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Yangarra Announces Second Quarter 2013 Financial and Operating Results
CALGARY , Aug. 28, 2013 /CNW/ - Yangarra Resources Ltd. (" Yangarra " or the " Company...
About this update from Yangarra Resources Ltd.
[{"type":"text","content":"\n\n\nCALGARY, Aug. 28, 2013 /CNW/ - Yangarra Resources Ltd. (\"Yangarra\" or the \"Company\") (TSXV:YGR) announces its financial and operating results for the\n three and six months ended June 30, 2013.\n\n\nHighlights are as follows:\n\n\n\nQ2 2013 production averaged 2,005 boe/d (44% oil and NGL's) with\n production negatively impacted by approximately 200 boe/d shut-in due\n to the drilling of new wells on existing pad sites and turn-arounds at\n 3rd party processing facilities.\n\n\nQ2 2013 oil and gas sales including royalty income and realized\n commodity contracts was $8.9 million with funds flow from operations of\n $6.5 million ($0.05 per share - basic).\n\n\n2013 first half year funds flow from operations was $11 million;\n therefore, with the anticipated increase in production for the second\n half of 2013, the Company expects to achieve its annual targeted funds\n flow of $24 million.\n\n\nNet income for Q2 2013 was $2.1 million ($2.9 million before future\n income tax).\n\n\nOperating costs for Q2 2013, including $1.29/boe of transportation\n costs, were $7.13/boe which represents a 21% decrease from Q1 of 2013.\n\n\nThe Q2 2013 netback of $40.30 per boe is a 69% increase from the $23.81\n per boe reported in the second quarter of 2012.  Realized prices were\n $46.94/boe up 57% from $29.84/boe in the second quarter of 2012.\n\n\nG&A expenses for Q2 2013 were $1.96/boe which represents a 23% decrease\n from the first quarter of 2013.\n\n\nQ2 2013 capital expenditures of $3.7 million focused on drilling and\n infrastructure in Central Alberta.\n\n\nAs at June 30, 2013, the Company was in a net debt position of $40\n million compared to $34 million at December 31, 2012.\n\n\nThe debt to annualized second quarter cash flow ratio was 1.5 : 1.\n\n\nYangarra completed construction of an 11 mmcf/d gas processing facility\n (100% working interest) and the facility came online April 10, 2013\n which brought on eight previously standing wells.\n\n\n\nOperations Update\n\n\nFollowing spring breakup, the Company has drilled 3 gross (1.5 net)\n Cardium wells at Ferrier. Productivity from the wells is exceeding\n expectations.   The Company is continuing to improve drilling and\n completion costs due to pad drilling and reductions in drilling and\n completion times.\n\n\nStarting in 2010, Yangarra has drilled 5...