Razor Energy Corp V.RZE.H

Alternate Symbol(s): V.RZE.WT.H | RZREF

Razor Energy Corp. is a Canada-based junior oil and gas development and production company. The Company is focused on acquiring, enhancing, and producing oil and gas from properties primarily in Alberta. The Company produces primarily light oil, natural gas, and natural gas liquids in Alberta. Its operations include Swan Hills/Kaybob Region and Southern Alberta Region. The Swan Hills/Kaybob region has approximately 250,600 (174,100 net) acres of land held by production. This region has a daily average production of around 3,305 barrels of oil equivalent per day (boe/d). The Southern Alberta region has approximately 78,200 (49,600 net) acres of land mainly held by production. This region is focused on production and development of medium gravity oil in the Glauconite formation and natural gas in the Mannville Group and has a daily average production of around 482 (boe/d). Its subsidiary, Blade Energy Services, provides services, such as fluid hauling and other oilfield services.

TSXV:RZE.H - Post by User

Razor Energy Corp

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Post by InvestLargeCon Mar 28, 2017 10:40am

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Post# 26040142

2P at 12.6 MMboe (90% oil/liquids), NAV at $9.77

Undervaluation is understatement. RZE's current EV is just $51 million, so its super oily reserves are sold for just $4/boe.

Razor Energy Corp. Announces 2016 Year-End Reserves

CALGARY, ALBERTA--(Marketwired - March 28, 2017) - Razor Energy Corp. ("Razor" or the "Company") (TSX VENTURE:RZE) is pleased to provide a summary of its 2016 year-end reserves evaluation.

The highlights and reserves summary below sets forth Razor's gross reserves as at December 31, 2016, as evaluated by Sproule Associates Limited ("Sproule") in an independent report (the "Sproule Report"). The figures in the following tables have been prepared in accordance with the standards contained in the Canadian Oil and Gas Evaluation Handbook (the "COGE Handbook") and the reserve definitions contained in National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities ("NI 51-101"). Additional reserve information as required under NI 51-101 will be included in the Company's annual information form which will be filed on SEDAR on or before April 30, 2017.

HIGHLIGHTS⁽¹⁾

Net asset value, including estimated January 31, 2017 net cash ($12 million or $1.18 per basic share outstanding) and the term debt facility due January 31, 2021 ($30 million or $2.95 per basic share outstanding), excluding undeveloped land, tax pools, seismic, reclamation liabilities, and other corporate attributes ("NAV"), was $6.50/share on a proved developed producing basis ("PDP") discounted at 10% ("NPV10") and $9.77/share on a total proved plus probable basis ("2P") NPV10.⁽²⁾
The Company's gross year-end 2016 PDP reserves were 7,687 Mboe (74% oil and liquids). Total proved ("1P") reserves were 10,130 Mboe and 2P reserves were 12,651 Mboe.
PDP reserves represent approximately 76% of 1P reserves and approximately 61% of 2P reserves.
The Company's reserve life index is 7.2 years for PDP, 9.5 years for 1P and 11.9 years for 2P reserves based on February, 2017 average field-estimated production of 2,900 boepd.