VANCOUVER, Aug. 8, 2019 /CNW/ – Hemisphere Energy Corporation (TSX-V: HME) (“Hemisphere” or the “Company”) is pleased to provide an operational update on its 2019 drilling program and field operations.
Hemisphere is currently drilling the tenth horizontal well of its 2019 summer drilling program, with drilling operations for the first nine wells having progressed ahead of schedule and on budget. Two of the new wells have already been placed on production with the remainder of new wells awaiting the completion of drilling and pipeline operations on multi-well padsites. All wells are expected to be on production by the end of September 2019. Facility upgrades to further expand the Atlee Buffalo G pool battery capacity are anticipated to be complete by the end of August 2019 in order to accommodate the additional production from the new wells.
Based on field estimates, average corporate production since bringing on two of the new wells on July 16, 2019 has been approximately 1,630 boe/d (96% oil). Hemisphere’s second quarter average production was approximately 1,367 boe/d (95% oil). This represents the third quarter in a row with minimal production decline since Hemisphere’s 2018 drilling program ended.
Hemisphere continues to monitor the oil and WCS differential pricing and will adjust capital spending as required. The Company remains committed to taking a measured approach to capital expenditures in 2019 as it balances annual growth in production, reserves, and cash flow to strengthen its balance sheet metrics with commodity price volatility and corporate debt.
About Hemisphere Energy Corporation
Hemisphere Energy Corporation is a producing Canadian oil and gas company focused on developing low risk conventional oil assets for minimal capital exposure through developing known pools of oil and optimizing waterflood projects. Hemisphere plans continual growth in production, reserves and cash flow by drilling existing projects and executing strategic acquisitions. Hemisphere trades on the TSX Venture Exchange as a Tier 1 issuer under the symbol “HME”.