The Weyburn-Estevan area saw a 189 per cent increase in land lease sales of oil and gas rights over the sale in December 2002.

Sales in the Weyburn-Estevan area totaled $1,645,910.60 for the Feb. 11 sale, up from the $869,593.88 sale in December of last year.

"December was a low sale for the Weyburn-Estevan area; last year at this time it was $1.2 million, so you're back where you should be," said Ed Dancsok, director of Geology and Petroleum Lands Branch for Industry and Resources.

The Weyburn area sale was the fourth highest in the province with Swift Current leading at $5.85 million, Kindersley-Kerrobert with just over $5.35 million and Lloydminster with $3.55 million.

Natural gas interest continues to be high in the province, however it is beginning to move back to normal.

Gas accounted for 50 per cent of the February sale, compared to 80 per cent in the December 2002 sale.

Typically gas only generates around 25 per cent of the over all land lease sale.

The top purchaser of acreage in the Weyburn-Estevan area was Prairie Land & Investment Services Ltd. who bought six lease parcels at $299,205.

A group led by Purcell Energy Ltd. paid top price for a single lease in the area, at $131,896 for a 32.37 hectare (80 acres) for a parcel 28 kilometres east of Weyburn.

The Purcell Energy sale was also the highest dollar per hectare in the area at $4,074 per hectare ($1,648/acre).

On average, the price paid per hectare in the Weyburn-Estevan area was $188.52 ($76.29/acre) compared to $80.15 per hectare ($32.44/acre).

Dancsok attributes the increase in price per hectare to increased cash flow in the petroleum industry.

"The price of oil and gas is very high right now and companies have a lot of cash flow because of it, and with that there's a lot of cash on hand and they're just trying to find ways to spend it," said Dancsok.

Total sales in the province were $16,391,232 compared to $16,674,909 for the last sale in December 2002.

The year to date total is $110 million, more than double the amount for the 2001-02 fiscal year.