Exploration & Production | Drilling & Completions

Angle Completes Cardium Wells; Hits 10,900 BOE/d

Share Print Bookmark    |    Thursday,July 04,2013

Angle Energy Inc. has reported an operational update in regard to its latest Cardium and Viking operations.

Angle is scheduled to release its Q2 2013 financial and operating results in mid-August 2013. The Company continues to increase its oil and condensate weighting, with current weighting at 31%, up from 29% in the first quarter of 2013.

First-half 2013 average production is expected to be approximately 11,100 boe/d. Production levels in the second quarter were impacted by regulatory delays in tying in a Harmattan Mannville well, Ferrier pipeline constraints and a non-commercial Wabamun gas well.

Angle is in the process of constructing an eight inch line in the Ferrier area which will mitigate the pipeline constraint issues. In addition to alleviating this production bottleneck in Ferrier, the Company expects that delayed production of approximately 300 boe/d in the Harmattan area is expected to be tied in by the end of August.

Other operational highlights include:

Total production for the second quarter is estimated to be 10,800 to 10,900 boe/d (approximately 31% light oil and condensate, 25% NGLs, and 44% natural gas).

Cardium production for the month of June is estimated to be 4,300 boe/d, as compared to 4,000 boe/d average in the first quarter. Average Cardium production for the first half of 2013 is estimated to range between 4,200 - 4,300 boe/d of which approximately 70% is oil and NGLs.

During the second quarter, Angle drilled and rig released three (2.6 net) horizontal wells, all of which targeted light oil in the Cardium. Two horizontal wells (2.0 net) are currently drilling for Cardium light oil, one each in Ferrier and Harmattan, and are expected to be rig released by the end of July.

At Harmattan, five (4.2 net) wells in the Cardium light oil play have been completed and tested in Q2 2013. Two of these wells have produced for over 30 days and three wells were completed in late June. These wells have proven the southwestern extension of the play and demonstrate robust economics, with IP30 rates of approximately 275 boe/d (85% light oil and liquids).

At Ferrier, the three (2.5 net) Cardium horizontal wells announced in the first quarter have produced with a combined average IP30 of approximately 800 boe/d (67% light oil), and a combined average IP120 of approximately 500 boe/d (52% light oil). Together, the three wells have now cumulatively produced in excess of 100,000 barrels of oil.

Total debt at the end of the second quarter is estimated to be between $211 and $215 million, including $60 million of convertible debentures, which is expected to be in-line with our prior guidance.