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Aroway Energy Inc ARWJF

Aroway Energy Inc is engaged in the exploration and development of oil and gas properties. Its operations take place in Canada, Alberta.


GREY:ARWJF - Post by User

Bullboard Posts
Post by cgiffinon May 07, 2014 8:34pm
237 Views
Post# 22536322

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We hope to be at total company production in the 600 barrels per day range very shortly.  Chris, this will be due in large part to the work we undertook at West Hazel, that is, the recent disposal facility and multi well battery construction.  Due to this work we now have four (4) producing wells at our West Hazel Facility.  Those wells are all stabilizing as it relates to production but we are hopeful that once those wells are all stabilized we should have production out of West Hazel at about 400 barrels per day.  When you add that to our Kirkpatrick Lake production we should be well in the neighbourhood of 550 to 600 barrels (Total Company Production) per day.  As to your comment on "Stable and Sustainable" production, Chris we are always working to maintain and add production.  Keep in mind that the very moment you put a well on production it begins DEPLETING.  This is not an anomaly it is Normal and very real to the Oil and Gas industry hence a company must either continuously drill wells to add production or go out and acquire producing assets in order to maintain and add production.... We continue to work to maintain and add production and have had, as you have noted, depletion in our production.  That being said, we do have additional infill wells at West Hazel that we can drill to add production and locations and prospects at Kirkpatrick Lake as well. 
As I noted in my earlier email, we had to take on more debt to undertake the work at West Hazel.  The plan had been to retire our debt by July.  We are still keen and very committed to retiring our debt and continue to pay down that debt with a view to having that debt retired by March of 2015 at the latest.  Chris we are still very pleased with our low debt level and the fact that we have not had to raise copious amounts of money and dilute our long standing stakeholders.  Since starting the Company in 2010 Chris Cooper has only gone to the markets three times to raise money.  Of great credit to Mr. Cooper, he operated a full year from cash flow and that is quite a feat for a very junior company.

I hope the above adequately addresses your queries and again please do not hesitate to reach out.

Respectfully
Judy-Ann

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