The GORR Transaction provides for a 1.5% non-convertible GORR to the Purchaser in exchange for cash consideration of
As previously announced, the Company was drawn approximately
As part of the Company's recent credit facility expansion, the
As part of the Company's ongoing risk management activities, Rubellite has layered in additional hedges for 2024 downside price protection and now has varying contracts in place to manage West Texas Intermediate and Western Canadian Select price exposure for an average 2,150 bbl/d for calendar year 2024 at an estimated WCS price of
As at
Commodity | Volumes Sold (bbl/d) | Term | Reference/Index | Contract Traded Bought/Sold | Average Price ($/bbl) |
Crude Oil | 1,500 bbl/d | WTI (USD$/bbl) | Swap - sold | ||
Crude Oil | 100 bbl/d | WTI (CAD$/bbl) | Swap - sold | ||
Crude Oil | 1,100 bbl/d | WCS - WTI Differential (USD$/bbl) | Swap -sold | ( | |
Crude Oil | 500 bbl/d | WCS - WTI Differential (CAD$/bbl) | Swap - sold | ( | |
Crude Oil | 1,750 bbl/d | WTI (CAD$/bbl) | Swap - sold | ||
Crude Oil | 200 bbl/d | WTI (USD$/bbl) | Swap - sold | ||
Crude Oil | 200 bbl/d | WCS (CAD$/bbl) | Swap - sold | ||
Crude Oil | 1,600 bbl/d | WCS - WTI Differential (CAD$/bbl) | Swap - sold | ( |
Rubellite is a Canadian energy company engaged in the exploration, development and production of heavy crude oil from the
ADVISORIES
BOE VOLUME CONVERSIONS
Barrel of oil equivalent ("boe") may be misleading, particularly if used in isolation. In accordance with NI 51-101, a conversion ratio for conventional natural gas of 6 Mcf:1 bbl has been used, which is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. In addition, utilizing a conversion on a 6 Mcf:1 bbl basis may be misleading as an indicator of value as the value ratio between conventional natural gas and heavy crude oil, based on the current prices of natural gas and crude oil, differ significantly from the energy equivalency of 6 Mcf:1 bbl. A conversion ratio of 1 bbl of heavy crude oil to 1 bbl of NGL has also been used throughout this news release.
ABBREVIATIONS
The following abbreviations used in this news release have the meanings set forth below:
bbl barrels
bbl/d barrels per day
boe barrels of oil equivalent
INITIAL PRODUCTION RATES
Any references in this news release to initial production rates are useful in confirming the presence of hydrocarbons; however, such rates are not determinate of the rates at which such wells will continue production and decline thereafter and are not necessarily indicative of long-term performance or ultimate recovery. Readers are cautioned not to place reliance on such rates in calculating the aggregate production for the Company. Such rates are based on field estimates and may be based on limited data available at this time.
FORWARD-LOOKING INFORMATION
Certain information in this news release including management's assessment of future plans and operations, and including the information contained under the headings "Operations Update" and "Outlook and Guidance" may constitute forward-looking information or statements (together "forward-looking information") under applicable securities laws. The forward-looking information includes, without limitation, statements with respect to: the anticipated benefits to be derived from the Acquisition, the closing of the Acquisition, the timing for the completion of the Acquisition and the funding of the Acquisition; future capital expenditures, production and various cost forecasts; the anticipated sources of funds to be used for capital spending; expectations as to drilling activity, regulatory application and the benefits to be derived from such drilling including production growth; expectations respecting Rubellite's future exploration, development and drilling activities and Rubellite's business plan; and including the information and statements contained under the heading "Outlook and Guidance" and "About Rubellite".
Forward-looking information is based on current expectations, estimates and projections that involve a number of known and unknown risks, which could cause actual results to vary and in some instances to differ materially from those anticipated by Rubellite and described in the forward-looking information contained in this news release. In particular and without limitation of the foregoing, material factors or assumptions on which the forward-looking information in this news release is based include: the completion of the Acquisition; the successful operation of the
Undue reliance should not be placed on forward-looking information, which is not a guarantee of performance and is subject to a number of risks or uncertainties, including without limitation those described herein and under "Risk Factors" in Rubellite's Annual Information Form and MD&A for the year ended
SOURCE
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