Production Rates | Forecast - Production | Capital Markets | Capital Expenditure | Capital Expenditure - 2018

InPlay Oil To Drill 10 Cardium Wells in 2018

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   |    Tuesday,January 23,2018

2018 Development Plan.

InPlay Oil announced its 2018 Exploration and Development budget of $38 million. Of this amount, 81% of the capital, or $26.8 million, will be spent to drill 10 to 11 net horizontal Cardium wells. This program is based on the success of the Willesden Green horizontal program where the company brought five wells brought on production in the second half of 2017

With these wells, InPlay expects to average daily production of 4,400 to 4,500boe/d (72% oil and liquids) with an estimated exit production of 4,800 to 4,900boe/d (73% oil and liquids).

2017 Operations Update

The Company had a very successful year in 2017. In the fourth quarter, a single pad with three one mile Willesden Green bioturbated Cardium horizontal wells were drilled, completed and all put on production at the very end of November, which was approximately two weeks later than planned due to some delays with services.  In December these three wells experienced typical initial startup issues, coupled with extreme cold weather and third party pipeline curtailments resulting in approximately 80% run time for the month yet still demonstrating excellent results (presented in the following table) and allowing us to easily meet our year end exit guidance of 4,300 to 4, 500 boed:

    *    Average Day Rate = (monthly volume) / (hours produced in the month) x 24
**  Calendar Day Rate = (monthly volume) / (days in month)

InPlay commenced its 2018 program late in 2017, and has drilled one net two mile Willesden Green Horizontal which is expected to be on production in February.  The Company anticipates in total 3-4 net Willesden Green Cardium Horizontal wells to be drilled and brought on production in the first quarter of 2018, with minimal drilling in the second quarter until after the spring breakup period. Also planned is completion of our first East Basin Duvernay Shale horizontal well which is expected to occur after spring breakup and brought on production early in the summer.