Virginia Hills Oil Corp. Announces Second Quarter 2015 Results
TSX Venture Exchange: VHO
CALGARY, Aug. 13, 2015 /CNW/ - Virginia Hills Oil Corp. ("Virginia Hills" or the "Company") announces that it has filed on SEDAR its unaudited condensed consolidated financial statements and related Management's Discussion and Analysis ("MD&A") for the three and six months period ended June 30, 2015. The statements are available for review at www.sedar.com or www.virginiahillsoil.com.
Second Quarter of 2015 Highlights
Acquired approximately 1,485 boe per day (97% light oil and NGL's) and 134,500 net undeveloped acres solely focused in the Red Earth area of Northern Alberta through the capital reorganization of Pinecrest Energy Inc. on April 15, 2015;
Closed the acquisition of a Red Earth focused private oil and gas Company on April 27, 2015 representing approximately 100 boe per day (85% light oil) and 24,000 net undeveloped acres, for total consideration of approximately $0.7 million plus the assumption of $11.5 million in debt;
Raised an aggregate of approximately $3.8 million in cash through a private placement and rights issued under the plan of arrangement in respect of the corporate re-organization of Pinecrest Energy Inc., priced at $0.25 per Virginia Hill share;
After giving effect to the above noted acquisitions and natural well declines the Company achieved production of 1,480 boe per day (97% light oil and NGL's) after shutting in approximately 25 boe per day of uneconomic production and 20 boe/d of production due to a pipeline break;
Realized a field operating netback of $33.30 per boe on average realized pricing of $61.54 per boe. Royalties and production costs for the quarter were $2.22 per boe and $26.02 per boe, respectively; and Entered into a series of committed-volume fixed price oil contracts to deliver approximately 1,130 bbls/d during the period from May 1, 2015 to December 31, 2015, at an average fixed oil price of $53.78 US per bbl.