Manitoba Oil Facts

Did You Know That .........?

(Printable Version)

  • Manitoba has two oil and gas producing sedimentary basins with potential for oil and gas production, southwest Manitoba and the Hudson Bay lowlands.
  • Producible oil was discovered in southwestern Manitoba in the 1950’s. This area has produced oil since 1951.
  • All Manitoba's current oil production is located in southwest Manitoba along the northeastern flank of the Williston Basin, a sedimentary basin that also occupies portions of southern Saskatchewan, North Dakota, South Dakota and Montana.
  • Potential hydrocarbon bearing-formations in southwest Manitoba occur to depths of up to 2 300 metres (7,500 feet).
  • The vast majority of the approximately 11,400 wells drilled in Manitoba have only been drilled into the upper portion of the sedimentary sequence, to Triassic, Mississippian or Bakken formations. Only 137 wells have penetrated the entire sequence, leaving half the sequence, the older formations, largely unexplored.
  • Manitoba produced 2,201,087.5 m3 of oil in 2020.
  • There is over 76 kilometers of core from wells drilled in Manitoba available for examination.
  • All pre-1980 oil production originated from Mississippian Lodgepole and Mission Canyon formations at depths that range from 600 to 1,050 metres (2,000 to 3,500 feet). These formations account for approximately 61% of Manitoba's cumulative oil production.
  • Oil was discovered in 1980 above the Mississippian in the Triassic Amaranth Formation.
  • In 1985, oil was discovered in the Bakken Formation in the Daly area.
  • In 1993, oil was discovered in the Jurassic Melita Formation in the St. Lazare area.
  • In 2004, oil was discovered in the Devonian Three Forks Formation in the Daly Field, marking Manitoba’s first pre Mississippian Production.
  • In July 2008, Manitoba approved a first CO2 Enhanced Oil Recovery project in the Daly-Sinclair Oil Field.
  • The oldest producing well drilled in Manitoba is Daly Unit #3 Prov. 7-12-10-28 which has produced since July 1951. Manitoba’s most productive well is in 2-21-11-26W1 in North Virden Scallion Unit No. 1 which has produced 2.05 million barrels of oil since June 1955.
  • Manitoba's oil is of good quality, and in 2020 the average posted selling price for light sour blend crude was $285.56 per cubic metre ($45.38 CDN per barrel). The estimated value of oil sold in 2019 was approximately $1.1 billion.
  • As of October 2021, there is approximately 5194 wells capable of production.
  • Currently there are 13 designated oil fields and 181 producing oil pools in southwest Manitoba.
  • Manitoba's crude oil production is equivalent to approximately 43% of the province's refined petroleum products requirements.
  • The current cost to drill and complete a well in Manitoba ranges from $325,000 to $1.8 Million depending primarily on depth.
  • 83 new wells were drilled in Manitoba during 2020 including 76 horizontal wells
  • Only 10 to 15% of the oil discovered in Manitoba is recoverable under natural depletion. Recovery may be increased to over 30% by water flooding.
  • Approximately 80% of the oil and gas rights are owned by private individuals or companies (freehold), the remaining 20% are owned by the Crown in the right of Manitoba.
  • There are gas shows in most of the Cretaceous shale formations throughout southwestern Manitoba. The Favel and Carlile formations have the highest gas content and are the most prospective unconventional gas targets.
  • Total oil industry expenditures in Manitoba in 2019 were approximately $352.9 million.
  • During 2018/19, the Tax and Royalties section collected $22.6 million from the petroleum industry. This revenue comprised $11.8 million in Crown oil royalties, $9.3 million in freehold oil taxes and $1.5 million from administration of Crown Oil and Gas Rights, well licences fees, battery operating permits, geophysical licences and oil and gas lease agent registration and publication sales. In 2018/19, approximately $5 million in cash, term deposits and letters of credit were administered.
  • Conversions - cubic metre = 6.29 barrels
  • 1 barrel = 35 gallons (Imperial)

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