Mart Resources, Inc. (TSX:MMT) ("Mart" or the "Company") is pleased to announce
its financial and operating results (all amounts in United States dollars unless
noted), and results of independent reserve evaluations in accordance with
Canadian National Instrument 51-101 - Standards of Disclosure for Oil and Gas
Activities ("NI 51-101") for the year ended December 31, 2013:
YEAR ENDED DECEMBER 31, 2013
-- Mart's share of average daily oil produced and sold per calendar day for
the year ended December 31, 2013 from the Umusadege field was 4,000
barrels of oil per day ("bopd") compared to 5,039 bopd for the year
ended December 31, 2012. Mart's share of average daily oil produced and
sold for the year ended December 31, 2013 from the Umusadege field per
production day was 6,032 bopd compared to 6,731 bopd year ended December
31, 2012. During the year ended December 31, 2013, the Umusadege field
was shut down for a total of 123 days (2012: 92 days) due to various
disruptions, repairs and maintenance of the export pipeline.
-- During the year ended December 31, 2013, Mart declared total dividends
of Canadian dollars ("CAD") $0.20 per common share for an aggregate
amount of $68.7 million (CAD $71.2 million) (2012: $71.6 million (CAD
$71.2 million)).
-- Net income for the year ended December 31, 2013 was $35.5 million
($0.099 per share) compared to net income of $58.0 million ($0.168 per
share) for the year ended December 31, 2012. Cash flows from operating
activities decreased from $130.3 million in 2012 to $66.7 million in
2013. Excluding the changes in non-cash working capital, the cash flows
from operating activities in 2013 were $73.1 million (2012: $97.4
million), which represents a decrease of $24.3 million in 2013 compared
to 2012. The lower net income and cash flows from operating activities
during the period were primarily due to higher pipeline and export
facility losses, export pipeline shutdowns and increased production
costs during the year. The export pipeline shutdowns were caused by
various disruptions, repairs and maintenance of the pipeline and export
facility.
-- Funds flow from production operations was $98.0 million ($0.275 per
share) for the year ended December 31, 2013 compared to $137.7 million
($0.398 per share) for the year ended December 31, 2012 (see Note 1 to
the Financial and Operating Results table on page 3 hereof regarding
Non-IFRS measures).
-- Mart's share of Umusadege field oil produced and sold for the year ended
December 31, 2013 was 1,459,823 barrels of oil ("bbls") compared to
1,844,389 bbls for the year ended December 31, 2012. The decrease in oil
produced and sold was primarily attributable to Umusadege field
shutdowns and the higher levels of pipeline and export facility losses
during 2013 compared to 2012.
-- The average price received by Mart for oil sales during the year ended
December 31, 2013 was $110.62 per bbl compared to $103.43 per bbl for
the year ended December 31, 2012.
-- Mart's share of pipeline and export facility losses for the year ended
December 31, 2013 totaled 512,391 bbls, or approximately 25.6% of Mart's
share of total crude deliveries from the Umusadege field for the period.
-- During 2013, Mart secured a $100 million term loan facility from a
Nigerian bank. The facility is comprised of $75 million, 5-year term
loan facility, repayable in quarterly installments amortized over a 5-
year term of the loan, and a $25 million, 1-year revolving facility. The
loan facility is to finance capital expenditure for the Umusadege field,
the Umugini pipeline and Mart's ongoing working capital requirements.
Interest is based on 90-day LIBOR, plus 4 percent (floor of 8.25
percent) and is secured by all assets of Mart Umusadege Resources
Nigeria Limited. Total gross amount of loan drawdowns net of loan
repayments is $57.2 million at December 31, 2013. After taking account
of unamortized borrowing costs, the total loan amount due within one
year is $16.5 million and the amount due after one year is $40.2
million. Subsequent to year end, the loan facility was increased to $175
million.
-- Mart's share of proved Umusadege field oil reserves net of royalties
decreased by 8.5% to 11.8 million bbls compared to 12.9 million bbls as
at December 31, 2012. Mart's share of proved plus probable Umusadege
field oil reserves net of royalties decreased by 4.5% to 16.9 million
bbls compared to 17.7 million bbls as at December 31, 2012. Decreases in
proved and proved plus probable reserves are primarily due to production
during 2013 offset by upwards technical revisions.
