PetroBakken Energy reported flat production levels in their third quarter of 2012, but production from the first nine months increased from last year by seven per cent.
PetroBakken Energy reported flat production levels in their third quarter of 2012, but production from the first nine months increased from last year by seven per cent.
The company as a whole averaged production of 38,503 barrels of oil equivalent per day in the third quarter, which the company deemed as relatively flat, due to the disposition of producing assets in the first half of 2012.
Taking the production for the first nine months of the year, it averaged 41,303 barrels of oil equivalent per day, a seven per cent increase over the same period a year ago.
In the Bakken business unit in southeast Saskatchewan, the unit averaged production of 15,767 barrels of oil per day, an increase of six per cent over the second quarter, as the majority of their shut-in production related to spring break-up conditions were restored.
Drilling activities increased in the third quarter, with 40 net wells drilled and 31 net wells brought on production. Currently there are seven drilling rigs operating in the southeast, and they have drilled 17 net wells so far in the fourth quarter, with 15 net wells waiting to be completed or brought on production.
In PetroBakken's conventional business unit in southeast Saskatchewan, production averaged 5,437 barrels of oil equivalent per day in the third quarter, and the company drilled 10 netwells; there are two drilling rigs are operating in the area.
Fin
ancially, PetroBakken has an operating netback of $45.09 per barrel equivalent, resulted in funds flow from operations of $122 million, or 65 cents per basic share for the third quarter, which is a 20 per cent decrease over the same period in 2011, due to lower realized oil prices and higher interest costs.
Also, realized wellhead commodity prices in the third quarter were weaker this year than last year, as WTI prices were four higher than last year but were volatile. Wider oil differentials caused their realized prices to be eight per cent lower than the third quarter of 2011.
