We Get Press Releases…Thousands of Press Releases (Part I)

Roughneck Magazine decided to conduct an interesting analysis. We read through the thousands of media releases we’ve received since January 1, 2017 to highlight producers as well as service and supply companies who have gone to the public markets to raise equity. Then we went back to answer the question, what did they do, or plan to do, with the money?

According to ATB’s Corporate Financial Services, there were 46 transactions, worth $43.3 billion conducted in the first five months versus a total of 94 in 2016, valued at $13.2 billion (for the entire year). Companies sold proven reserves for $8.79/barrel and proven + probable (P1 + P2) at $5.60/bbl. The average price for a flowing barrel was $59,400. That’s compared to all of 2016 at $9.89/bbl for proven, P1 + P2 at $7.02/bbl and $47,250/flowing bbl.

Apologies to those publicly-traded companies who aren’t mentioned. It is only because you didn’t go to the markets to raise capital in 2017.

 

A

Alberta Government    

Jan.

• 11^th land sale netted $12,398,503.63 25^th land sale netted $5,216,812.08

Feb. 

• 8^th land sale netted $5,481,885.01

Mar.  

• 8^th land sale netted $9,149,812.07 22^nd land sale netted $19,371,752l.80

Apr. 

• 5^th land sale netted $11,138,256.75 26^th land sale netted $26,568.594.26

May.  

• 10^th land sale netted $18,659,193.81 24^th land sale netted $21,431,614.07

 

AltaGas Ltd. 

$500.0 MM 2017 CapEx budget                 

Jan. 

• Govt. of AB reached agreement-cancel PPA for coal-fired plants
• Announced merger talks w/WGL Holdings Inc.
• Announced plans-build NGL facility Ridley Island, BC costing $180.0 MM
• Acquired WGL Holdings Ltd. for $8.4 BN Raising $2.1 BN equity
• Raising $400.0 MM equity by private placement
• Celebrates opening of Pomona battery storage facility

Feb. 

• Raising $200.0 MM preferred share offering
• Closed $300.0 MM preferred share offering
• Closed $3.2 BN equity financing
• Closed $400.0 MM equity financing by private placement
• Announced year-end revenue of $2.190 MM with normalized EDITDA of $701.0 MM
• Raising $300.0 MM equity by a preferred share issue
• Closed $300.0 MM preferred share financing

Mar.

• Closed $118.0 MM over-allotment of recent equity financing

May.  

• Formed JV w/Royal Vopak to develop Ridley Island Propane Export Terminal

 

Athabasca Oil Corporation

Jan.

• Closed $431.0 MM acquisition of thermal oil assets from Statoil Canada Ltd.

Mar. 

• Produced 11,981 boe/d (81% liquids), capital expenditures of $122.0 million ($111.0 million to light oil, rest heavy oil)

Aveda Transportation &  Energy Services Inc.  

Jan. 

• Raising $10.0 MM equity

Feb.

• Raising $25.0 MM equity
• Raising $20.0 MM by IPO
• Closed $22,460.175.0 equity financing

Apr.  

• Expects higher revenues in Q1, 2017 – $39.0 – $40.0 MM compared to Q1, 2016 – $12.0 MM due to increased drilling activity + new management team

May.

• Q1, 2017 revenue increased by $29.0 MM or 241% to $41.0 MMcompared to Q1, 2016 of $12.0 MM

B

Baytex Energy Corp.

Jan.

• Closed $65.0 MM acquisition -Peace River heavy oil assets

Mar.  

• Q4, 2016 produced 65,136 boe/d (79% oil and NGL) + 69,509 boe/d for full year; decreased cash costs by 8% on boe basis; replaced 205% production in Eagle Ford and increased P1 +P2 reserves 6% to 216.5 mmboe

May.  

• Q1, 2017 produced 69,298 boe/d (79% oil/NGL), up 6% from Q4, 2016; of that 36,081 boe/d from Eagle Ford + 33,217 boe/d in Canada

Bellatrix Exploration Ltd.    

$105 MM 2017 CapEx budget

Mar.  

• 2016 NPV before tax of $1.24 BN, up 18% compared to 2015 Q1, 2017 produced 34,750 boe/d, up 9% from Q4, 2016, funds from operations grew 77% to $14.9 MM (versus Q4, 2016)

Bengal Energy Ltd. 

Jan. 

• Closed $4,090,667.76 rights offering

Feb.  

• Q4, 2016 revenues of $1.5 MM, down 225% from $1.8 MM in Q3,2016; produced 355 boe/d

Birchcliff Energy Ltd.   

$355.0 MM 2017 CapEx budget

Feb.

• 2016 produced 49,236 boe/d, up 26% from 2015

Mar.

• Announced potential sale of Charlie Lake light oil assets -Peace River arch

May.

• Q1, 2017 produced 61,662 boe/d, up 47% from Q1, 2016

 

Blackbird Energy Inc.

Jan. 

