Page 19 - NorthAmOil Week 01 2021

NorthAmOil NEWS IN BRIEF NorthAmOil

UPSTREAM development opportunities, our expansion approximately 58.3 million Whitecap
in this area forms the foundation in creating common shares in exchange for all the issued
Obsidian Energy announces the ‘Cardium Champion’ along with potential and outstanding NAL shares.
future consolidation.”
2020 has been a very challenging year on
first-half 2021 drilling programme in December, and has successfully operational strength has allowed us to capture
many fronts, but our financial discipline and
Obsidian Energy began its first half 2021
programme and guidance rig-released the first two wells on the 4-35 significant opportunities including the NAL
Cardium pad located in Crimson Lake, which
Combination and the recently announced
Obsidian Energy today announced first is adjacent to the 1-27 and 12-26 pads that strategic combination with TORC Oil & Gas.
half 2021 guidance as the company were drilled in 2020 and produced some of Our fourth-quarter average production is
continues to advance its development in the highest production rates in the Company’s now expected to be approximately 63,000
the Cardium area. A total of CAD35mn Cardium development history. One drilling boepd which is 5% higher than our budget
in capital expenditures plus CAD5mn in rig is being utilised to deliver the seven-well expectation of 59,000-61,000 boepd. Capital
decommissioning expenditures is currently programme, offering significant operating spending for the quarter was approximately
budgeted for the first half of 2021, furthering and capital efficiencies. While Obsidian CAD20mn which is in line with our
the company’s Cardium development activity Energy expects to drill all seven wells prior expectations. We have ended 2020 on a very
in Willesden Green with a planned seven to spring break up, current guidance assumes strong operational note and will look to build
well drilling programme that builds on the that only five wells are brought on stream in on this momentum as we move into 2021.
2020 programme where Obsidian Energy the first half of 2021 with the remaining two Over the last five years, Whitecap has
experienced strong production results. wells scheduled to be completed as soon as significantly enhanced our dividend and
Assuming continued supportive commodity weather and ground conditions allow, giving growth model through our commitment to
prices and weather conditions, Obsidian the company a jump-start on its second half reducing costs and improving efficiencies
Energy could expand the first half drilling capital programme. in our business. This commitment, in
program to eight wells. The company’s OBSIDIAN ENERGY, January 05, 2021 combination with our strategic acquisitions,
successful optimisation program will also has transformed Whitecap into one of the
continue with CAD4mn allocated in the Whitecap Resources most sustainable pure play conventional light
first half of 2021 (included in the capital oil producers in Canada with over 100,000
expenditure figures above) in order to capture announces closing of NAL boepd (78% oil and NGLs) of corporate
further highly attractive capital efficiencies. production upon completion of the TORC
“Our 2020 drilling programme resulted in Resources, strong finish combination in late February. Our business
some of the best wells we’ve seen in the history today has proven to be resilient in a low
of our Cardium programme,” said Stephen to 2020 and robust first- commodity price environment and also has
Loukas, Obsidian Energy’s interim president the ability to significantly enhance free funds
and CEO. “Our first half 2021 programme quarter drilling programme flow as crude oil prices improve.
will build on these results with most of the We are off to a very strong start to 2021
wells adjacent to or very near our 2020 wells, Whitecap Resources is pleased to announce with a robust capital programme including six
which produced excellent production rates that it has successfully completed the drilling rigs in operation. In the first quarter
at very low operating costs. With shallow previously announced strategic combination of 2021, we expect capital expenditures of
production declines and a strong portfolio of with NAL Resources. Whitecap issued approximately CAD115-120mn and average
production of 89,000-91,000 boepd. Our
capital programme details for the balance of
the year will be released upon closing of the
TORC combination which is expected to be
on February 24, 2021.
WHITECAP RESOURCES, January 04, 2020
Samson Resources II

agrees to sell its Powder

River Basin assets for

$215mn

Samson Resources II announced today that
it has entered into a definitive agreement
under which Samson will sell all of its
Powder River Basin assets to an undisclosed
buyer for $215mn in an all-cash transaction.
The company exited 2020 producing
approximately 8,500 barrels of oil equivalent
per day (75% oil) from the Powder River

Week 01 07•January•2021 www. NEWSBASE .com P19