High quality and free cash flow margin assets.
We seek assets that are sustainable, aligned, large scale, low cost and high quality.
Topaz is principally exposed to high-quality, long-life, lower emission natural gas royalty assets, backed by an investment grade Canadian natural gas producer. Topaz currently owns gross overriding royalty (GORR) interests on over 3.0 million acres of land located throughout the most prolific natural gas plays in the Western Canadian Sedimentary Basin (WCSB).
Topaz has GORR interests on over 130 thousand acres of land strategically located in the Clearwater area in Alberta, which is a rapidly emerging oil play with appealing environmental characteristics including decreased land usage from multi-leg drilling, minimal water, no sand as completions are not required, and no H2S in the produced natural gas.
Topaz owns non-operated interests in natural gas processing facilities which service prominent WCSB natural gas resource plays in addition to pipeline connected water disposal and storage infrastructure which services the Alberta Montney play. All of the Company's energy infrastructure assets are underpinned by long-term, fixed fee commitments.
Topaz’s assets are strategically located in the most geologically prolific areas within the WCSB – the Montney, the Alberta Deep Basin, the Peace River High area of NEBC and the Alberta Clearwater.
Topaz’s royalty production is significantly weighted (over 90%) to natural gas, complemented by the remainder of its production volume which is comprised of light oil and condensate which incur significantly lower production costs than heavy oil.
The royalty assets provide the Company with high margin free cash flow as the Company is entitled to receive a royalty on gross production revenue. Topaz does not incur the related operating, finding and development, maintenance and other capital costs, environmental liabilities or reclamation obligations typically associated with petroleum and natural gas development.
Topaz owns royalty interests on three million acres of GORR lands operated by Tourmaline, in the most prolific natural gas plays in the WCSB. Tourmaline has a proven track record and the scale/cost profile for self-funded growth which provides outlook transparency.
Topaz owns royalty interests in the Clearwater area in Alberta, which is a rapidly emerging oil play with appealing environmental characteristics including decreased land usage with the use of multi-leg drilling, minimal water and no sand as completions do not require fracture stimulations.
Topaz's infrastructure assets are situated in the best parts of the WCSB. They were built strategically by producers within their development areas. Topaz is not exposed to long lead times or construction risk, and doesn’t carry the administrative burden associated with operatorship. Topaz lets the producer do what they do best; drill wells and operate their facilities.