• Completed $16.2 MM Elmworth/Pipestone facility + gathering system

Feb.  

• Signed LOI Montney assets acquisition from Paramount Resources Ltd.-all stock transaction

Mar.  

• Closed acquisition of Elmworth/ Pipestone assets from Paramount Resources
• Raising $80.0 MM by common share + flow-through common share issue
• Closed $84.8 MM by common share + flow-through common  share issue
• Closed Montney land acquisition from Knowledge Energy Inc.

Apr.  

• Announced 1,002% increase Pipestone Montney 2P reserves NPV to $455 MM + risked best estimate contingent resources NPV $437 MM

 

Bonterra Energy Corp.

$70.0 MM 2017 CapEx budget

Feb.   

• 2016 increased P1 + P2 reserves by 5% to 94.9 mmboe (71% oil/ NGL) + total proved reserves by 5% to 74.3 mmboe (71% oil/NGL)
• Raising $12,902,400 equity by a flow-through shares issue

 

British Columbia Government

Jan. 

• 18^th land sale nett3ed $39,652,979.27

Feb. 

• 22^nd land sale netted $3,727,424.33

Mar.

• 22^nd land sale netted $4,863,613.19

Apr.   

• 19^th land sale netted $14,947,864.51

May

• 17^th land sale netted $3,430,627.31

C

Canacol Energy Ltd.

Feb.   

• Secured $265.0 MM in senior secured debt financing

Mar.     

• 2016 adjusted P&NG revenues after royalties increased 43% to $173.2 MM; EBITDA increased 101% to $135.5 MM for 2016;P1 + P2 + volumes increased 49% in 2016 to 42. mmboe

May.     

• Q1, 2017 produced 18,043 boe/d, up 61% compared to 11,220 boe/d Q1, 2016; average production volumes increased 55% to 16,992 boe/d in Q1, 2017; adjusted operating funds for Q1, 2017 increased 56% to $20.9 MM compared to Q1, 2016

 

Canadian Energy Services & Technology

Mar. 

• Raising $300.0 MM in senior unsecured debt by private placement
• Terminated financing due to poor market conditions

May.  

• Changing name to CES Energy Solutions Corp. Q1, 2017 generated revenue of $252.4 MM, up 84% fro $137.1 MM Q1, 2016; EBITA Q1, 2017 $36.1 MM up from $6.6 MM Q1, 2016

 

Canadian Natural Resources

Feb.  

• Horizon oilsands production averaged 184 K bbl/d SCO at OpEx $22.53/bbl
• Announced P1 reserves up 4% to 5.969 BN boe + additions 551 mmboe; P1 + P2 increased 2% to 9179 BN boe + additions 433 mmboe

Mar.   

• Acquiring 70% WI Shell’s Athabasca oil sands project + 70% WI Scotford upgrader + Marathon’s 20% WI Athabasca oil sands project for $12.75 BN

May.

• Raising $1.8 BN unsecured debt
• Raising $3.0 BN unsecured debt
• Q1, 2017 earnings of $245 MM, production up 2% from Q4, 2016 + funds from operations $1.64 BN
• Completes acquisition WI Athabasca Oil Sands project + other oilsands assets from Shell and Marathon

 

Canadian Overseas Petroleum

Mar. 

• Interpreting data from Liberia well LB-13 and sourcing funding to drill OPL 226, offshore Nigeria

May.   

• Raising 3.25 MM Euros in equity

 

Canadian Spirit Resources

Jan.    

• Closed $500.0 K equity financing by private equity

Apr.

• Hired advisors to review Montney resources at Attachie and Farrell Creek/Altares assets

May.

• 2016 announced 9,044 Bcf total TPIIP of shale as, up 62% from previous 2012 assessment

 

Canbriam Energy Inc.

$295.0 MM 2017 CapEx budget

May.  

• Fire at Altares b-24-H gas plant immediately shut down, personnel evacuated, no injuries, authorities investigating

 

Canyon Services Group Inc.

Mar.

• Agreed to merge with Trican Well Service Ltd. non-cash transaction valued -$637.0 MM

 

Cardinal Energy Ltd.

$100.0 MM 2017 CapEx budget

Mar. 

• 2016 average production 14,611 boe/d, up 23% with OpEx/boe down by 5% to $21.23/boe from $22.43/boe (2015)

 

Cathedral Energy Services Ltd.

Jan.  

• Closed $17.2 MM sale of flowback + testing assets to Ideal Completions Group LLC
• Raised $11.2 MM equity

Feb.

• Closed $14,130 MM equity financing

Mar. 

• Q4, 2016 revenues of $28,009 MM up 32% from $6,748.0 MM Q4 2015; EBITDA from operations $4,367.0 MM Q4, 2016 up From $4,248.0 MM Q4, 2015

May.

• Q1, 2017 revenues up 105% from $18,744.0 MM (Q1, 2016) to $38,323 MM; EBITDA increased to 18% of revenues (Q1, 2017) from 8% (Q1, 2016)

 

Chinook Energy Inc.

