CALGARY, ALBERTA–(Marketwire – Feb 13, 2013) – AROWAY ENERGY INC. (TSX VENTURE:ARW)(ARWJF) (www.arowayenergy.com) (the “Company”) is pleased to announce the Company”s 2012 year-end production rate of 1,020 barrels of oil equivalent per day (“boe/d”) with 90% oil weighting and an additional 100 boe/d of natural gas currently behind pipe.
Chris Cooper, President & CEO commented, “Today”s production announcement is a remarkable achievement and a reflection of the hard work by both our joint venture partner and the Aroway Energy team to grow the Company”s production from 0 to a major milestone of 1,020 boe/d in just 27 months. 2012 was a year of success as our exit production rate was up 53% from last year; we increased interest in assets and new oil discoveries coupled with strategic acquisitions. We are confident our endeavors from 2012 will result in increased reserve value and increased shareholder confidence.”
Moving forward into 2013 operations, Aroway will continue with its joint venture partner on its 110 sections of land in Northern Alberta”s Peace River Arch. We have a large inventory of 3D seismically defined exploration and development targets identified throughout our entire land base which we will aggressively pursue throughout 2013. The Peace River Arch is one of the most desirable light oil and natural gas liquids drilling areas in North America.
At our West Hazel property in Saskatchewan, Aroway Energy plans to drill two new wells and upgrade its facilities as management believes it can almost double the current production of approximately 300 bbls/d. Furthermore, Aroway is pleased to report that is has begun transporting its existing production from its West Hazel property via rail, resulting in an additional $9 per barrel being added to its monthly netback.
Aroway plans to leverage its strong cash flow and will be active in the acquisition market capitalizing on the opportunities the Company believes will become available throughout 2013.
ABOUT AROWAY ENERGY INC.
Aroway Energy Inc. is a Western Canadian junior oil focused production and Exploration Company participating in oil development & exploration prospects in Alberta and Saskatchewan, Canada. Through a joint venture partnership in the Peace River Arch of Northern, Alberta, Aroway and its Partner have assembled a land package of 110 sections (70,400 acres) with 3D seismic coverage over almost all of its lands. All exploration and development targets are in close proximity to tie-in, gathering and plant infrastructure, controlled and owned by Aroway”s Joint Venture Partner. Aroway also has 100% operated working interest on a 3D seismically defined exploration property in Central Alberta and a highly economic heavy oil producing property in West Hazel Saskatchewan.
ON BEHALF OF AROWAY ENERGY INC
Chris Cooper, President & CEO
A conversion ratio of 1 barrel of oil equivalent (“boe”); 6 Mcf has been used, which is based on an energy equivalency conversion method primarily applicable at the burner tip and does not necessarily represent a value equivalency at the wellhead. Boes may be misleading, particularly if used in isolation.