ROK Resources Files Financial Results and Management Discussion & Analysis for the Second Quarter of 2024 and Provides Operations Update
ROK Resources Inc. (TSXV:ROK)(OTCQB:ROKRF) has filed its Q2 2024 financial results and provided an operations update. Key highlights include:
- Production averaged 3,937 boepd (63% liquids), a 19.4% YoY increase
- Operating Netback improved to $17.87 per boe
- Successful drilling of 4 gross (3.44 net) wells with average IP30 of 148 boepd
- Adjusted Net Debt reduced to $15.1 million
- Credit facility renewed at $22.5 million through June 30, 2025
The company remains on track with its 2024 guidance, expecting to drill 7-9 gross wells in H2 2024. ROK's focus is on strategic opportunities, operational efficiencies, and cost reduction measures. The company has temporarily shut-in 300 boepd in Kaybob, Alberta due to soft natural gas markets.
ROK Resources Inc. (TSXV:ROK)(OTCQB:ROKRF) ha pubblicato i risultati finanziari del Q2 2024 e fornito un aggiornamento sulle operazioni. I punti salienti includono:
- La produzione ha raggiunto una media di 3.937 boepd (63% liquidi), con un aumento del 19,4% rispetto all'anno precedente.
- Il Netback operativo è migliorato a $ 17,87 per boe.
- Successo nella perforazione di 4 pozzi lordi (3,44 netti) con un IP30 medio di 148 boepd.
- Il Debito netto rettificato è sceso a 15,1 milioni di dollari.
- La linea di credito è stata rinnovata a 22,5 milioni di dollari fino al 30 giugno 2025.
La società è in linea con le previsioni del 2024 e prevede di perforare 7-9 pozzi lordi nel secondo semestre del 2024. L'obiettivo di ROK è concentrarsi su opportunità strategiche, efficienze operative e misure di riduzione dei costi. L'azienda ha temporaneamente chiuso 300 boepd a Kaybob, Alberta, a causa di un mercato del gas naturale debole.
ROK Resources Inc. (TSXV:ROK)(OTCQB:ROKRF) ha presentado sus resultados financieros del Q2 2024 y proporcionado una actualización de operaciones. Los aspectos destacados incluyen:
- La producción promedió 3,937 boepd (63% líquidos), un aumento del 19.4% respecto al año anterior.
- El Netback operativo mejoró a $17.87 por boe.
- Se perforaron con éxito 4 pozos brutos (3.44 netos) con un IP30 promedio de 148 boepd.
- La Deuda neta ajustada se redujo a 15.1 millones de dólares.
- Se renovó la línea de crédito por 22.5 millones de dólares hasta el 30 de junio de 2025.
La empresa sigue en camino con su guía para 2024, esperando perforar de 7 a 9 pozos brutos en la segunda mitad de 2024. El enfoque de ROK está en oportunidades estratégicas, eficiencias operativas y medidas de reducción de costos. La empresa ha cerrado temporalmente 300 boepd en Kaybob, Alberta, debido a un mercado de gas natural débil.
ROK Resources Inc. (TSXV:ROK)(OTCQB:ROKRF)는 2024년 2분기 재무 결과를 발표하고 운영 업데이트를 제공했습니다. 주요 하이라이트는 다음과 같습니다:
- 총 3,937 boepd (63% 액체) 생산, 전년 대비 19.4% 증가.
- 운영 순이익이 boe당 $17.87로 향상되었습니다.
- 총 4개의 유정(3.44개 순)에서 성공적인 시추, 평균 IP30은 148 boepd.
- 조정된 순부채가 1,510만 달러로 감소했습니다.
- 신용 시설이 2025년 6월 30일까지 2,250만 달러로 갱신되었습니다.
회사는 2024년 예측에 따라 2024년 하반기에 7~9개의 유정을 시추할 계획입니다. ROK는 전략적 기회, 운영 효율성 및 비용 절감 조치에 집중하고 있습니다. 회사는 자연 가스 시장의 부진으로 인해 캐나다 앨버타주 케이밥에서 300 boepd를 일시적으로 중단했습니다.
ROK Resources Inc. (TSXV:ROK)(OTCQB:ROKRF) a publié ses résultats financiers du deuxième trimestre 2024 et a fourni une mise à jour des opérations. Les points forts incluent :
- La production a atteint une moyenne de 3 937 boepd (63 % de liquides), soit une augmentation de 19,4 % par rapport à l'année précédente.
