Pine Cliff Energy Ltd. Announces Its First Quarter 2015 Results

May 12, 2015

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

Pine Cliff Energy Ltd. ("Pine Cliff" or the "Company") (TSX VENTURE:PNE) is pleased to announce its first quarter financial and operating results. Included in the filings were Pine Cliff's condensed consolidated interim financial statements and related management's discussion and analysis for the period ended March 31, 2015 (the "Q1-Report"). Selected highlights are shown below and should be read in conjunction with the Q1-Report.

Despite the first quarter of 2015 being a volatile three months for commodity prices, Pine Cliff continued to execute on its business plan. Highlights during the quarter are as follows:

  • Maintained average daily sales volumes of 12,021 barrels of oil equivalent ("Boe") per day as compared to 12,095 boe per day in the fourth quarter of 2014;
  • Repaid $8.5 million in bank debt during the quarter, despite the low commodity price environment, exiting the quarter with net debt of $31.3 million; and
  • Generated funds flow from operations of $6.2 million ($0.03 per basic share), a decrease of 47% as compared to the fourth quarter of 2014, mainly a result of a lower commodity price environment.

The dramatic decline in commodity prices that began in 2014 has challenged producers and left many with few options to strengthen their balance sheets as cash flows have dropped. Pine Cliff was built to capitalize on the opportunities we are now analyzing and we were very pleased to announce a $15.94 million acquisition in April. The assets purchased are contiguous with Pine Cliff's current asset base, adding approximately 585 boe per day of production and drilling inventory to Pine Cliff's Carrot Creek / Edson core area and 445 boe per day of production to Pine Cliff's Southern core area. Pine Cliff anticipates this acquisition will close on or around May 30, 2015. These assets were purchased for approximately $15,500 per flowing boe per day and $3.32 per boe on a proved plus probable reserve basis.

Pine Cliff is currently producing approximately 11,900 boe per day (week of April 20-26th). Pine Cliff currently maintains its 2015 production guidance of 11,300 to 11,800 boe per day and expects to increase its production guidance upon closing of the May 30, 2015 acquisition but we do not anticipate amending our annual capital expenditure guidance of $10 million at that time. Even at current forward strip prices, the funds flow generated by Pine Cliff's assets will be significantly in excess of its capital expenditures allowing Pine Cliff to further reduce the amount drawn on its credit facility.

Financial and Operating Results
Three months ended March 31
($000s, unless otherwise indicated) 2015 2014
Oil and gas sales 18,801 18,376
Cash flow from operating activities 8,998 10,039
Funds flow from operations 1 6,182 10,089
Basic per share ($/share) 0.03 0.05
Diluted per share ($/share) 0.03 0.05
Earnings (loss) (5,503 ) 2,969
Basic per share ($/share) (0.02 ) 0.01
Diluted per share ($/share) (0.02 ) 0.01
Capital expenditures, excluding acquisitions 2,886 1,120
Net debt 2 31,279 23,512
Production (Boe/d) 12,021 6,276
Percent natural gas (%) 95 96
Commodity sales price ($/Boe) 17.38 32.53
Operating netback ($/Boe) 3 7.33 19.82
Corporate netback ($/Boe) 4 5.72 17.86
1 Funds flow from operations is a non-IFRS measure that represents the total of funds provided by operating activities, before adjusting for changes in non-cash working capital.
2 Net debt is a non-IFRS measure calculated as sum of bank debt and trade and other payables less trade and other receivables, cash, prepaid expenses and deposits and liquid investments.
3 Operating netback is a non-IFRS measure calculated as the Company's oil and gas sales, less royalties and operating expenses, averaged over the Boe production of the Company.
4 Corporate netback is a non-IFRS measure calculated as the Company's operating netback less general and administrative expenses, interest and bank charges plus finance and dividend income, averaged over the Boe production of the Company.

About Pine Cliff

Further information relating to Pine Cliff, including the Q1-Report, may be found on www.sedar.com as well as on Pine Cliff's website at www.pinecliffenergy.com/. To request a hard copy, free of charge, please send an email request to info@pinecliffenergy.com.

