Athabasca Oil Corporation Announces Initial 2014 Capital Budget

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[{"type":"text","content":"\n\n\nCALGARY, Dec. 17, 2013 /CNW/ - Athabasca Oil Corporation (TSX: ATH)\n (\"Athabasca\" or \"the Company\") announces its initial 2014 capital budget. Athabasca's board of\n directors approved a capital budget of $460 million, comprised of $348\n million for Thermal Oil, $106 million for Light Oil and the remainder\n for Corporate activities, excluding capitalized general and\n administrative costs and interest.\n\n\nAthabasca is committed to capital discipline. The Company has undertaken\n a comprehensive review of its exploration and development priorities\n with a view to balancing capital expenditures with funding.\n Accordingly, the completion of Hangingstone Project 1 and Duvernay\n drilling and completion are the focus of the Company's 2014 budget.\n\n\nAthabasca's growth strategy is to develop its considerable resources\n with joint venture partners. The Company seeks to put in place such\n partnerships in both its Light Oil and Thermal Oil assets. Athabasca\n looks forward to receiving government approval for the Dover Commercial\n Project, at which time it has the opportunity to exercise a $1.32\n billion put option with PetroChina. Athabasca will review its capital\n spending program as any of the aforementioned events transpire.\n Athabasca will not sanction any new projects until funding is secured.\n\n\nThe 2014 capital budget is presented in the table below. The primary\n components of the budget consist of:\n\n\n\nHangingstone Project 1: $225 million;\n\n\nHangingstone Regional Infrastructure and Production Support: $58\n million;\n\n\nHangingstone Expansion: $45 million for regional activities and to\n advance the regulatory approval;\n\n\nDuvernay: $76 million, includes the drilling of two wells and the\n completion and tie-in of four wells;\n\n\nLight Oil Other: $30 million for Montney which includes capital for the\n recently announced two well program and general costs primarily made up\n of lease rentals, production optimization and certain facilities\n capital.\n\n\n\n\n\n\n\n\n\n\n\nAthabasca Oil Corporation Initial 2014 Capital Budget\n\n\n\n\nProject/Activity\n\n\n \n\n\n \n\n\n\n\nThermal Oil Division\n\n\n$\n\n\n348\n\n\n\n\n \n\n\nHangingstone Project 1 (1)\n\n\n \n\n\n225\n\n\n\n\n \n\n\nHangingstone regional infrastructure and\nproduction support\n\n\n \n\n\n58\n\n\...

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