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Hemisphere Energy Announces Record Third Quarter 2019 Financial and Operating Results and Significant Corporate Growth
Vancouver, British Columbia--(Newsfile Corp. - November 14, 2019) - Hemisphere Energy Corporat...
About this update from Hemisphere Energy Corp
[{"type":"text","content":"Hemisphere Energy Announces Record Third Quarter 2019 Financial and Operating Results and Significant Corporate GrowthVancouver, British Columbia--(Newsfile Corp. - November 14, 2019) - Hemisphere Energy Corporation (TSXV: HME) (\"Hemisphere\" or the \"Company\") announces its financial and operating results for the three months and nine months ended September 30, 2019. Q3 2019 HIGHLIGHTS Achieved record revenue of $8.2 million, a 40% increase over the third quarter of 2018. Realized record quarterly funds flow from operations of $3.6 million, a 157% increase over the third quarter of 2018. Increased average quarterly production to a record 1,738 boe/d (96% oil), a 51% increase as compared to the third quarter of 2018. Increased operating netback by 31% to $30.64/boe, as compared to the third quarter of 2018. Reduced operating and transportation costs by 13% to $11.82/boe, as compared to the third quarter of 2018. Reduced net general and administration costs by 18% to $3.02/boe, as compared to the third quarter of 2018. Completed an 11 well drilling program and facility upgrades with $6.4 million in capital expenditures. Repurchased and canceled 475,000 shares under the Company's Normal Course Issuer Bid (\"NCIB\"). Increased Hemisphere's corporate Liability Management Ratio (LMR) with the Alberta Energy Regulator to 9.77 as of September 2019.CORPORATE UPDATEHemisphere delivered both financial and operational success during the third quarter of 2019 as the Company completed its summer development program with $6.4 million in capital expenditures. The drilling program included 11 new wells in the Atlee Buffalo G pool that were placed on production through the third quarter with results exceeding internal expectations. Corporate production in October 2019 averaged approximately 2,200 boe/d, an increase of more than 25% over Hemisphere's third quarter average production rate. The Company also invested in facilities, infrastructure, and pipelines to handle additional production from the drilling program.Hemisphere achieved a solid financial quarter with record revenue of $8.2 million and record funds flow from operations of $3.6 million. Despite a lower oil price environment the Company's operating netback was $30.64/boe, which is largely due to low operating and transportation costs of $11.82/boe. Through the quarter, Hemisphere co...