Painted Pony Energy Ltd. announced a 2018 capital program focused on preserving financial flexibility and reducing balance sheet leverage ratios, while delivering annual average daily production volume growth of more than 45% over anticipated 2017 annual average daily production volumes. The 2018 capital budget shall limit capital investment to approximately match internally generated cash flow. The Board of Directors has approved a 2018 development capital budget which consists of: Investing $185 million of development capital; Targeting year-end 2018 net debt to annualized fourth quarter cash flow ratio of approximately 1.6x­ 1.7x based on consensus pricing; Growing annual average daily production volume by over 45%; Increasing annual average daily liquids production by 47%, with approximately 50% of 2018 forecasted liquids volumes being condensate; and Carrying an inventory of eight drilled and uncompleted net wells from the fourth quarter of 2017 into 2018 will combine with drilling 29 net wells and completing 31 net wells. Based on the 2018 capital budget of $185 million and annual average daily production volumes at the low-point of the guidance range of approximately 366 MMcfe/d (61,000 boe/d), calculated first-year capital efficiencies are expected to average approximately $1,500/Mcfe/d ($9,000/boe/d), which management believes is among the strongest capital efficiencies within the Canadian gas-weighted sector. Based on field estimates for both October and November and including pricing-related voluntary shut-ins during December, fourth quarter 2017 daily production volumes are expected to average between 306 MMcfe/d (51,000 boe/d) and 318 MMcfe/d (53,000 boe/d), an increase of 42% over fourth quarter 2016 volumes of 220 MMcfe/d (36,695 boe/d). Anticipated fourth quarter 2017 average daily production volumes were impacted by pricing-related voluntary shut-ins of 54 MMcfe/d (9,000 boe/d).