Business
Fairmount announces record quarterly cash flow and filing of quarterly financial statements
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About this update from Fuerte Metals Corporation
[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR\nDISSEMINATION IN THE UNITED STATES OF AMERICA/\n\n\nCALGARY, Aug. 27 /CNW/ - Fairmount Energy Inc. ("Fairmount" or the\n"Company") (TSX-V - FMT) is pleased to present a summary of its operating and\nfinancial results for the three months ended June 30, 2008. For a complete\ncopy of Fairmount's quarterly financial statements and management's discussion\nand analysis ("MD & A") please visit www.sedar.com. Certain information\ncontained in this news release, including reserves and present value of future\nnet revenues, development plans, drilling locations, anticipated production\nfrom Gold Creek, and the sale of the Harmattan property, constitute\nforward-looking information which are subject to risks and uncertainties. See\n"Forward - Looking Information".\n\n\nHighlights:\n\n- Cash flow for the quarter increased 76% to $683,357 as compared to\n $388,227 in the prior year period.\n\n- Production for the three months ended June 30, 2008 was 404 boe/day\n in spite of reduced production due to plant turn-around operations at\n both Harmattan and Gold Creek.\n\n- Subsequent to quarter end, Fairmount entered into agreements to sell\n approximately 210 boe per day of production at Crossfield and\n Harmattan for gross proceeds of $14.25 million.\n\n- Excluding the Harmattan and Crossfield properties, Fairmount's\n productive capacity is currently estimated at 625 boe/day before the\n impact of our recent drilling program. However, production levels\n subsequent to June 30 have been impacted by the extended plant turn\n around and gathering and processing issues at Gold Creek. We\n anticipate Gold Creek production to be restored during September and\n at that time expect total corporate production to reach 675 boe/day\n following the tie in of the Thorsby well.\n\n- Fairmount's five well (4.0 net) summer drilling program is underway\n with 2 wells (1.0 net) drilled and cased at Gold Creek, 2 wells\n (2.0 net) drilled and cased at Chin Coulee, and 1 well (1.0 net) at\n Thorsby planned for September. Completion programs are underway and\n the outcome of this program will direct the drilling for the balance\n of the year.\n\n\nOperations\n-------------------------------------------------------------------------\n\n Three Mon...