Saskatchewan’s first sale of oil and natural gas rights in 2015 generated $17.5 million in revenue – a far cry from the $50.7 million the government raked in during the same period last year.
The February sale brings total land sale revenues for the 2014-15 fiscal year to $164.7 million. That’s $66 million higher than what the government had previously forecast, but Saskatchewan still faces a budget shortfall of between $600 to $800 million this year from plunging oil prices.
The Weyburn and Estevan areas attracted the most bids, with February sales totalling $8.3 million. The Lloydminster area was second at $5.3 million, followed by the Swift Current and Kindersley-Kerrobert areas at $3.2 million and $694,039 respectively.
The highest price paid for a single parcel in this latest land sale was $3.5 million for a 1,036 lease east of St. Walburg. On a per-hectare basis, the highest price was $8,586 for a 126.6-hectare lease southeast of Estevan.
The next sale of Crown oil and gas rights is scheduled for April 6.
