CALGARY – HIGHLIGHTS
_________________________________ |
|
(1) |
See “Oil and Gas Measures and Definitions” in the Advisories section. |
(2) |
“Adjusted funds flow” and “base capital” are Non-GAAP measures. See “Non-GAAP Measures” in the Advisories section. |
(3) |
Production measured at the wellhead. Natural gas sales volumes are lower by approximately 10 percent and wellhead liquids sales volumes are lower by approximately 12 percent due to shrinkage, under normalized operations. Excludes days when the wells did not produce. The production rates and volumes stated are over a short period of time and, therefore, are not necessarily indicative of average daily production, long-term performance or of ultimate recovery from the wells. CGRs calculated by dividing raw wellhead liquids volumes by raw wellhead natural gas volumes. See Oil and Gas Measures and Definitions in the Advisories section. |
2020 GUIDANCE
RESERVES (1)
________________________________ |
|
(1) |
Readers are referred to the advisories concerning “Reserves Data” and “Oil and Gas Measures and Definitions” in the Advisories section of this document. Reserves evaluated by McDaniel & Associates Consultants Ltd. (“McDaniel”) as of December 31, 2019 and December 31, 2018 in accordance with National Instrument 51-101 definitions, standards and procedures. Reserves are gross reserves representing working interest before royalties. Net present values of future net revenue were determined using forecast prices and costs and do not represent fair market value. |
ENVIRONMENTAL, SOCIAL AND GOVERNANCE
CORPORATE
FINANCIAL AND OPERATING RESULTS (1)
($ millions, except as noted)
Three months ended December 31 |
Twelve months ended December 31 |
||||||||
2019 |
2018 |
2019 |
2018 |
||||||
Net income (loss) |
(31.1) |
(170.5) |
(87.9) |
(367.2) |
|||||
per share – basic and diluted ($/share) |
(0.24) |
(1.31) |
(0.67) |
(2.78) |
|||||
Cash from operating activities |
70.5 |
12.4 |
255.7 |
223.4 |
|||||
per share – basic and diluted ($/share) |
0.54 |
0.10 |
1.96 |
1.69 |
|||||
Adjusted funds flow |
93.5 |
45.5 |
299.0 |
263.9 |
|||||
per share – basic and diluted ($/share) |
0.71 |
0.35 |
2.29 |
2.00 |
|||||
Total assets |
3,531.3 |
4,118.1 |
|||||||
Long-term debt |
632.3 |
815.0 |
|||||||
Net debt |
703.5 |
896.0 |
|||||||
Common shares outstanding (thousands) (2) |
133,337 |
130,326 |
|||||||
Sales volumes |
|||||||||
Natural gas (MMcf/d) |
299.0 |
315.2 |
303.3 |
325.9 |
|||||
Condensate and oil (Bbl/d) |
28,516 |
24,898 |
25,079 |
24,238 |
|||||
Other NGLs (Bbl/d) (3) |
7,064 |
7,059 |
6,767 |
7,386 |
|||||
Total (Boe/d) |
85,411 |
84,495 |
82,394 |
85,941 |
|||||
% liquids |
42% |
37% |
39% |
37% |
|||||
Grande Prairie Region (Boe/d) |
36,789 |
26,976 |
29,040 |
26,059 |
|||||
Kaybob Region (Boe/d) |
33,167 |
37,262 |
35,500 |
39,004 |
|||||
Central Alberta and Other Region (Boe/d) |
15,455 |
20,257 |
17,854 |
20,878 |
|||||
Total (Boe/d) |
85,411 |
84,495 |
82,394 |
85,941 |
|||||
Netback |
$/Boe (4) |
$/Boe (4) |
$/Boe (4) |
$/Boe (4) |
|||||
Natural gas revenue |
75.1 |
2.73 |
79.2 |
2.73 |
261.0 |
2.36 |
267.1 |
2.25 |
|
Condensate and oil revenue |
175.0 |
66.70 |
104.3 |
45.54 |
610.2 |
66.66 |
599.9 |
67.81 |
|
Other NGLs revenue (3) |
8.5 |
13.03 |
20.4 |
31.39 |
37.7 |
15.24 |
82.7 |
30.67 |
|
Royalty and sulphur revenue |
1.3 |
─ |
3.5 |
─ |
6.0 |
─ |
15.8 |
─ |
|
Petroleum and natural gas sales |
259.9 |
33.08 |
207.4 |
26.68 |
914.9 |
30.42 |
965.5 |
30.78 |
|
Royalties |
(17.2) |
(2.19) |
(8.0) |
(1.03) |
(63.3) |
(2.10) |
(69.2) |
(2.21) |
|
Operating expense |
(105.0) |
(13.36) |
(103.2) |
(13.28) |
(376.0) |
(12.50) |
(381.0) |
(12.15) |
|
Transportation and NGLs processing (5) |
(22.8) |
(2.90) |
(24.2) |
(3.11) |
(94.7) |
(3.15) |
(93.0) |
(2.96) |
|
Netback |
114.9 |
14.63 |
72.0 |
9.26 |
380.9 |
12.67 |
422.3 |
13.46 |
|
Commodity contract settlements |
4.7 |
0.60 |
(9.3) |
(1.20) |
13.2 |
0.44 |
(76.5) |
(2.44) |
|
