Welcome!

News Feed Item

Platino Energy Corp. Announces an Operational, Financial and Strategic Update, First Quarter Financial Results, Results of the Annual General Meeting, and an Updated Corporate Presentation

CALGARY, ALBERTA -- (Marketwired) -- 05/14/14 -- Platino Energy Corp. ("Platino" or the "Company") (TSX VENTURE:PZE) announces a number of items, including a corporate operations, financial and strategic update, first quarter financial results, annual general meeting results, and an updated corporate presentation.

OPERATIONAL AND FINANCIAL UPDATE

Coati Block

The Company recently received approval for a long-term test of the Coati-1 well and is currently preparing a test program to be initiated in the second quarter of 2014. The planned test will involve a re-entry of the Coati-1 well utilizing rented facilities and a jet-pump with a slick-line unit, targeting production of the U Sandstone. The Coati-1 well originally encountered 10 feet gross/8 feet net of pay (13% porosity) in the U Sandstone and tested 141 barrels of oil per day of 27 degrees API oil over a 19 hour period. The reservoir is not pressure depleted and produced minimal water. The planned U Sandstone re-entry will assist management in determining whether commercial quantities of oil can be produced from the reservoir and will satisfy Agencia Nacional de Hidrocarburos ("ANH") requirements to retain the Coati-1 evaluation area, which must be completed by the end of June 2014. The capital investment for the U Sandstone re-entry is expected to be minimal.

The Company has applied for a global block environmental license on the Coati block. All new exploration activities will be suspended until the application process is completed, which is expected to be in the third quarter of 2015.

Putumayo-8 Block

Expected exploration activity in 2014 on the Putumayo-8 block has been delayed due to issues related to community negotiations and the environmental licensing process. As a result of these delays, Platino and its partner do not expect to begin civil works on the first Putumayo-8 exploration well until late in 2015. In addition, the partners are evaluating the potential to convert the remaining 112 km2 seismic commitment to the ANH in respect of the block to an additional exploration well to be drilled in 2016.

Block Activity Summary


                                                                            
----------------------------------------------------------------------------
Block      Working Interest Activity                     Expected Timing    
----------------------------------------------------------------------------
Coati      100%(1)          Coati-1 re-entry to produce  Q2 2014            
                            U-sand                                          
                            ------------------------------------------------
                            Environmental license        Q2 2014 to Q3 2015 
                            process                                         
                            ------------------------------------------------
                            Drill Nasua exploration well Q4 2015            
----------------------------------------------------------------------------
Putumayo-8 50%              Environmental license        Q2 2014 to Q3 2015 
                            process                                         
                            ------------------------------------------------
                            Drill first exploration well Q4 2015            
----------------------------------------------------------------------------
Andaquies  100%             Evaluating further           As early as Q3 2014
                            exploration plans                               
----------------------------------------------------------------------------
(1) Working interest will be reduced to 80% upon Canacol Energy Ltd.        
("Canacol") earning-in in accordance with farm-in agreement                 

General & Administrative Expenses

Platino has significantly reduced general and administrative ("G&A") expenses to match the current level of operations to ensure that the Company preserves cash balances for use in potential asset purchases, farm-ins or other transactions. Management estimates full year 2014 G&A to be between US$3 million and US$4 million, with a go-forward annualized run-rate of approximately US$2.5 million.

2014 Full Year Budget & Change in Cash


                                                                            
----------------------------------------------------------------------------
Item                                                     US$ MM             
----------------------------------------------------------------------------
Dec 31, 2013 Cash & Short Term Investments                $54.7             
----------------------------------------------------------------------------
                                               Lower Spend    Higher Spend  
----------------------------------------------------------------------------
Capital Expenditures                             ($3.5)          ($5.0)     
----------------------------------------------------------------------------
G&A Expenses                                     ($3.0)          ($4.0)     
----------------------------------------------------------------------------
Estimated Dec 31, 2014 Cash & ST Investments      $48.2           $45.7     
----------------------------------------------------------------------------

The estimated year-end 2014 cash position equates to C$0.69 to C$0.77(2) per basic share in cash.