- Le Netback opérationnel s'est amélioré à 17,87 $ par boe.
- Forage réussi de 4 puits bruts (3,44 nets) avec un IP30 moyen de 148 boepd.
- La dette nette ajustée a été réduite à 15,1 millions de dollars.
- La ligne de crédit a été renouvelée à hauteur de 22,5 millions de dollars jusqu'au 30 juin 2025.
L'entreprise reste sur la bonne voie avec ses prévisions pour 2024, s'attendant à forer entre 7 et 9 puits bruts au second semestre 2024. L'objectif de ROK est de se concentrer sur des opportunités stratégiques, des gains opérationnels et des mesures de réduction des coûts. L'entreprise a temporairement interrompu 300 boepd à Kaybob, Alberta, en raison d'un marché du gaz naturel faible.
ROK Resources Inc. (TSXV:ROK)(OTCQB:ROKRF) hat seine Finanzzahlen für das zweite Quartal 2024 veröffentlicht und ein Update zu den Operationen bereitgestellt. Wichtige Highlights sind:
- Die Produktion belief sich im Durchschnitt auf 3.937 boepd (63% Flüssigkeiten), was einem Anstieg von 19,4% im Vergleich zum Vorjahr entspricht.
- Der operative Netback verbesserte sich auf 17,87 USD pro boe.
- Erfolgreiche Bohrung von 4 Brutto- (3,44 Netto-) Bohrungen mit einem durchschnittlichen IP30 von 148 boepd.
- Der angepasste Nettoschuldenbetrag wurde auf 15,1 Millionen USD reduziert.
- Die Kreditfazilität wurde bis zum 30. Juni 2025 auf 22,5 Millionen USD erneuert.
Das Unternehmen ist auf Kurs mit seiner Prognose für 2024 und plant, in der zweiten Hälfte des Jahres 2024 7-9 Brutto-Bohrungen durchzuführen. ROK konzentriert sich auf strategische Chancen, operative Effizienz und Kostensenkungsmaßnahmen. Das Unternehmen hat aufgrund schwacher Erdgaspreise 300 boepd in Kaybob, Alberta, vorübergehend stillgelegt.
- Production increased 19.4% year-over-year to 3,937 boepd
- Operating Netback improved to $17.87 per boe from $16.06 in Q1 2024
- Successful drilling program with average IP30 of 148 boepd
- Adjusted Net Debt reduced from $18.7 million to $15.1 million
- Credit facility renewed at $22.5 million through June 30, 2025
- Funds from Operations of $7.0 million in Q2 2024
- 300 boepd shut-in at Kaybob due to soft natural gas markets
- Net loss of $5,530,751 for YTD 2024
- Operating expenses increased to $22,279,328 for YTD 2024 compared to $19,241,548 in YTD 2023
- Net Debt increased to $17,229,550 as of June 30, 2024, from $14,701,453 at the end of 2023
NOT FOR DISTRIBUTION TO THE U.S. NEWSWIRE OR FOR DISSEMINATION IN THE UNITED STATES
REGINA, SK / ACCESSWIRE / August 21, 2024 / ROK Resources Inc. (" ROK " or the " Company ") (TSXV:ROK)(OTCQB:ROKRF) has filed its interim Financial Results and Management Discussion & Analysis for the six months ended June 30, 2024.
The Company executed on its previously announced post spring-break up drilling program in late Q2 2024, utilizing Funds Flow of
The Company remains well positioned to continue its 2024 drilling program through year-end, with the flexibility to allocate capital across its light oil prospects in Saskatchewan. Despite operational delays due to abnormally wet weather in Q2 2024, the Company's 2024 guidance remains relatively unchanged.
