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Petrolifera Petroleum Reports Reserves and Pre-Tax Present Values for Year Ended December 31, 2009
Petrolifera Petroleum Reports Reserves and Pre-Tax Present Values for Year Ended December 31, 2009
About this update from Medexus Pharmaceuticals Inc.
[{"type":"text","content":"\n\n\n\nFeb. 26, 2010 (Canada NewsWire Group) -- CALGARY, Feb. 26 /CNW/ -- Petrolifera Petroleum Limited (PDP - TSX) announces today it has received the estimates of the company's 1P (\"Total Proved\") , 2P (\"Total Proved plus Probable\") and 3P (Total Proved plus Probable plus Possible) reserves, as prepared by GLJ Petroleum Consultants of Calgary, Alberta (\"GLJ\") in a report with an effective date of December 31, 2009 (\"GLJ 2009 Report\"). The company's reserves declined on a year over year basis, reflecting 2009 production and sales, and further technical revisions primarily arising from some continuing complications with the efficiency of the company's waterflood in the northern portion of the Puesto Morales Norte (\"PMN\") Field in the Neuquén Basin, Argentina. These declines were offset positively by modest recognition of additional reserves for the company in Colombia, but now all these reserves are classified in the Probable category.The GLJ 2009 Report and the estimates provided herein were prepared using assumptions and methodology guidelines outlined in the Canadian Oil and Gas Evaluation Handbook (\"COGE Handbook\") and in accordance with National Instrument 51-101 (\"NI 51-101\"). Comparisons provided herein with respect to Petrolifera's reserves are to estimates contained in a report prepared by GLJ with an effective date of December 31, 2008 (\"GLJ 2008 Report\"). The GLJ 2009 Report was prepared utilizing the GLJ January 1, 2010 price forecast, effective December 31, 2009 and adjusted to Petrolifera's asset mix and specific pricing circumstances in Argentina and in Colombia. In the GLJ 2009 Report, future net revenue is calculated after deduction of forecast royalties, operating expenses, capital expenditures and well abandonment costs but before corporate overhead or other indirect costs, including interest and income taxes. The pre-tax present value of future net revenue (\"present value\") is calculated by GLJ using various discount rates; this release will provide undiscounted future net revenue and the 10 percent present value thereof.All references to barrels of oil equivalent (\"boe\") are calculated on the basis of 6 mcf: 1 bbl. Readers are cautioned that the conversion used in calculating barrels of oil equivalent is based on an energy equivalency conversion method primarily applicable at the bu...