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Southern Energy Corp. Announces Q2 2021 FINANCIAL AND OPERATING RESULTS
CALGARY, AB / ACCESSWIRE / August 23, 2021 / Southern Energy Corp. (' Southern ' or the ' Co...
About this update from Southern Energy Corp.
[{"type":"text","content":"Southern Energy Corp. Announces Q2 2021 FINANCIAL AND OPERATING RESULTSCALGARY, AB / ACCESSWIRE / August 23, 2021 / Southern Energy Corp. ('Southern' or the 'Company') (TSXV:SOU)(AIM:SOUC) today announces the release of its second quarter financial and operating results for the three and six months ended June 30, 2021. Southern is an established producer with natural gas and light oil assets in Mississippi and Alabama characterized by a stable, low-decline production base, a significant low-risk drilling inventory and strategic access to the best commodity pricing in North America. Selected financial and operational information is outlined below and should be read in conjunction with the Company's consolidated financial statements (the 'Financial Statements') and related management's discussion and analysis (the 'MD&A') for the three and six months ended June 30, 2021, which are available on the Company's website at www.southernenergycorp.com and have been filed on SEDAR. All figures referred to in this news release are denominated in Canadian dollars, unless otherwise noted.Q2 2021 HighlightsAdjusted funds flow from operations1 totaled $749 thousand, in-line with Q2 2020, including $0.4 million of expenses related to the AIM listing (see 'Subsequent Events', below), while $2.0 million was generated for the first six months of 2021, 42% higher than the comparable period in 2020.Average production of 12,467 Mcfe/d2 (2,078 boe/d), 92% natural gas in Q2 2021, an increase of 6% versus Q2 2020, and production in the first half of 2021 was 3% higher than the same period in 2020, largely due to the Mechanicsburg assets being down for the majority of Q2 2020 due to a third-party pipeline force majeure event.Southern's Q2 2021 realized oil price increased 91% relative to Q2 2020, while the realized natural gas price increased 65% to average $77.71/bbl and $3.35/Mcf, respectively, reflecting the continued strength of product prices and the benefit of strategic access to premium-priced US sales hubs.Per unit operating expenses averaged $1.03/Mcfe in Q2 2021 and $1.02/Mcfe for the first half of 2021, a decline of 7% in Q2 and 14% in the first half relative to the 2020 periods, primarily attributable to lower contract labour and reduced equipment rentals.Operating netbacks1 averaged $1.70/Mcfe in Q2 2021 and $1.80/Mcfe for the first six ...