Business
Peyto Energy Trust announces fourth quarter and 2005 year end report to unitholders
Peyto Energy Trust announces fourth quarter and 2005 year end report to unitholders.
About this update from Peyto Exploration & Development Corp.
[{"type":"text","content":"\n\n\n\n\nSYMBOL: PEY.UN - TSX\n\nCALGARY, March 8 /CNW/ - Peyto Energy Trust (\"Peyto\") is a leader in the\nexploration and development of natural gas in western Canada. By design, our\ncore areas are located in Alberta's premier gas exploration area, the Deep\nBasin. We are known for our high quality assets and our ability to profitably\nfind and develop new oil and natural gas reserves. We are proud to present our\noperating and financial results for the fourth quarter and 2005 fiscal year.\n\nThe following summarizes certain of the Trust's attributes at year end.\n\n- Long reserve life - Proved 13.6 years, Proved Plus Probable 18.9 years\n- High netback $37.83/boe\n- Low operating costs $1.55/boe\n- Low base general and administrative costs $0.08/boe\n- High operatorship - over 95% of production\n- Low cash distribution ratio 42% of fourth quarter 2005 funds from\n operations\n- Low debt to funds from operations ratio - 0.83 (net debt, before\n provision for future performance based compensation, divided by\n annualized fourth quarter 2005 funds from operations)\n- Distribution growth - distributions have been increased 5 times and are\n now 87% higher than when the trust was formed two and a half years ago\n- Transparent capital structure - no convertible debentures, no\n exchangeable shares, no stock options, no warrants\n\nThe following summarizes certain performance highlights for the year.\n\n- Value Creation - invested $358 million in capital and created $995\n million of Proved and $1,159 million worth of Proved Plus Probable\n undiscounted reserve value\n- Reserve life growth - the reserve life for every reserve category grew\n by over 10% from year over year\n- Asset value growth per unit(1) - the net present value of the trust's\n proven producing oil and gas assets, discounted at 0%, 5% and 8%, all\n grew by approximately 54% per trust unit\n- NPV Recycle ratio Proved 2.8, Proved Plus Probable 3.2 (before change\n in future development capital)\n- Distributions per unit(1) - increased by 36% from $1.02 in 2004 to\n $1.39 in 2005.\n- Reserve growth per unit(1) the most conservative category, proved\n producing reserves, grew 15% year over year\n- Production growth - annual production increased 19% from 18,689 boe/d\n in 2004 to 22,219 boe/d in 2005\n- Production growth per unit(1) - increased 10% year over year\n-...