Notes:
(1) 2012 figures include information based on estimated unaudited financial results that may change on the completion of the audited financial statements.
(2) The aggregate of the exploration and development costs incurred in the most recent financial year and the change during that year in estimated future development costs generally will not reflect total finding and development costs related to reserve additions for that year.
(3) Crew calculates finding, development and acquisition costs which incorporate both the costs and associated reserve additions related to acquisitions net of any dispositions during the year. Since acquisitions and divestitures have had a significant impact on Crew's annual reserve replacement costs, the Company believes that FD&A costs provide a meaningful portrayal of Crew's cost structure.
(4) The 2012 recycle ratio is calculated using the Company's 2012 4th quarter operating netback of $22.14 per boe (unaudited) which includes commodity related hedging gains for the period.
Net Asset Value
The following table provides a calculation of Crew's estimated net asset value at December 31, 2012 based on the estimated future net revenues associated with Crew's proved plus probable reserves before income tax and discounted at 10% as presented in the Sproule Report and including Crew's internal assessment of undeveloped land values.
-------------------------------------------------------------------------------------------------------------------------------------------------------- 5% 10% Discount Discount----------------------------------------------------------------------------($ thousands)Proved plus probable reserves 2,062,837 1,477,748Undeveloped Land (note 1) 286,726 286,726Bank debt as at December 31, 2012 (note 2) (242,834) (242,834)Estimated working capital deficiency as at (48,522) (48,522) December 31, 2012 (notes 2&3)Proceeds from dilutive stock options 14,569 14,569----------------------------------------------------------------------------Net asset value 2,071,736 1,487,687Diluted Common shares outstanding (thousands) 124,188 124,188----------------------------------------------------------------------------Net asset value per share $ 16.68 $ 11.98--------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:
(1) Based upon an internal evaluation of the fair market value of the Company's undeveloped land holdings as at December 31, 2012, which evaluation was completed principally using industry activity levels, third party transactions and land acquisitions that occurred in proximity to the Company's undeveloped lands during the past year.
(2) Figures include estimated information based on unaudited financial results that may change.
(3) Working capital deficiency includes an estimate of the Company's accounts receivable less accounts payable and accrued liabilities as at December 31, 2012.
CAUTIONARY STATEMENTS
Unaudited financial information
Certain financial and operating information included in this press release for the quarter and year ended December 31, 2012, including finding and development costs and net asset value, are based on estimated unaudited financial results for the quarter and year then ended, and are subject to the same limitations as discussed under Forward Looking Information set out below. These estimated amounts may change upon the completion of audited financial statements for the year ended December 31, 2012 and changes could be material.
