Business
HighPeak Energy, Inc. Announces Third Quarter 2022 Results and Operational Updates
FORT WORTH, Texas, Nov. 14, 2022 (GLOBE NEWSWIRE) -- HighPeak Energy, Inc. (“HighPeak” or the “Company”) (NASDAQ: HPK) today announced financial and operating
About this update from Highpeak Energy, Inc.
[{"type":"text","content":"FORT WORTH, Texas, Nov. 14, 2022 (GLOBE NEWSWIRE) -- HighPeak Energy, Inc. (“HighPeak” or the “Company”) (NASDAQ: HPK) today announced financial and operating results for the third quarter 2022 and provided current operational updates. Third Quarter 2022 and Current Highlights HighPeak third quarter 2022 net sales volumes averaged 26,247 barrels of oil equivalent per day (“Boe/d”), an increase of 19% compared with second quarter 2022, consisting of 83% crude oil and 93% liquids.Fourth quarter sales volumes to date have averaged approximately 35,750 Boe/d, an increase of approximately 63% compared with second quarter 2022.EBITDAX (a non-GAAP financial measure as defined and reconciled below) associated with third quarter 2022 net sales volumes was $169.7 million, an increase of 25% compared with second quarter 2022.As a result of the Company’s 2022 acquisitions and successful leasing campaign, as of September 30, 2022 the Company had over 105,000 net acres, an increase of approximately 68% compared with year-end 2021.Subsequent to quarter end, the Company increased the borrowing base to $550.0 million and aggregate elected commitments to $525.0 million under its Revolving Credit Facility and issued $225.0 million of 10.625% Senior Notes due November 2024.Third quarter 2022 realized price of $84.53 per Boe and realized cash operating margin of $72.01 per Boe, or approximately 85% of the realized price, excluding the effects of derivatives.HighPeak averaged six (6) drilling rigs throughout the third quarter 2022. The Company plans to maintain its current six (6) rig drilling program and average three (3) frac fleets throughout the fourth quarter of 2022.HighPeak had 57 gross (46.7 net) horizontal wells in various stages of drilling and completion plus two salt-water disposal wells in progress at the end of the third quarter. HighPeak CEO, Jack Hightower said “Looking over our brief history as a public company, we have expanded our development program across the entirety of our acreage position and in several formations and, as a result, we have delineated significant proven reserves. We have also continued to improve performance as evidenced by our 2022 average well results outperforming earlier vintage wells. This speaks to the quality of the reservoirs across our entire block and the bright future ahead for HighPeak. In addition,...