CALGARY,
March 17, 2015 /CNW/ - Ironhorse
Oil & Gas Inc. ("Ironhorse" or the "Company") (TSX-V: IOG)
announces its 2014 year-end reserves information
The Company's year-end reserves evaluation with
the effective date of December 31,
2014 was prepared by GLJ Petroleum Consultants Ltd. and
Sproule Associates Limited in accordance with definitions,
standards and procedures contained in the Canadian Oil and Gas
Evaluation Handbook ("COGE Handbook") and NI 51-101 "Standards of
Disclosure for Oil & Gas Activities". Reserves included
herein are stated on a company gross basis (working interest before
deduction of royalties without including any royalty interest)
unless otherwise noted.
Reserves Summary –
Oil Equivalent (Mboe)
|
|
|
|
|
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|
(Mboe)
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Proved
Producing
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Proved
Developed
Non-Producing
|
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Proved
Undeveloped
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Total
Proved
|
|
Total
Probable
|
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Proved plus
Probable
|
2013
|
|
12
|
|
625
|
|
-
|
|
637
|
|
172
|
|
809
|
2014
|
|
556
|
|
68
|
|
-
|
|
624
|
|
176
|
|
799
|
Net Present Value
Summary(1)
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|
|
|
|
|
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($
thousands)
|
|
Proved
Producing
|
|
Proved
Developed
Non-Producing
|
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Proved
Undeveloped
|
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Total Proved
|
|
Total Probable
|
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Total Proved plus
Probable
|
10%
|
|
12,654
|
|
468
|
|
-
|
|
13,122
|
|
5,261
|
|
18,383
|
15%
|
|
11,407
|
|
335
|
|
-
|
|
11,742
|
|
4,900
|
|
16,643
|
(1)
Net present value summary is before income taxes
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|
|
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Reserves
Reconciliation - Oil Equivalent (Mboe)
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|
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|
|
|
|
|
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(Mboe)
|
|
|
|
|
|
|
|
|
|
|
|
|
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Total
Proved
|
|
Total Probable
|
|
Total Proved plus
Probable
|
December 31,
2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
637
|
|
172
|
|
809
|
Technical
Revisions
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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9
|
|
4
|
|
13
|
Dispositions
|
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|
|
|
|
|
|
|
|
|
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-
|
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-
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-
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Economic
Factors
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|
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|
|
|
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-
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-
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-
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Production
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|
|
|
|
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|
|
|
|
|
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(23)
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-
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(23)
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December 31,
2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
624
|
|
176
|
|
799
|
Net Asset Value
("NAV") before income tax – Discounted at 10%
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|
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($ thousands except
share and per share data)
|
|
|
|
|
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December 31,
2014
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|
December 31,
2013
|
Net present
value-proved and probable
|
|
|
|
|
|
|
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18,383
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|
27,052
|
Net working capital
(1)
|
|
|
|
|
|
|
|
2,451
|
|
2,815
|
Net asset
value
|
|
|
|
|
|
|
|
20,834
|
|
29,867
|
Common shares
outstanding
|
|
|
|
|
|
|
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27,885,824
|
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27,860,824
|
NAV per share,
December 31
|
|
|
|
|
|
|
|
0.75
|
|
1.07
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(1)
Net working capital at December 31, 2014 is unaudited and final
audited results may vary
|
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Sproule Price
Forecasts as of December 31, 2014 (1)
|
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Year
|
|
|
|
|
|
|
Canadian Light
Sweet Oil Price At Edmonton
40o
API
($Cdn/bbl)
|
|
AECO/NIT
Spot Gas
Price
($Cdn/Mmbtu)
|
2015
|
|
|
|
|
|
|
70.35
|
|
3.32
|
2016
|
|
|
|
|
|
|
87.36
|
|
3.71
|
2017
|
|
|
|
|
|
|
98.28
|
|
3.90
|
2018
|
|
|
|
|
|
|
99.75
|
|
4.47
|
2019
|
|
|
|
|
|
|
101.25
|
|
5.05
|
2020
|
|
|
|
|
|
|
103.85
|
|
5.13
|
2021
|
|
|
|
|
|
|
105.40
|
|
5.22
|
2022
|
|
|
|
|
|
|
106.99
|
|
5.31
|
2023
|
|
|
|
|
|
|
108.59
|
|
5.40
|
2024
|
|
|
|
|
|
|
110.22
|
|
5.49
|
2025
|
|
|
|
|
|
|
111.87
|
|
5.58
|
Thereafter
|
|
|
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|
|
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+1.5%/year
|
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+1.5%/year
|
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(1) This
summary table identifies benchmark reference pricing schedules that
might apply to a reporting issuer.
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Additional Information
Ironhorse's complete statement of reserves data
and other oil and gas information are available on SEDAR or the
Company's web site at www.ihorse.ca.
About Ironhorse:
Ironhorse Oil & Gas Inc. is a Calgary-based junior oil and natural gas
production company trading on the TSX Venture Exchange under the
symbol "IOG."
Forward-looking statements:
Statements throughout this release that are
not historical facts may be considered to be "forward looking
statements." These forward looking statements sometimes include
words to the effect that management believes or expects a stated
condition or result. All estimates and statements that describe the
Company's objectives, goals, or future plans, including
management's assessment of future plans and operations, drilling
plans and timing thereof, expected production rates and additions
and the expected levels of activities may constitute
forward-looking statements under applicable securities laws and
necessarily involve risks including, without limitation, risks
associated with oil and gas exploration, development, exploitation,
production, marketing and transportation, volatility of commodity
prices, environmental risks, competition from other producers,
incorrect assessment of the value of acquisitions, delays resulting
from or inability to obtain required regulatory approvals and
ability to access sufficient capital from internal and external
sources, changes in the regulatory and taxation environment, and
imprecision of reserve estimates. The discounted and undiscounted
net present value of future net revenues attributable to reserves
do not represent the fair market value of reserves; there is no
assurance that the forecast prices and costs assumptions will be
attained and variances could be material. The recovery and reserve
estimates of crude oil, NGL and natural gas reserves are estimates
only and there is no guarantee that the estimated reserves will be
recovered. Actual crude oil, natural gas and NGL reserves may be
greater than or less than the estimates provided; the estimates of
reserves and future net revenue for individual properties may not
reflect the same confidence level as estimates of reserves and
future net revenue for all properties, due to the effects of
aggregation. As a consequence, the Company's actual results may
differ materially from those expressed in, or implied by, the
forward-looking statements. Forward-looking statements or
information are based on a number of factors and assumptions which
have been used to develop such statements and information but which
may prove to be incorrect. Although the Company believes that the
expectations reflected in such forward-looking statements or
information are reasonable, undue reliance should not be placed on
forward-looking statements because the Company can give no
assurance that such expectations will prove to be correct.
Additional information on these and other factors that could affect
the Company's operations and financial results are included in
reports on file with Canadian securities regulatory authorities and
may be accessed through the SEDAR website (www.sedar.com).
Furthermore, the forward-looking statements contained in this
release are made as at the date of this release.
Boe Conversion – Certain natural gas volumes
have been converted to barrels of oil equivalent ("boe") whereby
six thousand cubic feet (mcf) of natural gas is equal to one barrel
(bbl) of oil. This conversion ratio is based on an energy
equivalency conversion applicable at the burner tip and does not
represent a value equivalency at the wellhead.
"Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release."
SOURCE Ironhorse Oil & Gas Inc.