| 1H 2024 Guidance |
|
| 1H 2024 Actuals |
|
| 2H 2024 Guidance |
|
| 2024 Year Guidance |
| |||||
Capital Expenditures (MM) |
| $ | 9.50 |
|
| $ | 8.00 |
|
| $ | 16.00 |
|
| $ | 24.00 |
|
Exit Production (boepd) 1,2 |
|
| 4,000 |
|
|
| 3,805 |
|
|
| 4,500 |
|
|
| 4,500 |
|
Funds from Operations (MM) |
| $ | 15.00 |
|
| $ | 15.03 |
|
| $ | 15.00 |
|
| $ | 30.03 |
|
Exit Adjusted Net Debt (MM) |
| $ | 16.50 |
|
| $ | 15.10 |
|
| $ | 20.00 |
|
| $ | 20.00 |
|
Average WTI (US$) |
|
|
|
|
|
|
|
|
Notes:
63% liquids300 boepd shut-in on June 15, 2024 at Kaybob due to AECO pricing
2H 2024 production guidance assumes Kaybob volumes are back on-stream before year-end
Q2 2024 HIGHLIGHTS
Production In-line with Forecast: Production averaged 3,937 boepd (
63% liquids), a YoY increase of19.4% ;Operating Netback Increase: Operated Netback of
$17.87 per boe compared to$16.06 per boe in Q1 2024;Successful Frobisher Drill Program: Drilled 4 gross (3.44 net) wells with an average IP30 of 148 boepd;
Successful Optimization Program: Continued success with casing gas compressor installations on Midale producers, resulting in average capital efficiencies of
$3,850 /boepd and 4-to-6 month payouts;Adjusted Net Debt Reduction: Adjusted Net Debt reduced from
$18.7 million at the end of Q4 2023 to$15.1 million at the end Q2 2024; andCredit Facility Renewed: The Company maintains a
$22.5 million credit facility through June 30 th , 2025.
2024 OPERATIONS UPDATE AND OUTLOOK
Year to date, the Company has successfully drilled 5 gross (4.33 net) wells in 2024, currently producing a total of 735 boepd (640 boepd net to ROK). In addition, since beginning casing gas compressor installations on existing Midale wells in Southeast Saskatchewan, the Company has added 280 boepd (IP90) to the base production levels of 15 wells. Management has identified an additional 22 locations for compressor installations over the next 18 months.
Key initiatives for 2024 remain unchanged with the Company focusing on using its current balance sheet to target strategic opportunities in core areas, improving operational efficiencies through targeted well optimizations and undertaking operational cost reduction measures. The remaining drill program aims to add Frobisher drilling inventory while proving up Midale prospects with multi-lateral drilling. The Company anticipates completing its 2024 drilling program by drilling a total of 7 to 9 gross wells in 2H 2024.
KAYBOB, ALBERTA, UPDATE
As previously mentioned, with the current softening of the North American natural gas markets, the Company has continued to shut-in 300 boepd (
Q2 2024 FINANCIALS
Financial |
|
| Q2 2024 |
|
|
| Q2 2023 |
|
| YTD 2024 |
|
| YTD 2023 |
| ||
Net income (loss) |
|
| 81,503 |
|
|
| (326,538 | ) |
|
| (5,530,751 | ) |
|
| (63,747 | ) |
Basic ($/share) |
|
| 0.00 |
|
|
| (0.00 | ) |
|
| (0.03 | ) |
|
| (0.00 | ) |
Diluted ($/share) |
|
| 0.00 |
|
|
| (0.00 | ) |
|
| (0.03 | ) |
|
| (0.00 | ) |
Funds flow |
|
| 5,000,885 |
|
|
| 4,955,562 |
|
|
| 11,343,103 |
|
|
| 14,639,438 |
|
Basic ($/share) |
|
| 0.02 |
|
|
| 0.02 |
|
|
| 0.05 |
|
|
| 0.07 |
|
Diluted ($/share) |
|
| 0.02 |
|
|
| 0.02 |
|
|
| 0.05 |
|
|
| 0.06 |
|
Expenditures on property, plant and equipment |
|
| 5,275,862 |
|
|
| 3,559,136 |
|
|
| 7,094,622 |
|
|
| 9,004,786 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Operating |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil and Natural Gas Sales |
|
| 21,742,281 |
|
|
| 17,737,937 |
|
|
| 42,673,516 |
|
|
| 41,875,450 |
|
Royalties |
|
| (3,782,175 | ) |
|
| (3,788,007 | ) |
|
| (7,737,218 | ) |
|
| (8,559,392 | ) |
Operating Expenses |
|
| (11,555,289 | ) |
|
| (9,770,012 | ) |
|
| (22,279,328 | ) |
|
| (19,241,548 | ) |
Operating Income |
|
| 6,404,817 |
|
|
