|By Marketwired .||
|January 22, 2014 07:39 PM EST||
CALGARY, ALBERTA -- (Marketwired) -- 01/23/14 -- Painted Pony Petroleum Ltd. ("Painted Pony" or the "Company") (TSX:PPY) is pleased to provide the following update. Highlights include:
-- field estimated production volumes in November and December 2013 averaged a record 9,970 barrels of oil equivalent per day ("boe/d"), weighted 86% towards natural gas; -- estimated production volumes in the fourth quarter of 2013 averaged a record 9,350 boe/d, weighted 84% towards natural gas; -- construction has begun on the Company's 25 million cubic feet per day ("MMcf/d") gas dehydration and condensate stabilization facility at Townsend, with completion of the plant expected by the end of the first quarter of 2014; -- Painted Pony has commissioned an engineering study for a refrigeration and gas plant facility with capacity of up to 190 MMcf/d, which is expected to be built in 2015; -- Painted Pony continues to evaluate opportunities on its light oil assets in southeast Saskatchewan, including exploration opportunities in the Torquay/Three Forks formations at Flat Lake; and -- the Company has initiated a natural gas hedging program through the first quarter of 2015 on up to 19.0 MMcf/d of natural gas production at an average fixed AECO price ranging from $3.99 CDN/thousand cubic feet ("Mcf") to $4.10 CDN/Mcf of natural gas.
Painted Pony is pleased to announce that it achieved record field estimated production rates for November and December 2013 that averaged 9,970 boe/d, weighted 86% towards natural gas. Additionally, estimated production volumes for the fourth quarter of 2013 averaged 9,350 boe/d, weighted 84% towards natural gas.
Production for the first quarter of 2014 is estimated to remain flat and is expected to increase to approximately 11,500 boe/d for the second quarter of 2014.
MONTNEY NATURAL GAS OPERATIONS
Construction of the Company's 25 MMcf/d Townsend gas dehydration and condensate stabilization facility has begun and is expected to be operational at the end of the first quarter of 2014. In addition to currently shut-in volumes at Townsend, two 100% working interest Montney wells at the 56-H/94-B-09 pad, which were drilled in the fourth quarter of 2013 are scheduled to be completed by the end of the first quarter of 2014 coinciding with the facility's start-up. The wells, which targeted the upper and lower Montney, will provide additional production volumes in the second quarter of 2014.
Painted Pony has commissioned an engineering study for a refrigeration and gas plant facility with an expected capacity of up to 190 MMcf/d. The plant, located at the Company's Townsend property, is expected to be built in 2015.
At Blair, Painted Pony has secured an additional 7 MMcf/d of firm processing capacity at the AltaGas plant, bringing total firm capacity to approximately 40 MMcf/d of natural gas. Further to the additional capacity at Blair, Painted Pony has scheduled a Daiber facility expansion for the third quarter of 2014 to 50 MMcf/d of natural gas from its current 25 MMcf/d capacity.
The Company is currently drilling a 100% working interest Montney well at the Blair 41-F/94-B-16 pad as part of a two-well (2 net) drilling and completions program on this pad in the first quarter of 2014. In addition, Painted Pony is moving a second rig this week to drill two 100% working interest Montney wells at the Blair 11-F/94-B-16 pad. Painted Pony plans to drill a total of 18 (17.0 net) Montney wells in 2014.
Painted Pony is also pleased to announce that in November 2013 it acquired a further 7,765 net acres (12 net sections) of Montney natural gas rights that are directly contiguous to the Company's core area. As at December 31, 2013, the Company had approximately 130,200 net acres (203 net sections) of Montney lands.
LIGHT OIL OPERATIONS
Painted Pony continues to evaluate opportunities on its light oil assets in southeast Saskatchewan. In conjunction with recent industry activity in the Flat Lake area, the Company is assessing the potential of additional light oil bearing zones including the Torquay formation, of which Painted Pony has over 11,300 net acres (17 net sections) of rights on the Flat Lake property. The Company plans to drill a horizontal exploratory well (0.3 net) at Flat Lake in the first quarter of 2014.
Painted Pony has initiated a hedging program by entering into natural gas fixed swap AECO contracts as follows:
---------------------------------------------------------------------------- Average Fixed Volume AECO Price Quarter (MMcf/d) ($CDN/Mcf) ---------------------------------------------------------------------------- Q1 2014 15.8 MMcf/d $4.00 CDN/Mcf ---------------------------------------------------------------------------- Q2 2014 19.0 MMcf/d $3.99 CDN/Mcf ---------------------------------------------------------------------------- Q3 2014 19.0 MMcf/d $3.99 CDN/Mcf ---------------------------------------------------------------------------- Q4 2014 19.0 MMcf/d $3.99 CDN/Mcf ---------------------------------------------------------------------------- Q1 2015 14.2 MMcf/d $4.10 CDN/Mcf ----------------------------------------------------------------------------
Painted Pony expects to report its 2013 year-end reserves information on March 4, 2014 and 2013 year-end financial and operating results on March 18, 2014.