Cautionary Statements

Certain statements contained in this release include statements which contain words such as "anticipate", "could", "should", "expect", "seek", "may", "intend", "likely", "will", "believe" and similar expressions, statements relating to matters that are not historical facts, and such statements of our beliefs, intentions and expectations about development, results and events which will or may occur in the future, constitute "forward-looking information" within the meaning of applicable Canadian securities legislation and are based on certain assumptions and analysis made by us derived from our experience and perceptions. Forward-looking information in this release includes, but is not limited to: expected production levels; imprecision of reserve estimates; closing date and completion of the previously announced acquisition in April 2015; amounts drawn on Pine Cliff's credit facility and repayment thereof; future capital expenditures, including the amount, nature and funding thereof; oil and natural gas prices and demand; expansion and other development trends of the oil and natural gas industry; business strategy and outlook; expansion and growth of our business and operations; maintenance of existing customer, supplier and partner relationships; supply channels; accounting policies; credit risks; and other such matters.

All such forward-looking information is based on certain assumptions and analyses made by us in light of our experience and perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances. The risks, uncertainties, and assumptions are difficult to predict and may affect operations, and may include, without limitation: foreign exchange fluctuations; equipment and labour shortages and inflationary costs; general economic conditions; industry conditions; changes in applicable environmental, taxation and other laws and regulations as well as how such laws and regulations are interpreted and enforced; the ability of oil and natural gas companies to raise capital; the effect of weather conditions on operations and facilities; the existence of operating risks; volatility of oil and natural gas prices; oil and gas product supply and demand; risks inherent in the ability to generate sufficient cash flow from operations to meet current and future obligations; increased competition; stock market volatility; opportunities available to or pursued by us; and other factors, many of which are beyond our control. The foregoing factors are not exhaustive.

Actual results, performance or achievements could differ materially from those expressed in, or implied by, this forward-looking information and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking information will transpire or occur, or if any of them do, what benefits will be derived there from. Except as required by law, Pine Cliff disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.

As defined in NI 51-101, proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves. Probable reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves.

The forward-looking information contained in this release is expressly qualified by this cautionary statement.

This news release contains the term Boe which has been calculated on the basis of six thousand cubic feet of gas to one barrel of oil. This conversion ratio is based on energy equivalence primarily at the burner tip and does not represent a value equivalency at the wellhead. The term Boe may be misleading, particularly if used in isolation.

This summarized news release should not be considered a suitable source of information for readers who are unfamiliar with Pine Cliff and should not be considered in any way as a substitute for reading the full report.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information:

Pine Cliff Energy Ltd.
Philip B. Hodge
President and CEO
(403) 269-2289
(403) 265-7488 (FAX)
info@pinecliffenergy.com

Pine Cliff Energy Ltd.
Kristi L. Kunec
CFO and Corporate Secretary
(403) 269-2289
(403) 265-7488 (FAX)
info@pinecliffenergy.com