Netback including commodity contract settlements |
119.6 |
15.23 |
62.7 |
8.06 |
394.1 |
13.11 |
345.8 |
11.02 |
|
Base Capital (6) |
|||||||||
Grande Prairie Region |
60.7 |
48.1 |
256.7 |
265.7 |
|||||
Kaybob Region |
9.5 |
35.6 |
80.7 |
215.7 |
|||||
Central Alberta and Other Region |
0.6 |
16.3 |
7.6 |
40.9 |
|||||
Corporate |
─ |
2.5 |
6.0 |
10.8 |
|||||
Total |
70.8 |
102.5 |
351.0 |
533.1 |
|||||
Asset retirement obligations settlements |
18.0 |
8.9 |
29.4 |
29.4 |
(1) |
Readers are referred to the advisories concerning Non-GAAP Measures and Oil and Gas Measures and Definitions in the Advisories section of this document. This table contains the following Non-GAAP measures: Adjusted Funds Flow, Net Debt, Netback, and Base Capital. |
(2) |
Common shares are presented net of shares held in trust under the Company’s restricted share unit plan (000’s of common shares): 2019: 857.9; 2018: 574.0. |
(3) |
Other NGLs means ethane, propane and butane. |
(4) |
Natural gas revenue presented as $/Mcf. |
(5) |
Includes downstream transportation costs and NGLs fractionation costs. |
(6) |
Excludes spending related to the expansion of the Karr 6-18 facility prior to its sale, land and property acquisitions |
RESERVES (1)
Proved |
Proved plus Probable |
|||||
2019 |
2018 |
% Change |
2019 |
2018 |
% Change |
|
Natural gas (Bcf) |
1,059.5 |
1,366.6 |
(22) |
1,993.8 |
2,169.2 |
(8) |
NGLs (MBbl) (2) |
141,238 |
146,791 |
(4) |
264,917 |
238,325 |
11 |
Crude oil (MBbl) |
16,997 |
16,130 |
5 |
34,875 |
34,550 |
1 |
Total (MBoe) |
334,817 |
390,688 |
(14) |
632,097 |
634,403 |
─ |
Future Net Revenue NPV10 ($ millions) |
2,427 |
2,136 |
14 |
4,478 |
4,134 |
8 |
(1) |
Readers are referred to the advisories concerning “Reserves Data” and “Oil and Gas Measures and Definitions” in the Advisories section of this document. Reserves evaluated by McDaniel & Associates Consultants Ltd. (“McDaniel”) as of December 31, 2019 and December 31, 2018 in accordance with National Instrument 51-101 definitions, standards and procedures. Reserves are gross reserves representing working interest before royalties. Net present values of future net revenue were determined using forecast prices and costs and do not represent fair market value. |
(2) |
Includes ethane, propane, butane, pentanes-plus, and condensate. |
APPOINTMENT OF CHIEF FINANCIAL OFFICER
The Board of Directors of Paramount is pleased to announce the appointment of Paul Kinvig to the role of Chief Financial Officer. Paul has most recently served as Paramount’s Vice President Finance, Capital Markets and has held roles of increasing responsibility in Paramount’s finance area throughout his 15 years with the Company. Bernie Lee will continue to serve as Executive Vice President, Finance of the Company. The Board recognizes and appreciates the significant contributions that Bernie Lee has made as Chief Financial Officer to Paramount’s success over the last 17 years and looks forward to his continuing contributions.
ABOUT PARAMOUNT
Paramount is an independent, publicly traded, liquids-focused Canadian energy company that explores for and develops both conventional and unconventional petroleum and natural gas reserves and resources, including longer-term strategic exploration and pre-development plays, and holds a portfolio of investments in other entities. The Company’s principal properties are located in Alberta and British Columbia. Paramount’s Class A common shares are listed on the Toronto Stock Exchange under the symbol “POU”.
Paramount’s 2019 annual results, including the Review of Operations, Management’s Discussion and Analysis and the Company’s Consolidated Financial Statements can be obtained at: https://mma.prnewswire.com/media/1099299/Paramount_Resources_Ltd__Paramount_Resources_Ltd__Reports_2019_A.pdf
This information will also be made available through Paramount’s website at www.paramountres.com and on SEDAR at www.sedar.com.
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