Painted Pony will be undertaking a series of presentations to institutional investors over the coming weeks throughout the western United States, eastern United States and eastern Canada. Interested parties are invited to visit the Company's website on January 27, 2014 to view an updated presentation.
For more information please visit www.paintedpony.ca.
Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this news release.
This news release contains certain forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "believe", "plan", "potential", "intend", "objective", "continuous", "ongoing", "encouraging", "estimate", "expect", "may", "will", "project", "should", or similar words suggesting future outcomes.
These forward-looking statements are based on numerous assumptions including but not limited to (i) drilling and construction success; (ii) production; (iii) future capital expenditures; (iv) cash flow from operating activities; and (v) available capital for future capital expenditures. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect.
Forward-looking statements are based upon the opinions and expectations of management of the Company as at the effective date of such statements and, in some cases, information supplied by third parties. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions and that information received from third parties is reliable, it can give no assurance that those expectations will prove to have been correct. Forward-looking statements are subject to certain risks and uncertainties that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements.
With respect to forward-looking statements contained in this document, Painted Pony has made a number of assumptions. The key assumptions underlying the aforementioned forward-looking statements include assumptions that: (i) commodity prices will be volatile throughout 2014; (ii) capital, undeveloped lands and skilled personnel will continue to be available at the level Painted Pony has enjoyed to date; (iii) Painted Pony will be able to obtain equipment in a timely manner to carry out exploration, development and exploitation activities; (iv) Painted Pony will have sufficient financial resources with which to conduct the capital program; (v) the accuracy of geological and geophysical data and Painted Pony's interpretation of that data; (vi) production rates in 2014 are expected to show growth from 2013; (vii) that production from new wells will be substantially similar to production rates associated with existing wells in the vicinity of the Company's properties; (viii) the continued ability of the Company to generate internal cash flow and the availability of capital on acceptable terms; (ix) the current tax and regulatory regime will remain substantially unchanged; and (x) that the Corporation will have sufficient capital to carry on its proposed capital expenditure program. Certain or all of the forgoing assumptions may prove to be untrue.
Certain information regarding Painted Pony set forth in this document, including management's assessment of Painted Pony's future plans and operations, number, type and timing of wells to be drilled and the planning and development of certain prospects, may constitute forward-looking statements under applicable securities laws and necessarily involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond Painted Pony's control, including without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, environmental risks, inability to obtain drilling rigs or other services, capital expenditure costs, including drilling, completion and facility costs, unexpected decline rates in wells, wells not performing as expected, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada, the United States and globally, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, and stock market volatility and market valuations of companies with respect to announced transactions and the final valuations thereof. Readers are cautioned that the foregoing list of factors is not exhaustive. Painted Pony's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive therefrom. All subsequent and forgoing forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements.
Additional information on these and other factors that could affect Painted Pony's operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com) or Painted Pony's website (www.paintedpony.ca).
The forward-looking statements contained in this document are made as at the date of this news release and Painted Pony does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
Certain natural gas volumes have been converted to barrels of oil equivalent (BOE) on the basis of six thousand cubic feet (Mcf) to one barrel (bbl). BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
Painted Pony Petroleum Ltd.
Patrick R. Ward
President & CEO
(403) 238-1487 (FAX)
Painted Pony Petroleum Ltd.
John H. Van de Pol
Vice President, Finance & CFO
(403) 238-1487 (FAX)
The explosion of new web/cloud/IoT-based applications and the data they generate are transforming our world right before our eyes. In this rush to adopt these new technologies, organizations are often ignoring fundamental questions concerning who owns the data and failing to ask for permission to conduct invasive surveillance of their customers. Organizations that are not transparent about how their systems gather data telemetry without offering shared data ownership risk product rejection, regu...
Oct. 27, 2016 07:15 PM EDT Reads: 254
The Open Connectivity Foundation (OCF), sponsor of the IoTivity open source project, and AllSeen Alliance, which provides the AllJoyn® open source IoT framework, today announced that the two organizations’ boards have approved a merger under the OCF name and bylaws. This merger will advance interoperability between connected devices from both groups, enabling the full operating potential of IoT and representing a significant step towards a connected ecosystem.
Oct. 27, 2016 06:15 PM EDT Reads: 1,320
Kubernetes, Docker and containers are changing the world, and how companies are deploying their software and running their infrastructure. With the shift in how applications are built and deployed, new challenges must be solved. In his session at @DevOpsSummit at19th Cloud Expo, Sebastian Scheele, co-founder of Loodse, will discuss the implications of containerized applications/infrastructures and their impact on the enterprise. In a real world example based on Kubernetes, he will show how to ...
