CALGARY, Alberta, Sept. 10, 2018 (GLOBE NEWSWIRE) — Prairie Provident Resources Inc. (“Prairie Provident”, “PPR” or the “Company”) is pleased to provide an operational update on successful drilling and completion results from its core Princess area. Corporate average daily production based on field estimates is approximately 5,750 boe/d (75% liquids), with approximately 150 boe/d of additional production shut-in due to infrastructure capacity constraints at the Princess area.
Based on current and projected production rates, Prairie Provident anticipates full-year production to be within its 2018 guidance range of 5,200 to 5,600 boe/d. Prairie Provident’s full-year 2018 capital budget remains consistent with the original guidance of $26 million. After bringing the Princess-5 well (defined hereunder) on-stream, the Company has approximately 17% of its 2018 capital budget available for further development at its Evi core area, where it intends to drill three new exploratory wells beginning in November 2018.
Princess Area Update
Prairie Provident’s latest exploratory Lithic Glauconite well, targeting a new Glauc channel (100% WI) and drilled in a southern block of prospective lands at 103/14-12-019-11W4 (“Princess-5”), commenced production on September 4, 2018 and averaged 550 boe/d (60% liquids) over its first 3 producing days. The early success of Princess-5 further improves PPR’s internal type curve expectations for the area, and based on the results to date management anticipates improved reserves and economics in the Princess area.
As previously announced, during May and July 2018 Prairie Provident brought the 102/13-24-020-11W4*well (“Princess-1”) (100% WI) and the 102/13-26-020-11W4 well (“Princess-4”) (100% WI) on production. During August, both wells continued to perform favourably, with Princess-1 currently producing at a rate of approximately 750 boe/d (65% liquids) and Princess-4 currently producing at a rate of approximately 650 boe/d (87% liquids), in each case based on field estimates.
Prairie Provident’s 2018 Princess capital program has demonstrated the Company’s ability to target higher-value oil and liquids-weighted drilling locations, supported by its sizeable asset base. PPR currently has 33,000 acres of undeveloped lands in the Princess area and plans to resume drilling operations there in 2019.
The Company cautions that the short-term production rates disclosed in this news release are preliminary in nature and may not be indicative of stabilized on-stream production rates or of future ratios between product types. Initial results are not necessarily indicative of long-term well or reservoir performance or of ultimate recovery.
ABOUT PRAIRIE PROVIDENT
Prairie Provident is a Calgary-based company engaged in the exploration and development of oil and natural gas properties in Alberta. The Company’s strategy is to grow organically in combination with accretive acquisitions of conventional oil prospects, which can be efficiently developed. Prairie Provident’s operations are primarily focused at Wheatland and Princess in Southern Alberta targeting the Ellerslie and the Lithic Glauconite formations, along with an early stage waterflood project at Evi in the Peace River Arch. Prairie Provident protects its balance sheet through an active hedging program and manages risk by allocating capital to opportunities offering maximum shareholder returns.