Acerta Energy Ltd. to Acquire Astara Energy Corp., Adding 5,000 boe/d of Oil-Weighted Production and Growing to an Estimated 13,900 boe/d at Close in Alberta's Established Conventional Oil Fairways
Transaction Highlights
- Adds 5,000 boe/d of operated, liquids-rich production, increasing current corporate production by approximately 67% to approximately 12,500 boe/d, rising to an estimated 13,900 boe/d at closing as new wells from Acerta's ongoing drilling program come on stream
- Increases corporate liquids weighting to 60% and oil weighting to 50%, with oil production more than doubling to approximately 6,200 bbl/d
- Acquired reserves are approximately 74% liquids, complementing Acerta's existing Cardium light oil position, and provides synergies across G&A, operations, procurement and marketing as the combined business scales
- Proved reserves of 18.1 MMboe with a net present value of $282.4 million, and proved plus probable reserves of 28.0 MMboe with a net present value of $430.0 million, each discounted at 10% before tax
- Established waterfloods in the Doe Creek and Sunburst pools, including the Valhalla North B Sand flood under injection since 1994, supporting a shallow base decline
- 94% of the acquired assets are operated, giving Acerta direct control of capital allocation, cost structure and pace of development
- Provost Viking adds approximately 250 million barrels of net original oil in place with 2.0% recovered to date, leaving significant primary production and waterflood upside
- Acquisition includes $279 million of tax pools expected to shelter a portion of future taxable income and enhance after-tax free cash flow
- Annualized NOI of ~$70 Million CAD (based on Q2'26)
- Funded through a tap of Acerta's existing senior secured bond due 2031 and cash on hand, further supported by a working capital financing from Trafigura
CALGARY, AB, Aug. 27, 2026 /CNW/ -- Acerta Energy Ltd. ("Acerta" or the "Company") has agreed to acquire Astara Energy Corp. ("Astara") by way of a plan of arrangement (the "Acquisition"). The Acquisition adds approximately 5,000 boe/d of operated, liquids-rich production, including 3,600 bbl/d of light and medium crude oil, more than doubling Acerta's crude oil production to approximately 6,200 bbl/d and increasing corporate production by 67% to approximately 12,500 boe/d, rising to an estimated 13,900 boe/d at closing as new wells from Acerta's ongoing drilling program come on stream over the coming weeks. Pro forma, Acerta's production is approximately 60% liquids and 50% crude oil. The Acquisition reflects a total transaction value of approximately $127 million, inclusive of assumed net debt. It has been unanimously approved by the boards of directors of both companies and, concurrent with signing, Astara shareholders approved the Arrangement by written resolution.
The acquired assets are approximately 74% crude oil by reserves and are underpinned by established waterfloods in the Doe Creek pools at Valhalla and Sinclair and in the Sunburst at Countess, including the Valhalla North B Sand flood, which has been under injection since 1994. Secondary recovery supports a shallow base decline and provides recovery factor upside that is realised through injection and optimisation rather than solely through drilling capital.
Dr. Robert Brady, President & Chief Executive Officer of Acerta Energy, commented:
"Astara more than doubles our oil production and diversifies our base of development opportunities, just five months after our first acquisition. The barrels we are adding are the kind we value most: oil-weighted, long-life and slow to decline. This is a meaningful step in building the low-risk conventional oil-focused company that we set out to build."
GLJ Ltd. completed an independent due diligence review of the assets (the "GLJ Review") effective August 31, 2026. The GLJ Review sets out total proved reserves of 18.1 MMboe with a before-tax net present value of $282.4 million and proved plus probable reserves of 28.0 MMboe with a before-tax net present value of $430.0 million, in each case discounted at 10% and using the 3 Consultants' Average July 1, 2026 price forecast.
Gary Lifshits, Chief Operating Officer of Acerta Energy, said:
"This portfolio fits how we operate: conventional reservoirs, a substantial inventory of low-risk drilling locations, and established waterfloods with most of the recovery still ahead, 360 million barrels under approved schemes at seven percent recovered and another 250 million at Provost on primary. We can grow it with the drill bit while the floods offer significant asymmetric upside."
The acquired assets form a concentrated, operated position across southern and east-central Alberta and the Peace River Arch, supported by owned processing infrastructure and an extensive oil, gas and water gathering network. They also carry a multi-year inventory of low-risk development drilling locations, largely short-payout horizontal wells offsetting existing production, where recent drilling has met or exceeded booked type curves. Acerta will operate substantially all of the acquired production.