| 4,179,918 |
|
|
| 12,656,970 |
|
|
| 14,074,510 |
|
Realized gain (loss) on commodity contracts |
|
| (65,261 | ) |
|
| 2,459,098 |
|
|
| 860,756 |
|
|
| 5,125,545 |
|
Processing and other income |
|
| 647,195 |
|
|
| 260,805 |
|
|
| 1,509,273 |
|
|
| 995,536 |
|
Funds from Operations |
|
| 6,986,751 |
|
|
| 6,899,821 |
|
|
| 15,026,999 |
|
|
| 20,195,591 |
|
Average daily production |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil (bbl/d) |
|
| 2,074 |
|
|
| 1,692 |
|
|
| 2,140 |
|
|
| 2,077 |
|
NGLs (boe/d) |
|
| 411 |
|
|
| 340 |
|
|
| 435 |
|
|
| 370 |
|
Natural gas (mcf/d) |
|
| 8,715 |
|
|
| 7,591 |
|
|
| 9,198 |
|
|
| 7,613 |
|
Total (boe/d) |
|
| 3,937 |
|
|
| 3,297 |
|
|
| 4,107 |
|
|
| 3,716 |
|
Operating Netback per boe |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil and Natural Gas Sales |
|
| 60.68 |
|
|
| 59.13 |
|
|
| 57.08 |
|
|
| 62.26 |
|
Royalties |
|
| (10.56 | ) |
|
| (12.63 | ) |
|
| (10.35 | ) |
|
| (12.73 | ) |
Operating Expenses |
|
| (32.25 | ) |
|
| (32.57 | ) |
|
| (29.80 | ) |
|
| (28.61 | ) |
Operating Netbacks ($/boe) |
|
| 17.87 |
|
|
| 13.93 |
|
|
| 16.93 |
|
|
| 20.92 |
|
Funds from Operations ($/boe) |
|
| 19.50 |
|
|
| 23.00 |
|
|
| 20.10 |
|
|
| 30.03 |
|
Operating Income Profit Margin |
|
| 29.4 | % |
|
| 23.6 | % |
|
| 29.7 | % |
|
| 33.6 | % |
Funds from Operations Profit Margin |
|
| 32.1 | % |
|
| 38.9 | % |
|
| 35.2 | % |
|
| 48.2 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share information |
|
|
|
|
|
|
|
|
|
|
|
| ||||
Common shares outstanding, end of period |
|
| 218,419,315 |
|
|
| 214,873,217 |
|
|
| 218,419,315 |
|
|
| 214,873,217 |
|
Weighted average basic shares outstanding |
|
| 218,419,315 |
|
|
| 214,382,652 |
|
|
| 218,418,831 |
|
|
| 213,156,298 |
|
Weighted average diluted shares outstanding |
|
| 236,352,197 |
|
|
| 252,620,714 |
|
|
| 236,351,713 |
|
|
| 261,173,477 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q2 2024 FINANCIAL SUMMARY
In Q2 2024, the Company realized average daily production volume of 3,937 boepd (
Operating costs, which include expenses incurred to operate wells, gather, treat, and transport production volumes, as well as costs to perform well and facility repairs and maintenance, were consistent with Company expectations for the quarter, averaging
Capital expenditures in the first half of 2024 totaled
NET DEBT
Net Debt as at June 30, 2024, and December 31, 2023, as outlined below:
| June 30, 2024 |
|
| December 31, 2023 |
| |||
Accounts receivable |
|
| 12,439,856 |
|
|
| 13,021,111 |
|
Prepaids and deposits |
|
| 347,352 |
|
|
| 364,090 |
|
Risk management contracts |
|
| (1,634,514 | ) |
|
| 4,521,075 |
|
Accounts payable |
|
| (17,924,739 | ) |
|
| (17,560,130 | ) |
Adjusted working capital (2) |
|
| (6,772,045 | ) |
|
| 346,146 |
|
|
|
|
|
|
|
|
| |
Credit Facility ( |
|
| 9,982,332 |
|
|
| 14,501,748 |
|
Lease obligations (1) |
|
| 475,173 |
|
|
| 545,851 |
|
Less: adjusted working capital (2) |
|
| 6,772,045 |
|
|
| (346,146 | ) |
Net debt |
|
| 17,229,550 |
|
|
| 14,701,453 |
|
|
|
|
|
|
|
|
|
Represents undiscounted face value of debt balances and lease obligations outstanding as of each respective date presented.
Calculation of adjusted working capital excludes current portion of debt as presented on the statement of financial position. The mark-to-market fair value of the current portion of risk management contracts is included within adjusted working capital.
ROK uses "Net Debt" as a measure of the Company's financial position and liquidity, however it is not intended to be viewed as an alternative to other measures calculated in accordance with IFRS.
Complete reports and statements will be made available on SEDAR+ at www.sedarplus.ca and on the Company website www.rokresources.ca .
