Business
Ironhorse Oil & Gas Inc. - Independent Reserves Update
Ironhorse Oil & Gas Inc. - Independent Reserves Update
About this update from Pond Technologies Holdings Inc.
[{"type":"text","content":"\nIronhorse Oil & Gas Inc. - Independent Reserves Update\n\n\n Sep. 8, 2009 (Filing Services Canada) -- Ironhorse Oil & Gas Inc. (IOG - TSX Venture), is pleased to announce that it has received an independent reserves evaluation as at July 31, 2009 (the \"report\"). The report incorporates results from our recent oil discovery at Pembina and the impact of lower gas prices on our Shackleton property. Highlights of the report are as follows:* Pembina increased our total reserves by 42% or 1.3 million boes, 1.1 million proved and 0.2 million probable;* The Pembina oil discovery increased the value of our reserves before tax discounted at 10% by 88% or $32.8 million, $26.2 million proved and $6.6 million probable;* Proved reserves at July 31, 2009 were 68% of total reserves up from 51% of total reserves at December 31, 2008;* Oil and NGLs account for 25% of our total reserves and 47% of the before tax value discounted at 10%; * Future capital costs to develop the reserves are estimated at $6.7 million of which $5.4 million pertains to developing the Pembina reserves; andThe table below summarizes our reserves as at July 31, 2009.------------------------------------------------------------------------- Proved Proved Total Probable Total Producing Undeveloped Proved Proved + Probable -------------------------------------------------------------------------Oil & NGLs - 18 864 882 218 1,100 Mbbl Gas - MMcf 10,623 2,297 12,920 6,855 19,775 Mboe 1,788 1,247 3,035 1,360 4,395 -------------------------------------------------------------------------The before tax value of the cash flows discounted at 10% are as follows:------------------------------------------------------------------------- Proved Proved Total Probable Total Producing Undeveloped Proved proved + Probable ------------------------------------------------------------------------- $ millions $26.4 $29.5 $55.9 $15.9 $71.8 -------------------------------------------------------------------------Estimated values do not represent fair market values.The following commodity price assumptions were made when preparing the report.------------------------------------------------------------------------- 2009 2010 2011 2012 2013 -------------------------------------------------------------------------Oil - Edmonton Par $76.79 $79.77 $81.46 $87.34 $94.97 Gas - AECO-C spot $3.92 $5.60 ...