Spartan Year-End 2013
Spartan Energy Corp. Announces Year-End 2013 Financial Results and Reserves V.SPE | 48 minutes ago CALGARY, ALBERTA--(Marketwired - March 20, 2014) - Spartan Energy Corp. ("Spartan" or the "Company") (TSX VENTURE:SPE) announces financial results for the year ended December 31, 2013 and 2013 year-end reserves. The information summarized below represents the results and reserves of Alexander Energy Ltd. (renamed Spartan Energy Corp. on February 28, 2014) and does not include results of Renegade Petroleum Ltd. ("Renegade"). Spartan anticipates that financial and reserves information in respect of Renegade will be released concurrent with or following the completion of the acquisition of Renegade by Spartan, currently scheduled for March 31, 2014. FINANCIAL AND OPERATIONAL RESULTS The following summarizes information contained in and should be read in conjunction with Spartan's 2014 audited annual financial statements and the related management's discussion and analysis, which are available for review at www.sedar.com or on the Company's website at www.alexanderenergy.ca. Three Months Ended Year Ended December 31, 2013 December 31, 2013 Average daily production (boe/d) 664 800 Petroleum and natural gas revenue, net of royalties $2,672,000 $13,102,000 Production costs $654,000 3,807,000 Operating netback ($/boe) (1) $33.03 $31.85 Cash flow from operations (1) $884,000 $6,925,000 per share - basic and diluted $.03 $0.38 Net income ($1,718,000) ($1,767,000) per share - basic and diluted ($0.07) ($0.10) Capital expenditures $418,000 $3,516,000 Net working capital surplus $18,900,000 $18,900,000 (1) Cash flow from operations, net working capital surplus and operating netback are non-IFRS measures. See "Non-IFRS Measures". 2013 YEAR-END RESERVES SUMMARY The reserves data set forth below is based upon an independent reserve assessment and evaluation prepared by Sproule Associates Limited ("Sproule") dated February 6, 2014 with an effective date of December 31, 2013 (the "Sproule Report"). The Sproule Report has 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 NI 51-101. Summary of Oil and Gas Reserves (1), (2), (3), (4) Oil Natural Gas (associated & non- associated) Natural Gas Liquids Barrels of Oil Equivalent Gross Gross Gross Gross (Mbbl) (MMcf) (Mbbl) (Mboe) Proved Developed Producing 446.0 1,362 6.8 679.8 Developed Non-Producing 87.8 330 1.7 144.4 Undeveloped 214.2 341 1.7 272.7 Total Proved 747.9 2,032.8 10.2 1,096.9 Probable 308.2 856.8 4.3 455.3 Total Proved plus Probable 1,056.1 2889.6 14.5 1,552.2 Summary of Before Tax Net Present Value of Future Net Revenue ($000s) (1), (2), (3), (4) Undiscounted 5% 10% 15% 20% Proved Developed Producing 20,660 18,196 16,294 14,791 13,578 Developed Non-Producing 5,470 3,445 2,252 1,521 1,058 Undeveloped 7,955 6,905 6,055 5,357 4,775 Total Proved 34,085 28,546 24,601 21,668 19,411 Probable 16,058 11,625 8,799 6,905 5,579 Total Proved plus Probable 50,143 40,171 33,400 28,573 24,990 (1) The tables above are a summary of the oil, NGL and natural gas reserves of the Company and the net present value of future net revenue attributable to such reserves as evaluated in the Sproule Report based on forecast price and cost assumptions. The tables summarize the data contained in the Sproule Report and as a result may contain slightly different numbers than such report due to rounding. Also due to rounding, certain columns may not add exactly. (2) Gross reserves means the total working interest (operating or non-operating) share of remaining recoverable reserves owned by Spartan before deductions of royalties payable to others and without including any royalty interests owned by Spartan. (3) Based on Sproule's December 31, 2013 escalated price forecast. (4) The net present value of future net revenue attributable to the Company's reserves is stated without provision for interest costs and general and administrative costs, but after providing for estimated royalties, production costs, development costs, other income, future capital expenditures, and well abandonment costs for only those wells assigned reserves by Sproule. It should not be assumed that the undiscounted or discounted net present value of future net revenue attributable to the Company's reserves estimated by Sproule represent the fair market value of those reserves. Other assumptions and qualifications relating to costs, prices for future production and other matters are summarized herein. The recovery and reserve estimates of the Company's oil, NGL and natural gas reserves provided herein are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual reserves may be greater than or less than the estimates provided herein. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release. Read more at https://www.stockhouse.com/news/press-releases/2014/03/20/spartan-energy-corp-announces-year-end-2013-financial-results-and-reserves#wti8KfsZWztx0V4R.99