canadian Oil & Gas Industry
A Calgary based company, Chinook Energy, Inc. directs its efforts into exploring possibilities in the oil and gas industry as well as establishing new drilling and collection sites in areas exhibiting considerable potential. With the diverse expertise of their team members, they are able to insure consistent profit growth through creating highly sustainable developments. Likewise, they utilize environmentally friendly techniques to maximize efficiency and minimize their carbon footprint.
President and CEO
Under the well-rounded leadership of President and CEO Walter Vrataric, Chinook Energy’s operations continue to expand. Vrataric’s history with the company is preceded by notable experience in land negotiations and management as well as governance of various other corporations within the oil and gas production industry. His presidency of Chinook began on May 10, 2012, and CEO status was gained on December 31 of the following year. Before being promoted to those positions, he held the appointment of Vice President of Business Development and Land, beginning in June of 2010.
The Chinook Energy business strategy revolves around generating sustainability and fostering growth in reserves, production and profits via their numerous developments within the Western Canadian Sedimentary Basin. This area holds virtually limitless opportunities, and their holdings here include:
- • Grande Prairie District
This sector is comprised of properties at Gold Creek, Valhalla, Wapiti and Knopcik. The company owns more than 84 gross sections in this area; of those, in excess of 50 are located within the Montney fairway which is vital to the projected Canada oil and gas upsurge. Gold Creek sites currently average 2,000 barrels of oil equivalent per day. A single new drilling site has been found to generate an estimated 500 BOE/D in liquid resources along with approximately 6 mmcf/d of natural gas.
- • Grande Prairie Area
Also in the Grande Prairie vicinity are Chinook’s Dunvegan Formation properties. Their Doe Creek sites alone produce a combined average total of 255 BOE/D with a sizable portion of undeveloped land remaining to sustain future drilling efforts. Pools in the Albright and Beaverlodge areas initially produced 289 BOE/D but have since been bolstered an additional 1,100 BOE/D due to a single work-over and recompletion.
- • Peace River Arch District
Holdings in Gordondale, Hotchkiss & Rainbow and Boundary Lakes round out Chinook Energy’s assets in this sector. Their first well in the Birley/Umbach area came online during the first quarter of last year, generating 1,336 BOE/D. Production currently equates to an average 785 BOE/D made up of 3.89 mmcf/d in natural gas and 135 barrels of condensate.
In regards to these rates, President and CEO Vrataric said, “We are pleased with these initial results as it confirms an extension of productive Montney from industry activity south of our land across a large portion of our large undeveloped land base.”
Chinook Energy strives to ensure their entire staff is well versed in the latest relevant strategies and equipment use. Routine training is key to this goal due to the ever-changing nature of these components. Safety is also a primary concern. Without the appropriate safety measures, equipment repair and replacement costs would cut deeply into the company’s profits and spending plans; not to mention, having as few as one or two improperly trained workers in the field could compromise the welfare of their crews and the success of their projects.
Supply Chain Management
Companies supplying the materials to construct Chinook Energy’s drilling facilities are perhaps the most crucial link in their supply chain. Ensuring these distributors adhere to industry regulations when developing the materials they order helps keep their standards and production rates on track. While this requires building a close professional relationship with suppliers to establish a solid level of trust, it also necessitates meticulous attention to detail. The company strictly monitors all of their outsourced products and services to guarantee they continue meeting their expectations.
Technology guides the oil and gas industry with advancements in surveying equipment enabling Chinook Energy to better determine the potential of land they consider acquiring. Additional system upgrades place the company in a position to forecast the impact their efforts have on the locations surrounding their assets as well as the environment. Machinery and techniques are equally important, and improvements in these respects allow them to use their equipment to the fullest advantage of the company and its investors.
Additional system upgrades place the company in a position to forecast the impact their efforts have on the locations surrounding their assets as well as the environment. Machinery and techniques are equally important, and improvements in these respects allow them to use their equipment to the fullest advantage of the company and its investors.
Key Future Projects
Plans are under way for future expansions in the company’s Birley/Umbach operations aided by the projected purchase of a second location in that region. Their outlook also includes new site development within the yet untapped sectors of their 300 net sections of the Grande Prairie area. Future acquisitions are being negotiated, facilitated by Vrataric’s strengths in this field.
The company’s President and CEO will also be covering a number of key points during his presentation at the Macquarie Canadian Energy Conference in June. In accordance with their revised capital program for 2015, Chinook Energy will be allotting 33 percent of their interests to infrastructure and facility support while 11 percent is designated for seismic studies and land surveys. An additional 46 percent is earmarked for drilling, tie-ins, completion and equipment of currently ongoing projects.
Among the company’s improvement goals is to be aware of more cost-efficient materials, techniques and practices as they are developed. As a relatively young field, fracking holds a great deal of promise in their industry. The latest discoveries in this technology remain at the forefront of Chinook Energy’s interests. Aside from those, regularly adjusting their operations and expenditures to compensate for fluctuating oil prices continues to be a concern. Ingenuity and notable experience in these regards play a sizable role in successfully doing so.
An estimated 39 percent of Chinook Energy Inc.’s Canadian production is currently generated through their Grande Prairie holdings whereas 21 percent stems from their Peace River Arch properties. An estimated $75 million in working capital promotes flexibility within their operations, backed by an additional $125 million credit capacity brought about by the disposition of their Gilby and Karr assets. Future expansions funded by these financial resources promise to heighten their earnings.
Company executives expect the scale of their projects to grow along with the opportunities presented to them. This is among the driving factors behind their ability to consistently deliver gains for investors. Furthermore, as they expand, they bolster the job market for surrounding communities and promote local economic prosperity.
Chinook Energy Inc. is a Calgary-based upstream oil and gas company with exploration and production operations focused in Western Canada.
The Company’s average production rate was 6,103 boe/d for the second quarter of 2015. Chinook has a land base of over 240,000 net undeveloped acres in Western Canada.
As a pure domestic focused company with no debt, positive working capital and a credit facility with a current maximum availability of $75 million, Chinook is well positioned to accelerate the development of its recent Montney successes at Birley/Umbach property in northeastern British Columbia and Grande Prairie in northwestern Alberta.
CHINOOK ENERGY HQ
Suite 1000, 517 – 10th Avenue SW
Calgary, Alberta T2R 0A8
Email – email@example.com
Website – https://www.chinookenergyinc.com/