Business
Ironhorse Announces 2011 Financial and Operating Results, Year-end Reserves and recent sale of Jedney Assets
CALGARY, April 26, 2012 /CNW/ - Ironhorse Oil & Gas Inc. ("Ironhorse" or the "Company")...
About this update from Pond Technologies Holdings Inc.
[{"type":"text","content":"\n\n\n\n\n\nCALGARY, April 26, 2012 /CNW/ - Ironhorse Oil & Gas Inc. (\"Ironhorse\" or\n the \"Company\") (TSXV: IOG) announces its 2011 financial and operating\n results, year-end reserves information and the recent sale of its\n Jedney asset.\n\n\nThe Company's year-end reserves evaluation with the effective date of\n December 31, 2011 was prepared by GLJ Petroleum Consultants Ltd. and\n Sproule Associates Limited in accordance with definitions, standards\n and procedures contained in the Canadian Oil and Gas Evaluation\n Handbook (\"COGE Handbook\") and NI 51-101 \"Standards of Disclosure for\n Oil & Gas Activities\".  Reserves included herein are stated on a\n company gross basis (working interest before deduction of royalties\n without including any royalty interest) unless otherwise noted.\n\n\nOn April 20, 2012, the Company disposed of its Jedney gas property for\n net proceeds of $5.3 million with funds used to further reduce bank\n debt.\n\n\nHighlights of 2011:\n\n\nCompleted the sale of the Shackleton natural gas property in October\n 2011 for net proceeds of $9.4 million.  The funds were used to repay\n bank debt.\n\n\nFunds from operations for the year was $1.9 million ($0.07 per diluted\n share) compared to $3.9 million ($0.15 per diluted share) in 2010 as a\n result of the disposition of the Shackleton properties.\n\n\nNet debt at December 31, 2011 was $7.8 million within credit facilities\n of $10.2 million compared to net debt at December 31, 2010 of $15.4\n million within credit facilities of $17.0 million. After the sale of\n Jedney, current debt is approximately $3 million.\n\n\nThe Company's reserves were 40% oil weighted with a proved to probable\n ratio of 27 to 73.  Subsequent to the disposition of Jedney on April\n 20, 2012, the Company's reserves are 83% oil weighted with a proved to\n probable ratio of 71 to 29. The shift in the proved to probable ratio\n is due to the disposition of the Jedney asset.\n\n\nAnnual production decreased by 35% to 599 boe per day from 922 boe per\n day in 2010 due to the disposition of the Shackleton natural gas\n properties at the end of October 2011.  Current production of 70 boe\n per day remained unchanged subsequent to the disposition of Jedney in\n 2012.\n\n\nCurrent production is now 97% oil on a daily boe basis.\n\n\nFinding and developm...