In addition to Saleski, Cavalier holds crown leases in the following areas: House, Granor and Orchid. These leases contain a best estimate of 430 million barrels DEBIP and 4.4 billion barrels UEBIP* in the Grosmont formation.
Other operators in the region are currently conducting SAGD/CSS and solvent pilot operations in the Grosmont formation, with a 10,700 bopd commercial application currently under review. Through a combination of additional delineation drilling, seismic, engineering and laboratory studies and industry experience, Cavalier will continue to work towards the commercial development of these resources.
We are closely watching what our competitors are doing and looking for strategic acquisitions.
*Carbonate volumes as per McDaniel report effective October 31, 2011. See forward looking statement advisory for disclosure on resource information and definitions.