2008 Highlights
— Increased 2008 average production by 182% to 819 boe/d, up from 290 boe/d in the previous year. Proved plus probable reserve additions replaced production by more than eight times.
— Increased revenues in 2008 by 269% to CAD21.62 million.
— Increased 2008 cash flow by 821% to CAD7.5 million.
— Increased proved plus probable (P+P) reserves by 122% to 4,365 mboe. Net present value of the reserves discounted at 10% increased 127% to CAD73.4 mm.
— Reduced general and administrative (G&A) expenses by 59%, on a per unit basis, during 2008 to CAD8.84/boe with fourth quarter G&A of CAD4.97/boe.
— Increased undeveloped acreage by 142% in 2008 to 108,605 net acres. Concluded a nine square mile 3-D seismic program in Judy Creek to make possible the development and exploration drilling in 2009 and beyond.
— Successfully drilled the company’s first two horizontal multi-stage frac Mannville oil wells in Provost.
— Expanded capacity at the 100% working interest oil battery in Provost by 50% to 20,000 bbl/d of emulsion, tied 12 single well batteries into the oil gathering system, and built a low pressure gas gathering system to conserve solution gas production.
— Constructed a 100% working interest oil battery in Coronation and tied in six single well batteries to decrease trucking, emulsion processing costs and general operating costs.
