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Berens Energy Ltd. Releases September 30, 2006 Quarterly Financial Results
Berens Energy Ltd. Releases September 30, 2006 Quarterly Financial Results.
About this update from Argenta Silver Corp
[{"type":"text","content":"\n\n\n\n\nSymbol: BEN - TSX\n\nCALGARY, Nov. 7 /CNW/ -\n\n>\n\nReport from Management\nDrilling activity was slower in the third quarter of 2006 as we focused\non the tie in of wells drilled in the first half of the year. The wells we\ncompleted in the third quarter continued to demonstrate the potential that\nexists in Pembina. We had 80 percent success on five locations in Pembina and\nparticipated in the drilling of two additional wells in an area just west of\nLanfine, one of which was successful for a 70% overall success rate in the\nquarter. Completions and tie-ins in the third quarter have been a challenge,\nparticularly in Pembina where persistent wet weather has caused delays in many\naspects of our operations.\nIn the third quarter of 2006 the high demand our industry is placing on\noil and gas service companies seems to have eased somewhat and services are\nmore readily available. However, we have not yet seen the reduced activity\ntranslate to noticeably lower costs and we remain ever vigilant in containing\ncost pressures on drilling and operations.\nWe had placed the fall Lanfine drilling program, originally scheduled to\nspud in September, on hold pending stronger natural gas prices. These\nprolific, but small reserve targets rely on strong initial gas prices to\ndeliver strong economic return. It did not make sense to us to drill these\nwells in August only to sell the initial production at \"fire sale\" prices.\nWith the recent recovery in natural gas prices this program is now expected to\nspud in mid-November. We expect a portion of the Lanfine wells to be on stream\nby year-end. The delayed Lanfine drilling and ongoing wet weather in Pembina\nhas caused us to lower our year end exit production expectation to\napproximately 4,000 boe/d.\n\nOutlook\nWith more than 152,000 net undeveloped acres of land concentrated in four\noperating areas, we continue to be opportunity rich. Our existing land base\nwill provide ample drilling locations to pursue for the balance of 2006 and\nthroughout 2007. We currently have 37 wells approved for drilling and an\nadditional 40 locations under review which demonstrates the ongoing\nopportunities that our extensive land base provides.\nWith a recently completed equity issue and stronger natural gas prices we\nare comfortable that our balance sheet will support our programmed acti...