Pipeline Online: Public offering of Crown petroleum and natural gas
By Brian Zinchuk
Public offering of Crown petroleum and natural gas dispositions generated $7,009,226.
REGINA – The Feb. 3, 2026, Crown land sale was relatively flat in comparison to the December sale. But a significant development occurred in southwest Saskatchewan, where interest has been minimal, at best, in recent years.
This month’s public offering of Crown petroleum and natural gas dispositions generated $7,009,226, an average of $414 per hectare, according to the Ministry of Energy and Resources. This compares to $7,484,936, an average of $419 per hectare received at the last offering held on Dec. 2, 2025.
A total of 98 leases comprising 17,159 hectares were posted. Of those, 88 sold for a total of $5,315,155 for an average of $362 per hectare. An additional two licenses totalling 2,213 hectares were posted and sold for $1,694,071, or $766 per hectare. That’s unusual, because licenses typically go for a lot less per hectare than leases.
Southwest Saskatchewan
Southwest Saskatchewan is the highlight of the sale, and it’s been a long time since that could have been said. It had 30 leases posted totalling 6,868 hectares. Of those, 24 leases totalling 5,446 hectares sold. The bonus was $2,101,649, or $386 per hectare. That it’s a sharp uptick in the number of leases sold and the number of hectares, if not the value per hectare compared to 2025.
In contrast, the same February sale a year previous noted, “There were no parcels posted in the Swift Current area in this offering.” The April, 2025 sale had only 3 leases sold, totalling 1,493 hectares for $449,768, or $301 per hectare.
The June sale was pathetic, at best, with four leases totalling 777 hectares going for just $63,721, or $82 per hectare. In August, again, “No parcels were posted in this area during this offering.”
In October, five leases totalling 1,422 hectares sold for $440,073, or $309 per hectare.
The December sale had six leases totalling 1,291 hectares for $947,848, or $734 per hectare. That made the bonus for southwest Saskatchewan in 2025 a total of $1,901,410 (allowing for rounding) for 18 leases. So this February’s sale exceeds the entirety of 2025 in number of leases, total bonus brought in, and total number of hectares.
This is a notable development, as activity levels have dropped precipitously in southwest Saskatchewan over the past several years.
For over a year, Pipeline Online has been raising the alarm that activity levels in southwest Saskatchewan have been falling to the point where there is a serious risk of losing the last remaining oilfield service companies left there.
Indeed, Pipeline Online spent a good chunk of Monday speaking to an oilfield services company owner in that region who was concerned about the declining level of activity there. As an example, in recent days, the sole drilling rig working on oil was shut down, while a singular rig was drilling in the region for helium. During busier times, there would often be five rigs, or more, drilling continuously in the region. As drilling activity is the primary leading indicator of activity, when drilling stops during what is usually the busiest period of the year, it makes things difficult for all oilfield businesses tied to the drill bit in that region.
The highest bonus bid received on a lease in southwest Saskatchewan was $452,000, an average of $1,751 per hectare. This 258 hectare lease was awarded to Hummingbird Energy Inc. and is located 12.5 kilometres southwest of Frontier, near the Rapdan South Shaunavon Oil Pool.
Southeast Saskatchewan
Southeast Saskatchewan saw 24 leases posted and sold, making up 2,235 hectares for $1,788,954, an average of $800 per hectare. One license of 1,954 hectares, totalling $1,667,889, or $853 per hectare.
In southeast Saskatchewan, the highest bonus bid received on a lease in this offering is $1,223,391, an average of $1,711 per hectare. This 715 hectare lease was awarded to Saturn Oil & Gas Inc. and is located 15 kilometres east of Redvers, near the Ryerson Bakken-Torquay Oil Pool.
The highest bonus bid received on a licence in this offering is $1,667,889, an average of $853 per hectare. This 1,954 hectare licence was awarded to Cougar Creek Land Ltd. and is located seven kilometres north of Gainsborough.
West Central Saskatchewan
The total bonus received in this area was $565,349, an average of $464 per hectare. This compares to $958,006, an average of $152 per hectare at the last offering. There were 12 leases totalling 1,736 hectares posted, and 10 sold for a bonus of $565,349, an average of $464 per hectare.
The highest bonus bid received on a lease in this area is $164,426, an average of $633 per hectare. This 260 hectare lease was awarded to Trekalta Energy Inc. and is located 13.5 kilometres west of Luseland, near the Luseland Bakken Sand Oil Pool.
The highest dollars per hectare received on a lease in this area is $1,933 per hectare, a total of $125,784. This 65 hectare lease was awarded to Millennium Land (333) Ltd. and is located 12.5 kilometres southwest of Landis, south of the Reford South Waseca Sand Oil Pool.
Northwest Saskatchewan
There were 32 leases totalling 6,320 hectares posted, and 30 sold in northwest Saskatchewan. Those 30 sold totalled 5,800 hectares for a bonus of $858,212, averaging $148 her hectare. One licence for 258 hectares sold for $26,182, or $101 per hectare.
The highest bonus bid and dollars per hectare received on a parcel in this area was $302,274, an average of $1,864 per hectare. This 162 hectare lease was awarded to Synergy Land Services Ltd. and is located 1 kilometre south of Lloydminster, unusually close to the city.
The one licence posted in this area received a bid was awarded to Durham Creek Energy Ltd. and is located 1 kilometre north of Meota, according to the ministry fact sheet. Since that would place it right in Jackfish Lake, the lease is more likely northwest of Meota.