Tourmaline Oil Corp. Announces Operating Results for the Fourth Quarter and Full Year Ended 2017; Provides Production and Earnings Guidance for the First Quarter and Full Year of 2018
The company achieved year-over-year production growth of 30% in 2017, also on target. Fourth quarter 2017 average production was approximately 263,000 boepd.
For the first quarter of 2018, current production is ranging between 270,000 and 275,000 boepd; current total liquids production is approximately 48,000 bpd. Production is expected to ramp up further during the first quarter via planned tie - ins in all three core areas.
For 2018, the company estimated average production of 270,000 to 280,000 boepd and commodity price assumptions for natural gas (AECO $2.50/mcf for 2018), and
crude oil (WTI (US) $52.00 /bbl for 2018). Tourmaline currently has 790 mmcfpd of daily gas production that is transported to NYMEX-based hubs or priced away from AECO and Station 2 day prices.
The company expects to achieve top-tier growth and generate free cash flow in 2018. Approximately 34% of 2018 budgeted corporate revenue is generated by the company's rapidly-growing liquids portfolio.
Net debt is expected to drop from third quarter 2017 levels sequentially both at year end 2017 and in first quarter of 2018.