Capital Budget & 2023 Guidance
The Company’s Board of Directors has approved a capital budget of $125 million for 2023, which includes the drilling of 33 wells which will keep one drilling rig fully utilized for the year. The budget is expected to increase the Company’s annual 2023 average production to 13,000 boe/d with funds flow from operations of $180 million and 2023 year-end debt of $75 million.
The 2023 budget assumes an average price of US$75.00 WTI, CDN$98.50/bbl for Edmonton par and an average price of CDN$4.00/GJ for AECO natural gas.
Borrowing Base Review
The Company has completed its semi-annual borrowing base review and the Company’s syndicated senior credit facility has been set at $180 million. The next borrowing base review is scheduled for May 31, 2023.
The Company will exit 2022 with 6 drilled but uncompleted wells and expects to complete 14 wells in the first quarter of 2023.
All reference to $ (funds) are in Canadian dollars unless otherwise noted.