Storm Resources Ltd. Provides Production Guidance for the First Quarter, Second Quarter, Third Quarter, Fourth Quarter and Year 2019; Reports Audited Consolidated Production Results for the Fourth Quarter and Year Ended December 31, 2018
Production in the second and third quarters of 2019 is expected to be approximately 20,000 to 21,000 Boe per day based on current indications for Western Canadian natural gas prices during this period ($0.75 per GJ at Station 2 and $1.25 per GJ at AECO). This level of production is the minimum that would fulfill firm transportation commitments and assumes interruptible service on the Alliance Pipeline is not available.
Forecast fourth quarter production to be 23,000 Boe/d 25,000 Boe/d from previous guidance of 23,000 Boe/d- 25,000 Boe/d.
Forecast annual production to be 21,000 Boe/d- 24,000 Boe/d from previous guidance of 21,000 Boe/d- 24,000 Boe/d.
The company reported audited consolidated production results for the fourth quarter and year ended December 31, 2018. For the quarter, the company's production increased to a record of 22,432 Boe per day which represents growth of 25% on a per-share basis from the prior year and also exceeded guidance of 19,000 to 21,000 Boe per day (production was rapidly increased in mid-November in response to a strengthening natural gas price at Chicago). Liquids production (field condensate plus gas plant NGL) grew by 24% year over year with liquids representing 19% of total production and 25% of production revenue.
For the year, the company's Production averaged 20,538 Boe per day which was consistent with guidance and represents growth of 28% on a per-share basis from last year. Liquids production grew by 26% (condensate by 27%) with liquids representing 18% of total production and 35% of production revenue.