Previous Post
No Previous Post
Next
No Next Post
Pine Cliff Energy Ltd. Announces Record Quarterly Results, 20% Increase in Monthly Dividend, Increase in 2022 Guidance and Operational Update
Read More
Pine Cliff Energy Ltd. Announces Debt Free Status and Confirms Monthly Dividend for July 29, 2022
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders’ Meeting and Annual Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Record Quarterly Results, Declaration of Monthly Dividend, Debt Repayment and Operational Update
Read More
Pine Cliff Energy Ltd. Announces 2021 Year-End Reserves and Provides Operations Update and 2022 Guidance
Read More
Pine Cliff Energy Ltd. Announces Record Annual Results and Filing of 2021 Disclosure Documents
Read More
Pine Cliff Energy Ltd. Provides Operations Update and Announces 2020 Year-End Reserves and 2021 Guidance
Read More
Pine Cliff Energy Ltd. Announces Annual 2020 Results and Filing of 2020 Disclosure Documents
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders' Meeting, and Annual Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Annual 2020 Results and Filing of 2020 Disclosure Documents
Read More
Pine Cliff Energy Ltd. Announces First Quarter 2021 Results
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders' Meeting, and Annual Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2021 Results, Partial Repayment of Term Debt and Update on Drilling Program
Read More
Pine Cliff Energy Ltd. Announces Third Quarter 2021 Results and Update to 2021 Guidance
Read More
Pine Cliff Energy Ltd. Announces Strategic Acquisition, Update on Fourth Quarter Drilling Program and New Demand Loan Facility
Read More
Pine Cliff Energy Ltd. Announces 2019 Year-End Reserves and 2020 Guidance
Read More
Pine Cliff Energy Ltd. Announces Annual 2019 Results and Filing of 2019 Disclosure Documents
Read More
Pine Cliff Energy Ltd. Announces First Quarter 2020 Results and Annual General Meeting Update
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders' Meeting, Election of New Director and Annual Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2020 Results and Insider Loan Facility
Read More
Pine Cliff Energy Ltd. Announces Third Quarter 2020 Results
Read More
Pine Cliff Energy Ltd. Announces 2019 Guidance and 2018 Year-End Reserves
Read More
Pine Cliff Energy Ltd. Announces Annual 2018 Results, Filing of 2018 Disclosure Documents and Operations Update on Pekisko Oil
Read More
Pine Cliff Energy Ltd. Announces Strategic Acquisition, CDE Flow-Through and Common Share Financings and Increased 2019 Capital
Read More
Pine Cliff Energy Ltd. Announces First Quarter 2019 Results
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders' Meeting and Annual Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2019 Results
Read More
Pine Cliff Energy Ltd. Announces Third Quarter 2019 Results
Read More
Pine Cliff Energy Ltd. Announces 2018 Guidance, Commodity Risk Management and 2017 Year-End Reserves
Read More
Pine Cliff Energy Ltd. Announces Annual 2017 Results and Filing of 2017 Disclosure Documents
Read More
Pine Cliff Energy Ltd. Announces First Quarter 2018 Results
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders’ Meeting and Annual Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2018 Results
Read More
Pine Cliff Energy Ltd. Announces Third Quarter 2018 Results and Updates Guidance
Read More
Pine Cliff Energy Ltd. Announces 2017 Guidance, 2016 Bank Debt Reduction and Year-End Reserves
Read More
Pine Cliff Energy Ltd. Announces Record Revenue and Funds Flow, Fourth Quarter and Annual 2016 Results
Read More
Pine Cliff Energy Ltd. Announces First Quarter 2017 Results
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders' Meeting and Stock Option Grant
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2017 Results
Read More
Pine Cliff Energy Ltd. Announces Third Quarter 2017 Results and Management Appointment
Read More
Pine Cliff Energy Ltd. Announces More Than 120% Increase in 2015 Year-End Reserves
Read More
Pine Cliff Energy Ltd. Announces its Fourth Quarter and Annual 2015 Results
Read More
Pine Cliff Energy Ltd. Announces its First Quarter 2016 Results
Read More
Pine Cliff Energy Ltd. Announces Results of Shareholders' Meeting
Read More
Pine Cliff Energy Ltd. Announces the Conclusion of the Borrowing Base Redetermination, Closing of a Private Placement and Second
Read More