Oct. 27, 2016 06:00 PM EDT Reads: 2,985
November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Penta Security is a leading vendor for data security solutions, including its encryption solution, D’Amo. By using FPE technology, D’Amo allows for the implementation of encryption technology to sensitive data fields without modification to schema in the database environment. With businesses having their data become increasingly more complicated in their mission-critical applications (such as ERP, CRM, HRM), continued ...
Oct. 27, 2016 05:45 PM EDT Reads: 1,176
Enterprises have been using both Big Data and virtualization for years. Until recently, however, most enterprises have not combined the two. Big Data's demands for higher levels of performance, the ability to control quality-of-service (QoS), and the ability to adhere to SLAs have kept it on bare metal, apart from the modern data center cloud. With recent technology innovations, we've seen the advantages of bare metal erode to such a degree that the enhanced flexibility and reduced costs that cl...
Oct. 27, 2016 05:30 PM EDT Reads: 599
SYS-CON Events announced today that Embotics, the cloud automation company, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Embotics is the cloud automation company for IT organizations and service providers that need to improve provisioning or enable self-service capabilities. With a relentless focus on delivering a premier user experience and unmatched customer support, Embotics is the fas...
Oct. 27, 2016 05:00 PM EDT Reads: 1,058
SYS-CON Events announced today that Cloudbric, a leading website security provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Cloudbric is an elite full service website protection solution specifically designed for IT novices, entrepreneurs, and small and medium businesses. First launched in 2015, Cloudbric is based on the enterprise level Web Application Firewall by Penta Security Sys...
Oct. 27, 2016 04:30 PM EDT Reads: 1,335
Intelligent machines are here. Robots, self-driving cars, drones, bots and many IoT devices are becoming smarter with Machine Learning. In her session at @ThingsExpo, Sudha Jamthe, CEO of IoTDisruptions.com, will discuss the next wave of business disruption at the junction of IoT and AI, impacting many industries and set to change our lives, work and world as we know it.
Oct. 27, 2016 04:30 PM EDT Reads: 459
Smart Cities are here to stay, but for their promise to be delivered, the data they produce must not be put in new siloes. In his session at @ThingsExpo, Mathias Herberts, Co-founder and CTO of Cityzen Data, will deep dive into best practices that will ensure a successful smart city journey.
Oct. 27, 2016 04:15 PM EDT Reads: 3,271
Governments around the world are adopting Safe Harbor privacy provisions to protect customer data from leaving sovereign territories. Increasingly, global companies are required to create new instances of their server clusters in multiple countries to keep abreast of these new Safe Harbor laws. Is it worth it? In his session at 19th Cloud Expo, Adam Rogers, Managing Director of Anexia, Inc., will discuss how to keep your data legal and still stay in business.
Oct. 27, 2016 04:15 PM EDT Reads: 1,550
In his session at 19th Cloud Expo, Nick Son, Vice President of Cyber Risk & Public Sector at Coalfire, will discuss the latest information on the FedRAMP Program. Topics will cover: FedRAMP Readiness Assessment Report (RAR). This new process is designed to streamline and accelerate the FedRAMP process from the traditional timeline by initially focusing on technical capability instead of documentation preparedness. FedRAMP for High-impact level systems. Early in 2016 FedRAMP officially publishe...
Oct. 27, 2016 04:00 PM EDT Reads: 612
SYS-CON Events announced today that Impiger Technologies will exhibit in Booth #109 at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Impiger Technologies is a world-class, enterprise software product engineering company specializing in Mobile Application Development, Cloud Applications, Microsoft Technology Solutions, Web Technology and Telecom Services. Impiger Technologies helps enterprises improve busi...
Oct. 27, 2016 03:44 PM EDT Reads: 242
Qosmos, the market leader for IP traffic classification and network intelligence technology, has announced that it will launch the Launch L7 Viewer at CloudExpo | @ThingsExpo Silicon Valley, being held November 1 – 3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. The L7 Viewer is a traffic analysis tool that provides complete visibility of all network traffic that crosses a virtualized infrastructure, up to Layer 7. It facilitates and accelerates common IT tasks such as VM migra...
Oct. 27, 2016 03:15 PM EDT Reads: 559
In the 21st century, security on the Internet has become one of the most important issues. We hear more and more about cyber-attacks on the websites of large corporations, banks and even small businesses. When online we’re concerned not only for our own safety but also our privacy. We have to know that hackers usually start their preparation by investigating the private information of admins – the habits, interests, visited websites and so on. On the other hand, our own security is in danger bec...
Oct. 27, 2016 02:30 PM EDT Reads: 611
As companies adopt the cloud-to-streamline workflow, deployment hasn’t been very seamless because of IT concerns surrounding security risks. The cloud offers many benefits, but protecting and securing information can be tricky across multiple cloud providers and remains IT’s overall responsibility. In his session at 19th Cloud Expo, Simon Bain, CEO of SearchYourCloud, will address security compliance issues associated with cloud applications and how document-level encryption is critical for sup...
Oct. 27, 2016 01:48 PM EDT Reads: 317