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Prospera Energy Inc. Announces Q3, 2021 Financial Statements Filing
CALGARY, AB / ACCESSWIRE / December 8, 2021 / Prospera Energy Inc. (TSXV:PEI)(OTC PINK:GXRFF)...
About this update from Prospera Energy Inc.
[{"type":"text","content":"Prospera Energy Inc. Announces Q3, 2021 Financial Statements FilingCALGARY, AB / ACCESSWIRE / December 8, 2021 / Prospera Energy Inc. (TSXV:PEI)(OTC PINK:GXRFF)(FRA:0F6B): Prospera Energy Inc. (\"Prospera\" or the \"Corporation\") announces its financial and operating results for the nine (9) months ended September 30, 2021. The condensed Interim Financial Statements (unaudited) and related Management's Discussion and Analysis (MD&A) is available at www.sedar.com.OPERATION AND FINANCIAL SUMMARYYear-to-date revitalization activities are reflected in the Q3 operating costs, which were overstated by the inclusion of capital consumed by compliance and optimization work. These capital expenditures include:Addressing a large number of regulatory and environmental non-compliances.Three major facility turnarounds to safety code operating conditions.Pipeline and well abandonments to reduce liability.Implementing mechanisms to eliminate methane emissions.Pipeline and asset integrity.Well optimizations - the first stage of the Prospera restructure development program.The well and ARO optimization activity will continue in Q4 2021. In the first quarter of 2022, Prospera expects to commence the second stage of the Prospera restructure development program - the horizontal well program. The horizontal wells will allow access to new reserves and higher initial rates than the vertical wells. This program will also reduce the vertical wells required, reducing the environmental footprint and disturbance while decreasing the ARO liability. The final stage of the Prospera restructure development program entails economic reservoir management for sustained deliverability leading to overall optimum recovery.Joint Interest Billings make up the majority of Prospera's Q3 accounts receivable and payable. The majority of Prospera's joint venture partners are in default. These partners have not been current with their Joint Interest Billings for more than two-years. Revenue and operating cost are shown on a net basis, whereas all liability is being shown on a gross cost basis as Prospera is the operator. Prospera's management is actively collaborating with joint interest partners to settle their arrears amicably. Prospera anticipates settlements in Q4 2021.Management expects the value of this work, along with the benefits of recent refinancing efforts, t...