Mike Woodford, Chief Commercial Officer of Acerta Energy, stated:
"We signed Astara fully funded, through a tap of our existing bond and cash on hand. We built Acerta with partners who move at the same speed we do, and a second acquisition inside five months shows that. We continue to evaluate opportunities across the basin and will move decisively where they are accretive."
The Acquisition follows Acerta's inaugural transaction in April 2026 and delivers on the consolidation strategy set out at that time. The Acquisition also brings with it significant tax pools, which are expected to shelter future taxable income and enhance after-tax free cash flow. Acerta's marketing arrangements with Trafigura will be extended to the acquired volumes. Closing is expected in September 2026, subject to court approval and Competition Act clearance.
About Acerta Energy Ltd.
Acerta Energy Ltd. is a Calgary-based oil and gas company focused on the acquisition, optimization, and development of producing assets in the Western Canadian Sedimentary Basin. Backed by McIntyre Partners and Trafigura, Acerta is led by a proven management team with deep technical and operational expertise and a track record of building and scaling successful oil and gas businesses organically and by mergers and acquisitions in western Canada and internationally.
About McIntyre Partners
McIntyre Partners is an investment company focused on special situations and mid-market buy-outs. McIntyre Partners holds a portfolio of investments in the upstream oil and gas, energy services, chemicals, and industrial sectors. Previous Canadian investments include financing the 2021 buy-out of Japan Canada Oil Sands Limited from JAPEX and its subsequent successful exit to Waterous Energy Fund in 2024.
About Trafigura
Trafigura is a leading commodities group, owned by its employees and founded over 30 years ago. Trafigura deploys infrastructure, market expertise and a worldwide logistics network to move oil and petroleum products, metals and minerals, gas and power, from where they are produced to where they are needed, forming strong relationships that make supply chains more efficient, secure and sustainable. The Group employs approximately 14,500 people, of whom over 1,400 are shareholders, and operates in over 150 countries.
Advisors
Dentons is acting as legal counsel to Acerta in connection with the Acquisition. GLJ Ltd. prepared the GLJ Review in respect of the acquired assets. Pareto Securities is acting as placement agent in connection with the bond tap.
Reserves Advisory
Reserves and value information in this news release is taken from a report prepared by GLJ Ltd. for Acerta Operating Corporation for due diligence purposes, effective August 31, 2026, using the 3 Consultants' Average July 1, 2026 price forecast. GLJ describes the work as an independent modified mechanical update and due diligence review of Astara's December 31, 2025 corporate year-end evaluation. The reserves definitions applied are those contained in the Canadian Oil and Gas Evaluation Handbook (COGEH) and National Instrument 51-101. GLJ states that a review of this nature is not COGEH compliant and refers to the results as the GLJ Sensitivity. Estimates of reserves and future net revenue are estimates only, the net present values shown do not represent fair market value, and there is no assurance that the forecast prices and costs assumed will be realised. References to original oil in place and to current and target recovery factors are internal and operator estimates and are not reserves or resources estimates. Original oil in place is the quantity of oil estimated to be contained in a reservoir prior to production, and there is no certainty that any portion of those volumes will be recovered.
Forward-Looking Statements
This news release contains forward-looking statements regarding Acerta Energy Ltd.'s business and operations. Forward-looking statements typically include words such as "anticipate", "deliver", "plan", "focus", "will" or similar expressions. These statements are based on a number of assumptions, including: completion of the Acquisition on the terms contemplated; the performance of the acquired assets consistent with expectations; commodity prices; operating and capital costs; availability of services, labour and equipment; and general economic and industry conditions. Forward-looking statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied. These risks include, among others: failure to obtain required regulatory, court approval; integration risks; variability in production and reservoir performance; commodity price fluctuations; cost inflation; availability of services; regulatory changes; and other risks inherent in the oil and gas industry. Readers are cautioned not to place undue reliance on forward-looking statements. These statements are made as of the date of this news release, and Acerta Energy Ltd. undertakes no obligation to update them except as required by applicable law.
SOURCE Acerta Energy Ltd.
For further information, please contact: Mike Woodford, Chief Commercial Officer, Acerta Energy Ltd., [email protected]
Share this article