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Highwood Oil Company Ltd. Provides Notice of Termination of the Red Earth Divestiture, Operational Update and Meeting Protocol for Annual General and Special Meeting of Shareholders
Highwood Oil Company Ltd. Provides Notice of Termination of the Red Earth Divestiture, Ope...
About this update from Highwood Asset Management Ltd
[{"type":"text","content":"\n\n\n\nHighwood Oil Company Ltd. Provides Notice of Termination of the Red Earth Divestiture, Operational Update and Meeting Protocol for Annual General and Special Meeting of Shareholders\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, AB, June 15, 2020\n\n\n\n/NOT FOR DISSEMINATION IN THE U.S. OR THROUGH U.S. NEWSWIRES/\n CALGARY, AB, June 15, 2020 /CNW/ - Highwood Oil Company Ltd. (TSXV: HOCL) (\"Highwood\" or the \"Company\") announces that the Red Earth Divestiture initially announced February 18, 2020 has been terminated.\n\n \n \n \n \n \n \n\n \nHighwood received notice on May 1, 2020 from the Alberta Energy Regulator (\"AER\") that the Red Earth license transfer application had been rejected.  The AER had previously provided their conditional approval of the license transfers on April 24, 2020.  \nOperational Update\nAfter spending $4.1 million in Q1 2020, the Company has continued to suspend its 2020 capital program until a sustained price recovery is realized. \nThe Clearwater oil resource play continues to deliver positive delineation results which underpin an expanding opportunity set for Highwood to pursue lower risk, highly economic, oil-weighted growth.  Since early 2017, industry has spud more than 290 wells to delineate and quickly grow the Clearwater play to achieve production in excess of 26,000 bbl/d.  Even within a pricing environment that has been very suppressed by historical standards, strong well economics characterized by short cycle times and quick payback periods supported industry drilling over 130 wells to date in 2020.\nGross production capacity of the Company's Clearwater wells is 2,000 bbl/d of oil (1,000 bbl/d net).  Total net Company production capacity is 2,200 bbl/d of oil with 1,000 bbl/d currently onstream.  \nMeeting Protocol\nHighwood has scheduled the annual general and special meeting of shareholders for June 18, 2020 and has the ‎following update to announce.‎\nDue to the public health restrictions implemented to combat th...