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HighPeak Energy, Inc. Announces Fourth Quarter 2022 Results and Reaffirms 2023 Outlook
FORT WORTH, Texas, March 06, 2023 (GLOBE NEWSWIRE) -- HighPeak Energy, Inc. (“HighPeak” or the “Company”) (NASDAQ: HPK) today announced financial and
About this update from Highpeak Energy, Inc.
[{"type":"text","content":"FORT WORTH, Texas, March 06, 2023 (GLOBE NEWSWIRE) -- HighPeak Energy, Inc. (“HighPeak” or the “Company”) (NASDAQ: HPK) today announced financial and operating results for the fourth quarter 2022 and reaffirmed its 2023 outlook. Highlights Fourth quarter 2022 sales volumes averaged 37,348 barrels of crude oil equivalent per day (“Boe/d”), an increase of approximately 42% and 151% compared with third quarter 2022 and fourth quarter 2021, respectively, consisting of approximately 85% crude oil and 94% liquids.Fourth quarter 2022 exit sales volumes were approximately 39,900 Boe/d, an increase of approximately 172% year over year.EBITDAX (a non-GAAP financial measure defined and reconciled below) was $220.9 million and $577.1 million for the three months and year ended December 31, 2022, respectively.The Company’s year-end 2022 proved reserves increased approximately 92% year over year to 123.0 MMBoe. The growth in reserves was the result of replacement ratios of 546% and 757% through the drill bit and drill bit including acquisitions, respectively. The Company’s year-end 2022 PV-10 reserve value (a non-GAAP financial measure detailed below) increased to approximately $3.9 billion using SEC pricing.Fourth quarter 2022 lease operating expenses decreased to $6.94 per Boe, a reduction of approximately 15% quarter over quarter.The Company extended the development potential of the Lower Spraberry formation into Borden County based on results from three Lower Spraberry wells that have similar production profiles to our legacy Flat Top area.At December 31, 2022, the Company had an additional 65 gross (57.5 net) horizontal wells in various stages of drilling and completion that are expected to come online during the first half of 2023. Statement from the Chairman and CEO HighPeak Chairman and CEO, Jack Hightower said: I am proud to report HighPeak posted strong year-end 2022 results that were in line with our expectations and further substantiate our long-term strategic plan. We have one of the best margins due to our product mix as well as some of the lowest all-in cash costs among our peer group. These two factors make our BOEs some of the most profitable in the business. Our two contiguous blocks in the Midland Basin totaling over 112,000 acres, with oil-rich rock, further differentiates us during a depressed natural gas market. With our...