GREY:BXEFF - Post by User
Post by
blue_eagleon May 21, 2014 9:43pm
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Post# 22585239
Woo
WooAnother company working to woo investors was Bellatrix Exploration Ltd. (BXE), up 22 cents to $9.94 on 2.64 million shares. The company fell on Friday after announcing that third party plant turnarounds in Alberta's Deep basin forced it to lower its production guidance for the second time this year. President and CEO Ray Smith hosted a conference call yesterday, and executive vice-president Brent Eshleman took to BNN this morning, to do some damage control. Mr. Smith noted that all the plants should be running again by June 7. Infrastructure in the area has been overwhelmed, he explained, because Bellatrix and other operators have drilled so many excellent wells. ("[We are] a victim of our own success," echoed Mr. Eshleman on BNN.) Bellatrix is working on several projects that should ease the constraints. In April, it completed a pipeline to the Blaze gas plant and secured processing capacity of 100 million cubic feet a day, a level that should be reached next week. It is now working on a pipeline to the Brazeau plant to access up to 50 million cubic feet a day. This is expected in the third quarter of this year. In the summer of next year, Bellatrix expects to add another 110 million cubic feet a day by finishing phase 1 of a wholly owned gas plant, which will be doubled to 220 million after phase 2 is finished in the spring of 2016. Mr. Smith said this plant will be special because it will be able to handle more liquids than others in the area, most of which were built 40 to 60 years ago, when pricing made liquids an afterthought. Bellatrix is thus well on its way to "controlling our own destiny," said Mr. Smith. Mr. Eshleman echoed him again, saying the new infrastructure will "really help take control of our destiny."