STRATEGIC FOCUS

The Company has continued to pursue transactions with the goal of generating near-term catalysts and management is focused on three key areas:


1.  Utilizing Platino's strong financial position. 
    --  March 31, 2014 cash and short-term investments of US$53 MM (approx.
        C$0.84(2) per basic share) 
    --  No debt 
    --  Low ANH commitments 
    --  Reduced annualized G&A run rate of approx. $2.5 MM 
2.  Maintaining the ability to act quickly on strategic opportunities. 
3.  Developing a prospective long-term portfolio. 
    --  Three Putumayo blocks with high working interests 
    --  Past production of oil at Coati with well re-entry expected in the
        second quarter of 2014 
    --  Minimal required capital spend in 2014 

                                                                            
(2) CAD/USD exchange rate of 1.1055 as at March 31, 2014                    

SUMMARY OF FIRST QUARTER FINANCIAL RESULTS

The Company's unaudited consolidated financial results for the quarter ended March 31, 2014, together with management's discussion and analysis in respect thereof are available on the Company's website at www.platinoenergy.com and under the Company's SEDAR profile at www.sedar.com.


                                                                            
----------------------------------------------------------------------------
SELECTED FINANCIAL INFORMATION                                              
----------------------------------------------------------------------------
(US$000s, except shares and data per  Three Months Ended Three Months Ended 
 share)                                   March 31, 2014     March 31, 2013 
----------------------------------------------------------------------------
Net Loss                                          (1,523)            (1,235)
----------------------------------------------------------------------------
Basic and diluted net loss per share              ($0.02)            ($0.02)
----------------------------------------------------------------------------
Weighted average shares outstanding -                                       
 Basic and Diluted                            69,492,164         67,942,164 
----------------------------------------------------------------------------
Expenditures on E&E Assets                           449              1,991 
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
----------------------------------------------------------------------------
As at (US$000s):                          March 31, 2014  December 31, 2013 
----------------------------------------------------------------------------
Cash and equivalents, and short term                                        
 investments                                      52,975             54,659 
----------------------------------------------------------------------------
Working capital surplus                           51,592             53,564 
----------------------------------------------------------------------------
Long-term debt                                         -                  - 
----------------------------------------------------------------------------
Total assets                                     111,178            112,302 
----------------------------------------------------------------------------
Common shares                                 69,492,164         69,492,164 
----------------------------------------------------------------------------

ANNUAL GENERAL MEETING VOTING RESULTS

At the annual general meeting of shareholders of the Company, which took place in Calgary, Alberta on May 14, 2014, all of the nominees proposed as directors and listed in the Company's information circular dated April 11, 2014, were elected as directors of the Company.

All other resolutions brought before the Meeting were approved by shareholders, including the appointment of Deloitte LLP as auditors and re-approval of the Company's stock option plan.

CORPORATE PRESENTATION

Platino has posted an updated corporate presentation regarding its assets and operations on its website at www.platinoenergy.com.

About Platino Energy Corp.

Platino is a Calgary, Alberta headquartered resource company engaged in the exploration for, and the acquisition, development and production of hydrocarbons in Colombia.

Advisory Regarding Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable securities laws. The use of any of the words "will", "plans", "expects", "estimates", and similar expressions is intended to identify forward-looking information concerning the Company's future operations and performance including, but not limited to: the re-entry of the Coati-1 well; determination of the production potential of Platino's assets; the suspension of exploration activities on the Coati Block pending the Company's environmental license application in respect thereof; future exploration activity and drilling program, including the Block Activity Summary; regulatory applications; future G&A expenses; estimated year-end 2014 cash position.

The forward-looking information in this news release is based on certain key expectations and assumptions made by Platino. Although Platino believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because Platino can give no assurance that it will prove to be correct.

The forward-looking information in this news release is subject to known and unknown risks and uncertainties and other factors which may cause actual results to differ materially from those expressed or implied in the forward-looking information. Such risks, uncertainties and factors include, among others: risks that Platino will face unbudgeted expenses or payment obligations that would affect its year-end cash position; the nature of the exploration and development activities on Platino's assets; risks that actual operating and capital costs will be greater than expected; risks as to the ability of the Company's industry partners to satisfy their obligations under their agreements with the Company, as well as other difficulties encountered during the exploration for, delineation, development and production of oil. As a result of the foregoing, readers should not place undue reliance on the forward-looking information contained in this news release. Readers are cautioned that the foregoing list of factors is not exhaustive.

