The September 2016 natural gas and petroleum rights sale has resulted in $2,774,083.54 in bonus bids.

On Sept. 7, 2016, 16 parcels were sold covering 20,172 hectares, with an average price of $137.52 per hectare.

The highest-value parcel in the sale was a drilling licence in the Tupper Creek – Swan Lake area, about 35 kilometres south of Dawson Creek. The parcel earned $1,645,155.79 in tender bonus at a price of $311.17 per hectare. 

Drilling licences provide the exclusive right to explore for petroleum and natural gas by drilling wells, and are acquired by the successful bidder at the Crown sale. Primary terms are three, four or five years depending on location.

Leases provide the exclusive right to produce petroleum and natural gas. They are acquired by the successful bidder at the Crown sale, or are selected from permits and drilling licences. Primary terms are five or 10 years, depending on location.

The next sale, scheduled for Oct. 5, 2016, will offer 25 parcels covering 20,496 hectares.

Complete results of the sale are posted at: http://www2.gov.bc.ca/gov/content/industry/natural-gas-oil/petroleum-natural-gas-tenure/sales-results-statistics/2016-sale-results