About ROK
ROK is primarily engaged in exploring for petroleum and natural gas development activities in Alberta and Saskatchewan. It has offices located in both Regina, Saskatchewan, Canada and Calgary, Alberta, Canada. ROK's common shares are traded on the TSX Venture Exchange under the trading symbol "ROK".
For further information, please contact:
Cameron Taylor, Chairman and Chief Executive Officer
Bryden Wright, President and Chief Operating Officer
Jared Lukomski, Senior Vice President, Land & Business Development
Lynn Chapman, Chief Financial Officer
Phone: (306) 522-0011
Email: investor@rokresources.ca
Website: www.rokresources.ca
Non-IFRS Measures
The non-IFRS measures referred to above do not have any standardized meaning prescribed by IFRS Accounting Standards (" IFRS ") and, therefore, may not be comparable to similar measures used by other companies. Management uses this non-IFRS measurement to provide its shareholders and investors with a measurement of the Company's financial performance and are not intended to represent operating profits nor should they be viewed as an alternative to cash provided by operating activities, net income or other measures of financial performance calculated in accordance with IFRS. The reader is cautioned that these amounts may not be directly comparable to measures for other companies where similar terminology is used.
" Operating Income " is calculated by deducting royalties and operating expense from total sales revenue. Total sales revenue is comprised of oil and gas sales. The Company refers to Operating Income expressed per unit of production as an " Operating Netback ". " Operating Income Profit Margin " is calculated by the Company as Operating Income as a percentage of oil and natural gas sales. " Funds from Operations " is calculated by adding other income and realized gains/losses on commodity contracts ("hedging") to Operating Income.
The following table reconciles the aforementioned non-IFRS measures:
|
| Q2 2024 |
|
|
| Q2 2023 |
|
| YTD 2024 |
|
| YTD 2023 |
| |||
Oil and Natural Gas Sales |
|
| 21,742,281 |
|
|
| 17,737,937 |
|
|
| 42,673,516 |
|
|
| 41,875,450 |
|
Royalties |
|
| (3,782,175 | ) |
|
| (3,788,007 | ) |
|
| (7,737,218 | ) |
|
| (8,559,392 | ) |
Operating Expenses |
|
| (11,555,289 | ) |
|
| (9,770,012 | ) |
|
| (22,279,328 | ) |
|
| (19,241,548 | ) |
Operating Income |
|
| 6,404,817 |
|
|
| 4,179,918 |
|
|
| 12,656,970 |
|
|
| 14,074,510 |
|
Realized gain (loss) on commodity contracts |
|
| (65,261 | ) |
|
| 2,459,098 |
|
|
| 860,756 |
|
|
| 5,125,545 |
|
Processing and other income |
|
| 647,195 |
|
|
| 260,805 |
|
|
| 1,509,273 |
|
|
| 995,536 |
|
Funds from Operations |
|
| 6,986,751 |
|
|
| 6,899,821 |
|
|
| 15,026,999 |
|
|
| 20,195,591 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Sales volume (boe) |
|
| 358,303 |
|
|
| 300,006 |
|
|
| 747,563 |
|
|
| 672,576 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Per boe |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil and Natural Gas Sales |
|
| 60.68 |
|
|
| 59.13 |
|
|
| 57.08 |
|
|
| 62.26 |
|
Royalties |
|
| (10.56 | ) |
|
| (12.63 | ) |
|
| (10.35 | ) |
|
| (12.73 | ) |
Operating Expenses |
|
| (32.25 | ) |
|
| (32.57 | ) |
|
| (29.80 | ) |
|
| (28.61 | ) |
Operating Netback |
|
| 17.87 |
|
|
| 13.93 |
|
|
| 16.93 |
|
|
| 20.92 |
|
Funds from Operations |
|
| 19.50 |
|
|
| 23.00 |
|
|
| 20.10 |
|
|
| 30.03 |
|
Operating Income Profit Margin |
|
| 29.4 | % |
|
| 23.6 | % |
|
| 29.7 | % |
|
| 33.6 | % |
Funds from Operations Profit Margin |
|
| 32.1 | % |
|
| 38.9 | % |
|
| 35.2 | % |
|
| 48.2 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
" Net Debt " includes all indebtedness of the Company, such as the Credit Facility and Lease Obligations (each as defined within the Company's interim condensed financial statements for the six months ended June 30, 2024), net of Adjusted Working Capital. " Adjusted Working Capital " is calculated as current assets less current liabilities, excluding current portion of debt and lease liability as defined on the Company's statement of financial position within the Company's interim condensed financial statements for the six months ended June 30, 2024. " Adjusted Net Debt " is calculated by removing the "mark-to-market fair value of the current portion of risk management contracts" and "lease obligations" (each as defined within the Company's interim condensed financial statements for the six months ended June 30, 2024) from Net Debt.