Pine Cliff Energy Ltd. Announces Record Revenue and Third Quarter 2016 Results
Read More
Pine Cliff Energy Ltd. Announces 2014 Year-End Reserves
Read More
Pine Cliff Energy Ltd. Announces Fourth Quarter and Annual 2014 Results
Read More
Pine Cliff Energy Ltd. Enters Into a $15.94 Million Agreement to Acquire Core Area Assets
Read More
Pine Cliff Energy Ltd. Announces Its First Quarter 2015 Results
Read More
Pine Cliff Completes Acquisition of Core Area Assets and Provides Credit Facility Update
Read More
Pine Cliff Energy Ltd. Announces Its Second Quarter 2015 Results
Read More
Pine Cliff Energy Ltd. Announces Its Third Quarter 2015 Results and Provides Management Update
Read More
Pine Cliff Energy Ltd. Announces 2013 Year-End Reserves and Executive Appointment
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2014 Results
Read More
Pine Cliff Energy Ltd. Announces First Quarter 2014 Results
Read More
Pine Cliff Completes Acquisition of Alberta and Southern Saskatchewan Natural Gas Assets
Read More
Pine Cliff Energy Ltd. Announces Third Quarter 2014 Results
Read More
Pine Cliff Energy Ltd. Announces Extension of Insider Loan Facility, Changes to Board of Directors and Provides Information
Read More
Pine Cliff Energy Ltd. Announces Closing of Private Company Acquisition
Read More
Pine Cliff Energy Ltd. Provides Operational Update
Read More
Pine Cliff Energy Ltd. Provides Operational Update
Read More
Pine Cliff Energy Ltd. Announces Completion of its Borrowing Base Review
Read More
Pine Cliff Energy Ltd. Announces Closing of Strategic Acquisition, CDE Flow-Through and Common Share Equity Financings
Read More
Pine Cliff Energy Ltd. Grants Stock Options
Read More
Pine Cliff Energy Ltd. Announces Management Update
Read More
Pine Cliff Energy Ltd. Provides Credit Facility Update
Read More
Pine Cliff Energy Ltd. Announces Borrowing Base Redetermination, Closing of a Private Placement and Increase and Extension of
Read More
Pine Cliff Energy Ltd. Announces Resignation of CFO and Appointment of New CFO
Read More
Pine Cliff Energy Ltd. Announces Extension of Borrowing Base Redetermination
Read More
Pine Cliff Energy Ltd. Announces Borrowing Base Redetermination
Read More
Pine Cliff Energy Ltd. Announces Management Update
Read More
Pine Cliff Energy Ltd. Announces Graduation to Toronto Stock Exchange
Read More
Pine Cliff Energy Ltd. Announces Extension of Borrowing Base Redetermination Date
Read More
Pine Cliff Energy Ltd. Announces $25 Million Disposition of Royalty Assets
Read More
Pine Cliff Energy Ltd. Announces Closing of $25 Million Disposition of Royalty Assets and Update on Bank Redetermination Process
Read More
Pine Cliff Energy Ltd. Announces Issuance of Insider Subordinated Debt, Sale of Non-Core Assets and Extension of Borrowing Base Redetermination
Read More
Pine Cliff Energy Ltd. Announces $31.4 Million Disposition of Non-Core Oil Assets and Management Update
Read More
Pine Cliff Energy Ltd. Announces Closing of $31.4 Million Disposition of Non-Core Oil Assets
Read More
Pine Cliff Energy Ltd. Grants Stock Options
Read More
Pine Cliff Energy Ltd. Provides Operational and Management Update and Provides 2015 Guidance
Read More
Pine Cliff Announces $70 Million Syndicated Credit Facilities
Read More
Pine Cliff Energy Ltd. Grants Stock Options
Read More
Pine Cliff Energy Ltd. Completes $69 Million Subscription Receipt Offering
Read More
Pine Cliff Energy Ltd. Completes $3 Million Private Placement
Read More
Pine Cliff Energy Ltd. Announces Closing of $185 Million Strategic Acquisition, Credit Facility Increase, TSX Listing Application and 2016 Guidance
Read More
Pine Cliff Energy Ltd. Announces Year-End and Fourth Quarter 2013 Results
Read More
Pine Cliff Energy Ltd. Securities Filings
Read More
Pine Cliff Energy Ltd. Announces Executive Appointment and Grant of Stock Options
Read More
Pine Cliff Completes Acquisition of Carrot Creek/Edson Area Oil and Natural Gas Assets
Read More
Pine Cliff Energy Ltd. Announces Second Quarter 2014 Results
Read More
Pine Cliff Signs Purchase and Sale Agreement for Natural Gas Assets in Alberta and Saskatchewan and Accelerates Expected
Read More
Pine Cliff Energy Ltd. Announces $60,065,000 Bought Deal Financing
Read More
Pine Cliff Energy Ltd. Completes $60,065,000 Common Share Offering
Read More
Pine Cliff Energy Ltd. Grants Stock Options
Read More
Pine Cliff Energy Ltd. Announces 2013 Year-End Reserves and Executive Appointment
Read More