Questerre Energy has entered into a binding agreement to sell its non-operated minority working interest in its Kakwa Central assets for total consideration of $23.5 million.
Pursuant to a purchase and sale agreement, the consideration includes a cash payment of $23.5 million, the assumption of decommissioning liabilities for the assets as well as the Company's commitments under its firm transportation and processing contracts. The agreement is scheduled to close on May 1, 2026, and is subject to receipt of requisite approvals and customary adjustments. Production from the Kakwa Central assets averaged approximately 650 boe per day during the first quarter of 2026. Post the disposition, Questerre production is expected to average over 4,500 boe per day including production from its Kakwa North assets where it holds a 50% working interest.
Michael Binnion, President and Chief Executive Officer of Questerre, commented, 'We invested in Kakwa Central over 14 years ago to extend the condensate rich window of the Montney. It was a success and we jointly drilled over 40 wells to develop these lands. This sale strengthens our balance sheet without the issuance of any equity capital. We are focused on developing our other assets including our adjacent lands at Kakwa North.'
Source: Questerre
