Crew Energy Inc T.CR

Crew 2020/2021 Drilling and Production Highlights

[BeatTheOddsSqua]

I have taken a moment to compile a brief summary of the past 9 months highlights for Crew.

 

In Q3 & Q4/2020 Crew drills and completes the 9-5 West Septimus 7 well pad

 

In February 2021, Crew reports that the 9-5 West Septimus 7 well pad is producing at restricted flow rates of 50 Mmcf/day gas, 1037 Bbls/day condensate and 848 Bbls/day NGL's for a grand total of 10,218 Boe/day.

 

In March 2021 Crew reports the average annual production rate in 2020 of 21,955 Boe per day and that Q4/20 production averaged 21,666 Boe/day. This rate combined with the 9-5 West Septimus 7 well pad, could have pushed Q1/2021 production past 30,000 Boe/day. The unknown here is whether Crew had to shut-in the 3-32 pad production for drilling and completion operations, which would lower this estimate below 30,000 Boe/day.

 

In Q1/2021 Crew drills and completes 6 wells at the 3-32 UCR Pad (1 existing DUC) and Crew says that the 6 wells will be placed on production in Q2/2021

 

Based on production rates from the existing wells on the 3-32 UCR pad, it is anticipated that the 6 new wells will produce at an average IP90 rate of 19.5 Mmcf/day gas, 2160 Bbls/day Condensate and 1500 Bbls/day NGL's for an IP90 grand total of 6900 Boe/day. IP30 flow rates will be much higher.

It is important to note that not all Boe's are the same and that the 3-32 pad will have two times the condensate production rate of the 9-5 West Septimus 7 well pad

 

The addition of 6900 or more Boe/day from the 3-32 UCR pad should easily push Crew’s Q2/2021 production past the 30,000 Boe/day mark.

 

Q1/Q2 Crew adds a second drilling rig and continues to drill wells. To date they have drilled or are drilling 10 wells at the 1-8 Pad, 2 wells at the 12-9 Pad, 2 wells at the 7-30 Pad, 4 wells at the 4-17 Pad, 9 wells at the 4-14 Pad (Precision Rig status down) and 1 well at the 6-23 Pad.  For a total of 28 additional wells.

 

With up to 28 additional wells added, Crew should easily be able to maintain a production rate in the 30,000 - 35,000 Boe/day range for 2021 and 2022 without the need to drill any more wells.

 

I am excited to see Q1/2021 numbers and looking forward to Crew’s updated Q2 and beyond production forecast. To my knowledge Crew has never been in a better position to maintain and grow their production.

GLTA

 

[Oldnagger]

You are talking about a 100 % gain in production, and Gonatgasgo was talking about a 100 % increase in share price. Hmm , am I missing something here ?

[TouchDown12]

Nagger, i think what we are all invested in (and wating for) is a tipping pont Q1 Report that 'shifts' the old narrative to a new narrative regarding CR. Right now we are hanging in the middle. We are all coming at it differently BUT we are all wanting to arrive at the same spot after the May 6 PR: to which i think "CR has a great platform from which CR can reach it's potential we

[gonatgasgo]

Thank you BeatTheOdds.  I always enjoy reading your posts. Do we know if all of these 28 wells are expected to go online as soon as completed, or are some of them DUCs? In the February 1, 2021 News Release, Dale said "In 2021, Crew plans to drill 19 wells and complete  14 to 21 wells targeting the Montney formation in the Greater Septimus area of northeast British

[BeatTheOddsSqua]

You are very welcome Gonatgo. As usual Crew is not telling us the whole story and yes they have drilled or are drilling more wells than they disclosed. The wells will be DUCs and they will provide Crew with abundant flexibility in controlling their corporate production rates and product mix. In Q1/Q2 the 13 wells that make-up the 9-5 and 3-32 pads can contribute 15,000 plus Boe/day with a

[gonatgasgo]

BeattheOdds, Right now, Crew bonds trade at about $0.92-0.93 for $1 of face value...or at 9% yield for 3 year bonds. I see a scenario where the balance sheet and profitability improve, and the bonds trade around par.  That would be a good time to refinance.  I think if they can lock 5-7 years at 6.5%, they should do it. I also believe 2/3 of the bond issue is held by 2-3 institutional

[BeatTheOddsSqua]

Much appreciated Gonatgo.

[BeatTheOddsSqua]

The other wild card here is a significant asset divestiture. I am still curious about Cannacord's comment " we expect to receive a fee from Crew within the next 90 days". Fingers crossed on that one.

[Beakr123]

Can you expand on the comment for Cannacord, where and when was that?

[BeatTheOddsSqua]

 Beakr If you know Anthony ask him what's up and report back to us please. Here is my post from March 17, 2021.(49 days ago!) RE:RE:Encouraging excerpt from Stockwatch Energy today Investment Banks typically receive fees for: 1) Financings and debt restructuring 2) Assisting with asset or corporate sales or mergers 3) Finders Fees associated with asset or corporate

[Beakr123]

Nowhere in that post is there any evidence that Canaccord has explicitly said they are waiting for payment from Crew Energy. Seems as though this is just your assumption based on a higher target price estimate from Canaccord. I hope I'm not coming off rude here but am I missing something? Kind of a misleading post...

[gonatgasgo]

This is the original post that someone posted in March.  I think Beattheodds is making reference to the last sentence.   Another B.C. Montney producer, Dale Shwed's Crew Energy Inc. (CR), lost five cents to $1.15 on 1.81 million shares. It undoubtedly took notice of Leucrotta's asset sale. Mr. Shwed, Crew's president and CEO, told an industry conference last

[BeatTheOddsSqua]

Thank-you for posting the full article Gonatgo, I thought I would be helpful and post the short summary I had created. Try and get some sleep tonight, I know you are as anxious to see those Q1 numbers as many of us on the board are. I haven't had many dealings with Mr. Beakr, but he comes off as someone that I wouldn't have much time for. I took a quick look at his posting summary on

[Beakr123]

It’s an interesting piece of information beattheodds so I don’t think I’m wrong for asking for more info on it am I? Don’t be so sensitive. Thanks for expanding on it gonatgo and thanks for bringing it up BTO. Makes you wonder what we might be missing for sure! Looking forward to tomorrow’s release. Good luck fellas.