"The approval of this budget by our Board of Directors is an endorsement of the Quattro team's work and technical understanding of the potential within the Company's diverse land base." said
The Company anticipates that its development drilling efforts combined with its ongoing remediation and consolidation activities will carry Quattro's 2,500 boe/d exit target in 2014, up to 3,500 boe/d (net) in the 12 months ending
2 / 2 Vertical Oil Wells at Oak BC. - targeting the Halfway with in our current producing Pool
1 / 2 Horizontal Oil Wells in East Central Alberta - targeting the
4 / 4 Oil Wells at Rangeview Saskatchewan - targeting the Madison and
8 /40 Oil Wells at McMullen,
8 /10 Vertical Natural Gas Wells at
23/60 Diversified between 16(net) oil and 8(net) natural gas wells, Quattro's net cost being approximately
The proposed wells are located within Quattro's existing lands, operated by the Company where there is proven production and established well performance. Therefore they have been deemed to be low risk development wells, using proven drilling and completion techniques with unrestricted access into our existing facilities. The Phase I program is estimated to be completed at an average cost of
1/2 Exploration Wells at
The Exploratory well in the
The balance of the budget totaling
The capital budget will be funded from cash on hand and the allocation of 70% of projected cash-flow from operations anticipated in the next 30 months. Phase I of the budget is supported by our trailing performance and engineering independently reviewed in
The Company is also pleased to announce the negotiated increase in our term loan facility with
"We are pleased with the outcome of our negotiations." commented
The Company's budget and projections are based on the pricing of
This announcement of Quattro's development drilling activities, which have been in the planning stages for the past 12 months, further expands on the details disclosed in in our projections and the anticipated expansion of Quattro's operating netbacks from
Quattro continues to diligently strengthen the foundation of the Company, as summarized in our operations and projections outlined in our 3 year organic plan, to achieve a rate of 6,000 boe/d by year-end 2016.
For further information we encourage investors to visit our Website, www.qxp-petro.com to review our current Corporate Presentation for details.
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings which are available at www.sedar.com.
This news release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in
Barrel ("bbl") of oil equivalent ("boe") amounts may be misleading particularly if used in isolation. All boe conversions in this report are calculated using a conversion of six thousand cubic feet of natural gas to one equivalent barrel of oil (6 mcf=1 bbl) and is based on an energy conversion method primarily applicable at the burner tip and does not represent a value equivalency at the well head.
Trading in the securities of
FOR FURTHER INFORMATION PLEASE CONTACT:
Quattro Exploration and Production Ltd. Leonard Van BetuwPresident and Chief Executive Officer Office (403) 984-3917 or Direct Line (587) 228-7070 firstname.lastname@example.org Source: Quattro Exploration and Production Ltd.