The following table reconciles Net Debt to Adjusted Net Debt:
| June 30, 2024 |
|
| December 31, 2023 |
| |||
Net Debt |
|
| 17,229,550 |
|
|
| 14,701,453 |
|
Remove: Current portion of risk management contracts |
|
| (1,634,514 | ) |
|
| 4,521,075 |
|
Remove: Lease obligations |
|
| (475,173 | ) |
|
| (545,851 | ) |
Adjusted Net Debt |
|
| 15,119,863 |
|
|
| 18,676,677 |
|
|
|
|
|
|
|
|
|
" Funds Flow " includes all cash from (used in) operating activities and is calculated before the change in non-cash working capital. " Funds Flow Basic ($/share) " and " Funds Flow Diluted ($/share) " are calculated by dividing Funds Flow by the weighted average number of basic shares and weighted average number of diluted shares outstanding, respectively, for the relevant period, as presented within the Company's interim condensed financial statements for the six months ended June 30, 2024. These are considered key measures of operating performance and capital management as they demonstrate the Company's ability to generate the cash necessary to repay debt and fund capital investments. Management believes that by excluding the temporary impact of changes in non-cash operating working capital, each of these provide useful measures of ROK's ability to generate cash that are not subject to short-term movements in non-cash operating working capital.
The following table reconciles cash flow from operating activities to Funds Flow:
|
| Q2 2024 |
|
|
| Q2 2023 |
|
| YTD 2024 |
|
| YTD 2023 |
| |||
Cash provided by operating activities |
|
| 6,484,206 |
|
|
| 9,366,721 |
|
|
| 10,659,931 |
|
|
| 14,422,676 |
|
Change in non-cash working capital |
|
| (1,483,321 | ) |
|
| (4,411,159 | ) |
|
| 683,172 |
|
|
| 216,762 |
|
Funds Flow |
|
| 5,000,885 |
|
|
| 4,955,562 |
|
|
| 11,343,103 |
|
|
| 14,639,438 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Conversion Measures
Production volumes and reserves are commonly expressed on a barrel of oil equivalent (" boe ") basis whereby natural gas volumes are converted at the ratio of 6 thousand cubic feet (" Mcf ") to 1 barrel of oil (" bbl "). Although the intention is to sum oil and natural gas measurement units into one basis for improved analysis of results and comparisons with other industry participants, boe's may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf to 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. In recent years, the value ratio based on the price of crude oil as compared to natural gas has been significantly higher than the energy equivalency of 6:1 and utilizing a conversion of natural gas volumes on a 6:1 basis may be misleading as an indication of value.
Abbreviations
bbls/d bopd |
| barrels per day barrels per day |
boepd |
| barrels oil equivalent per day |
IP |
| Initial Production |
NGLs |
| Natural Gas Liquids |
Mboe Mg/l |
| Thousands of barrels of oil equivalent Milligrams per Litre |
MMboe |
| Millions of barrels of oil equivalent |
PDP |
| Proved Developed Producing |
TP |
| Total Proved Reserves |
TPP |
| Total Proved and Probable Reserves |
WTI CA$ US$ |
| West Texas Intermediate, the reference price paid in U.S. dollars at Cushing, Oklahoma for the crude oil standard grade Canadian dollars U.S. dollars |
Cautionary Statement Regarding Forward-Looking Information
This news release includes certain " forward-looking statements " under applicable Canadian securities legislation that are not historical facts. Forward-looking statements involve risks, uncertainties, and other factors that could cause actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements in this news release include, but are not limited to, statements with respect to the Company's objectives, goals, or future plans and the expected results thereof. Forward-looking statements are necessarily based on several estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include but are not limited to general business, economic and social uncertainties; litigation, legislative, environmental, and other judicial, regulatory, political and competitive developments; delay or failure to receive board, shareholder or regulatory approvals; those additional risks set out in ROK's public documents filed on SEDAR at www.sedar.com ; and other matters discussed in this news release. Although the Company believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether because of new information, future events, or otherwise.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility of the adequacy or accuracy of this release.
SOURCE: ROK Resources Inc.
View the original press release on accesswire.com
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