$40.0 MM 2017 CapEx budget

Feb.  

• Closed $10.5 MM sale -Gold Creek area assets
• Sold non-core assets in Knopcik/Pipestone area $7.5 MM 2016 produced 3,716 boe/d with Q4, 2016 production at 2,593 boe/d
• Plans to expand Birley/Umbach 25 mmcf/d compressor station to 50 mmcf/d

Mar. 

• 2016 1P reserves up by 33% from 2015 w/F&D costs $6.65/boe; P2 reserves up 45% w/F&D costs of $4.76/boe; NPV of P1 reserves $65.8 MM (2016) + NPW of P2 $127.7 MM (2016)

May.

• Q1, 2017 net surplus of $25.6 MM (including cash $21.6 MM); 3 wells onstream at Birley/Umbach at CapEx $8.8 MM

 

Cenovus Energy Inc.

Feb. 

• 2016 added 80 K bbl/d gross oil sands production, up 7% from 2015; reduced OpEx by 13%/bbl (non-fuel); increased P1
• reserves by 5%

Apr. 

• Acquiring ConocoPhillips oilsands + other assets for $17.7 BN ($14.1 BN in cash + stock equal to 25% of current outstanding shares)
• In talks w/Brookfield to postpone occupancy of Brookfield Place
• Raising $2.9 BN equity
• Closed $3.0 BN equity financing
• Plans to spend $650.0 MM to drill 120 convention gas wells on ConocoPhillips land
• Marketing Pelican Lake + Suffield assets
• 2016 generated adjusted flow of $323 million; generated $328 MM cash, up 80% (2016)
• Resumed field construction of Christina Lake G expansion; successfully drilled 252 gross horizontal wells

May.

• Closed $17.7 BN acquisition of ConocoPhillips assets

 

Clearview Resources Ltd.

Feb.   

• Closed its $11,355.0 MM acquisition of Wilson Creek assets
• Raising $16.0 MM equity

Mar.

• Closed $20.1 MM acquisition – Pembina area assets
• Closed $21.14 MM equity financings by private placement

 

Colony Energy LLC

Apr.

• Sold portfolio of natural gas leases in Godin, AB area to Fortem Resources Inc.

 

Condor Petroleum Inc.

Jan.  

• Secured $10.0 MM (US) credit facility
• Poyraz West 2 appraisal well discover new pre-Sogucak Reservoir

Mar. 

• 2016 Kazakhstan production averaged 522 bbl/d; finishing construction on 15 mmcf/d gas plant (start-up mid-2017); drilled 4 wells + each encountered multiple pay zones
• 2016 Turkey proved reserves 2,089 mboe, up 21%; P1 + P2 up 4% to 3,863 mboe (2016)

May.  

• Construction Poyraz Ridge gas plant on-schedule; drilling activities are underway on the Poyraz West 4 development well and the lateral section is being drilled.
• Q1, 2017 produced 418 bop/d in Kazakhstan

 

CNOOC Nexen

Jan. 

• 2017 global production target 450-460 MM boe/d; 64% production in China + 36% elsewhere;

Apr.  

• Took large write-down of Long Lake oilsands project

 

Craft Oil Ltd.

Jan.  

• Arranged to sell assets -Cardinal Energy Ltd. $41.0 MM ($4.0 MM in cash + 4.0 MM common shares)
• Arranged to sell $1.6 MM assets -Point Loma Resources Ltd. (4.0 million common shares)

Mar.   

• Closed $3.7 MM Grande Prairie asset sale -Cardinal Energy Ltd. of 1,625 boe/d (weighted 36% oil/NLG)
• Closed sale 410 boe/d (weighted 95% natural gas) in Judy Creek/Thornbury + Portage area -Point Loma Resources Ltd.

 

Crew Energy Inc.

$200 MM 2017 CapEx budget                 

Feb. 

• 2016 P1 + P2 FD&A costs $5.57/boe
• Offers senior unsecured notes + conditional redemption of outstanding 8,365% unsecured notes due 2020

Mar. 

• 2016 production 22,844 boe/d, up 23% from 2015; CapEx 30% lower than 2015
• Raising $300.0 MM senior unsecured debt

May 

• Q1, 2017 production 23,231 boe/d, up 4% from Q4, 2016 due to 8% increase NGL product NE BC; funds from operations $27.7 MM, up 125%/share to $0.18
• Closed $49.0 MM disposition of Goose area assets NE BE assets

 

CWC Energy Services Corp.

Mar.  

• Q4, 2016 operating funds $27.9 MM, 42% higher than Q4, 2015; OpEx averaged $5.35/boe, down 22% compared to Q4, 2015

May.  

• Q1, 2017 had rig utilization of 66% versus Q1, 2016 of 26%; had 532 drilling rig operating days Q1, 2017 (highest level of activity in last 9 quarters)
• Initiated strategic review process + hired advisors to seek alternatives