Business
Peyto Energy Trust announces second quarter 2008 results
SYMBOL: PEY.UN - TSX CALGARY, Aug. 6 /CNW/ - Peyto Energy Trust ("Peyto" or "the Trust") is pleas...
About this update from Peyto Exploration & Development Corp.
[{"type":"text","content":"\n\n\n\nSYMBOL: PEY.UN - TSX\n\n\nCALGARY, Aug. 6 /CNW/ - Peyto Energy Trust ("Peyto" or "the Trust") is\npleased to present the operating and financial results for the second quarter\nof the 2008 fiscal year. Peyto is an explorer and producer of unconventional\ntight gas assets in Alberta's Deep Basin and, due to its trust structure, is\nable to flow profits from the success of that business to its unitholders in\nthe form of distributions. The success of Peyto's strategy has resulted in the\ngrowth of both assets and distributions over time.\n\n\nPeyto is well known for building its own high quality, sweet natural gas\nassets that exhibit long reserve life, low operating costs and high revenue\nper boe. The following summarizes the Trust's foundation:\n\n\n- Long reserve life - Proved Producing 13 years, Total Proved 16 years,\n Proved plus Probable 21 years\n- Low operating costs - $2.58/boe, three months ending June 30, 2008\n- High revenue per boe - $70.16/boe before hedging, $64.45/boe after\n hedging, three months ending June 30, 2008\n- Low base general and administrative costs - $1.08/boe, three months\n ending June 30, 2008\n- High field netback - $46.12/boe, three months ending June 30, 2008\n- High operatorship - operates over 95% of its production\n- Cash distributions - cash distributions of $46.6 million were 63% of\n funds from operations for the three months ended June 30, 2008\n- Low debt to funds from operations ratio - 1.5:1 (net debt, before\n provision for future compensation, divided by annualized second\n quarter 2008 funds from operations)\n- Distribution growth - distributions have been increased 6 times; they\n have never decreased, and are now 100% higher than when the trust was\n formed in July, 2003\n- Since inception, Peyto has raised a total of $410 million issuing\n units from treasury, accumulated earnings of $804 million, and\n distributed $714 million to unitholders\n- Transparent capital structure - no convertible debentures, no\n exchangeable shares, no stock options, no warrants\n\nThe second quarter was highlighted by stronger commodity prices, increased\ndistributions and increased capital spending as improved business conditions\noffered better returns. The following summarizes performance highlights of the\nbusiness for the second quarter of 2008.\n\n- Capital expend...