CALGARY, ALBERTA -- (Marketwire) -- 02/08/13 -- Diaz Resources Ltd. (TSX VENTURE: DZR) ("Diaz" or the "Company") today filed its Statement of Reserves Data and Other Oil and Gas Information as of December 31, 2012.
Summary of 2012 Reserves
The Company recorded a year-over-year 18% decrease in proved plus probable reserves to 1,005 MBOE at December 31, 2012. The estimated net present value of future net revenue attributable to the Company's reserves, before tax, using a 10% discount rate, decreased by 24% to $12.2 million (88% oil), compared with $15.9 million at December 31, 2011.
The decrease in reserves resulted primarily from lower heavy oil and natural gas prices used in the independent reserves report upon which the Statement of Reserves Data is based compared with the prices used in the 2011 independent reserves report. Downward technical revisions to the Company's Lloydminster heavy oil property were partially offset by extensions at the Company's Macklin property.
The Company's December 31, 2012 reserves were evaluated in accordance with the Canadian Oil and Gas Evaluation Handbook and National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities by McDaniel and Associates Consultants Ltd. ("McDaniel"), independent reserves evaluators of Calgary, Alberta, in a report prepared by McDaniel dated February 1, 2013 and effective December 31, 2012 (the "McDaniel Report").
The following summary is based on the McDaniel Report. SUMMARY OF OIL AND GAS RESERVES AND NET PRESENT VALUES OF FUTURE NET REVENUE AS OF DECEMBER 31, 2012 FORECAST PRICES AND COSTS RESERVES --------------------------------------------------------COMPANY TOTAL LIGHT AND MEDIUM OIL HEAVY OIL NATURAL GAS-------------------- Gross Net (i) Gross Net (i) Gross Net (i)RESERVES CATEGORY (MBbl) (MBbl) (MBbl) (MBbl) (MMcf) (MMcf)----------------------------------------------------------------------------PROVED Producing 30.8 26.7 147.5 146.9 1,347.7 1,240.7 Non-producing - - 25.2 24.3 387.5 362.4 Undeveloped - - 121.2 116.8 - -----------------------------------------------------------------------------TOTAL PROVED 30.8 26.7 293.9 288.0 1,735.2 1,603.1PROBABLE 3.9 3.1 337.8 324.0 272.3 250.0----------------------------------------------------------------------------TOTAL PROVED PLUS PROBABLE 34.7 29.8 631.7 612.0 2,007.5 1,853.1---------------------------------------------------------------------------- --------------------------------------------------------COMPANY TOTAL NATURAL GAS LIQUIDS TOTAL TOTAL-------------------- Gross Net (i) Gross Net (i)RESERVES CATEGORY (MBbl) (MBbl) (MBOE) (MBOE)----------------------------------------------------------------------------PROVED Producing 3.9 2.7 406.8 383.1 Non-producing 0.1 - 89.9 84.7 Undeveloped - - 121.2 116.8----------------------------------------------------------------------------TOTAL PROVED 4.0 2.7 617.9 584.6PROBABLE 0.4 0.3 387.5 369.1----------------------------------------------------------------------------TOTAL PROVED PLUS PROBABLE 4.4 3.0 1,005.4 953.7----------------------------------------------------------------------------