Additional information on these and other factors that could affect the operations or financial results of Platino are included in the Listing Application (Form 2B) of Platino filed with the TSXV, which has been filed with applicable securities regulatory authorities and may be accessed through the SEDAR website www.sedar.com. The forward-looking information contained in this news release is made as of the date hereof and Platino undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contacts:
Platino Energy Corp.
In Bogota:
Tomas Villamil
President & Chief Executive Officer
+57 (1) 235-0007

Andres Cuenca
Controller & Interim Chief Financial Officer
+57 (1) 235-0007

In Calgary:
Tyler Rimbey
Vice President, Business Development
+1 (403) 262-6046
www.platinoenergy.com

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
SYS-CON Events announced today that Akvelon will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Akvelon is a business and technology consulting firm that specializes in applying cutting-edge technology to problems in fields as diverse as mobile technology, sports technology, finance, and healthcare.
WebRTC is great technology to build your own communication tools. It will be even more exciting experience it with advanced devices, such as a 360 Camera, 360 microphone, and a depth sensor camera. In his session at @ThingsExpo, Masashi Ganeko, a manager at INFOCOM Corporation, will introduce two experimental projects from his team and what they learned from them. "Shotoku Tamago" uses the robot audition software HARK to track speakers in 360 video of a remote party. "Virtual Teleport" uses a...
SYS-CON Events announced today that Datera will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Datera offers a radically new approach to data management, where innovative software makes data infrastructure invisible, elastic and able to perform at the highest level. It eliminates hardware lock-in and gives IT organizations the choice to source x86 server nodes, with business model option...
When shopping for a new data processing platform for IoT solutions, many development teams want to be able to test-drive options before making a choice. Yet when evaluating an IoT solution, it’s simply not feasible to do so at scale with physical devices. Building a sensor simulator is the next best choice; however, generating a realistic simulation at very high TPS with ease of configurability is a formidable challenge. When dealing with multiple application or transport protocols, you would be...
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, Cloud Expo and @ThingsExpo are two of the most important technology events of the year. Since its launch over eight years ago, Cloud Expo and @ThingsExpo have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors! In this blog post, I provide 7 tips on how, as part of our world-class faculty, you can deliver one of the most popular sessions at our events. But before reading the...
In his session at 21st Cloud Expo, Carl J. Levine, Senior Technical Evangelist for NS1, will objectively discuss how DNS is used to solve Digital Transformation challenges in large SaaS applications, CDNs, AdTech platforms, and other demanding use cases. Carl J. Levine is the Senior Technical Evangelist for NS1. A veteran of the Internet Infrastructure space, he has over a decade of experience with startups, networking protocols and Internet infrastructure, combined with the unique ability to it...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
Historically, some banking activities such as trading have been relying heavily on analytics and cutting edge algorithmic tools. The coming of age of powerful data analytics solutions combined with the development of intelligent algorithms have created new opportunities for financial institutions. In his session at 20th Cloud Expo, Sebastien Meunier, Head of Digital for North America at Chappuis Halder & Co., discussed how these tools can be leveraged to develop a lasting competitive advantage ...
SYS-CON Events announced today that CA Technologies has been named "Platinum Sponsor" of SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business - from apparel to energy - is being rewritten by software. From planning to development to management to security, CA creates software that fuels transformation for companies in the applic...
SYS-CON Events announced today that Elastifile will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Elastifile Cloud File System (ECFS) is software-defined data infrastructure designed for seamless and efficient management of dynamic workloads across heterogeneous environments. Elastifile provides the architecture needed to optimize your hybrid cloud environment, by facilitating efficient...
“Why didn’t testing catch this” must become “How did this make it to testing?” Traditional quality teams are the crutch and excuse keeping organizations from making the necessary investment in people, process, and technology to accelerate test automation. Just like societies that did not build waterways because the labor to keep carrying the water was so cheap, we have created disincentives to automate. In her session at @DevOpsSummit at 20th Cloud Expo, Anne Hungate, President of Daring System...
As DevOps methodologies expand their reach across the enterprise, organizations face the daunting challenge of adapting related cloud strategies to ensure optimal alignment, from managing complexity to ensuring proper governance. How can culture, automation, legacy apps and even budget be reexamined to enable this ongoing shift within the modern software factory?
Most companies are adopting or evaluating container technology - Docker in particular - to speed up application deployment, drive down cost, ease management and make application delivery more flexible overall. As with most new architectures, this dream takes a lot of work to become a reality. Even when you do get your application componentized enough and packaged properly, there are still challenges for DevOps teams to making the shift to continuous delivery and achieving that reduction in cost ...
"Cloud computing is certainly changing how people consume storage, how they use it, and what they use it for. It's also making people rethink how they architect their environment," stated Brad Winett, Senior Technologist for DDN Storage, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We provide IoT solutions. We provide the most compatible solutions for many applications. Our solutions are industry agnostic and also protocol agnostic," explained Richard Han, Head of Sales and Marketing and Engineering at Systena America, in this SYS-CON.tv interview at @ThingsExpo, held June 6-8, 2017, at the Javits Center in New York City, NY.