THREE MONTHS ENDED DECEMBER 31, 2013
-- Mart's share of average daily oil produced and sold for the three months
ended December 31, 2013 ("Q4 2013") from the Umusadege field per
calendar day was 4,047 bopd compared to 2,053 bopd for the three months
ended December 31, 2012 ("Q4 2012"). Mart's share of average daily oil
produced and sold for Q4 2013 from the Umusadege field per production
day was 5,910 bopd compared to 5,902 bopd for Q4 2012. During Q4 2013,
the Umusadege field was shut down for a total of 29 days (Q4 2012: 60
days) due primarily to various disruptions, repairs and maintenance of
the export pipeline.
-- On December 11, 2013 Mart declared a quarterly dividend of CAD $0.05 per
common share. The quarterly dividend was paid on January 6, 2014 for an
aggregate amount of $16.7 million (CAD $17.8 million).
-- Net income for Q4 2013 was $8.1 million ($0.022 per share) compared to
net loss of $3.9 million ($0.011 loss per share) for Q4 2012.
-- Funds flow from production operations was $29.2 million ($0.082 per
share) for Q4 2013 compared to $16.0 million ($0.045 per share) for Q4
2012 (see Note 1 to the Financial and Operating Results table on page 3
hereof regarding Non-IFRS measures).
-- Mart's share of Umusadege field oil produced and sold in Q4 2013 was
372,300 bbls compared to 188,863 bbls for Q4 2012.
-- The average price received by Mart for oil sales during Q4 2013 was
$112.64 per bbl compared to $109.17 per bbl for Q4 2012.
-- Mart's share of pipeline and export facility losses for Q4 2013 was
159,850 bbls, or approximately 30.0% of Mart's share of total crude
deliveries from the Umusadege field. In January and February 2014,
pipeline and export facility losses were approximately 9.4% and 10.1%
respectively, of crude deliveries from the Umusadege field.
FINANCIAL AND OPERATING RESULTS
The following table provides a summary of Mart's selected financial and
operating results for the three month periods ended and years ended December 31,
2013 and 2012:
USD $ 000's
(except oil produced and
sold, share, per share
amounts, and oil 3 months 3 months 12 months 12 months
prices) ended ended ended ended
December 31, December 31, December 31, December 31,
2013 2012 2013 2012
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Mart's share of the
Umusadege Field:
Barrels of oil produced
and sold 372,300 188,863 1,459,823 1,844,389
Average sales price per
barrel $112.64 $109.17 $110.62 $103.43
Mart's percentage share
of total Umusadege oil
produced and sold
during the period 70.2% 60.0% 66.3% 66.7%
Mart's share of
petroleum sales after
royalties, content
development levy and
community development
costs $37,162 $17,863 $136,040 $161,390
Funds flow from
production operations
(1) $29,186 $16,028 $97,983 $137,743
Per share - basic $0.082 $0.045 $0.275 $0.398
Net income /(loss) $8,127 ($3,948) $35,461 $58,046
Per share - basic $0.022 ($0.011) $0.099 $0.168
Per share - diluted $0.022 ($0.011) $0.099 $0.163
Petroleum properties
interests capital
expenditure (2) $28,694 $27,511 $65,483 $69,506
Total assets $280,378 $281,506 $280,378 $281,506
Dividends paid $17,123 $18,516 $69,600 $53,667
Cash flows from
operating activities $39,541 $35,299 $66,743 $130,338
Total borrowings (3) $56,594 Nil $56,694 Nil
Weighted average shares
outstanding for periods
ended:
Basic 356,574,869 356,086,773 356,506,147 345,715,889
Diluted 357,354,514 359,198,653 358,647,416 355,617,583
Notes:
1. Indicates non-IFRS measures. Non-IFRS measures are informative measures
commonly used in the oil and gas industry. Such measures do not conform
to IFRS and may not be comparable to those reported by other companies
nor should they be viewed as an alternative to other measures of
financial performance calculated in accordance with IFRS. For the
purposes of this table, the Company defines "Funds flow from production
operations" as petroleum sales less royalties, content development levy,
community development costs and production costs. Funds flow from
production operations is intended to give a comparative indication of
the Company's net petroleum sales less production costs as shown in the
following table:
3 months 3 months 12 months 12 months
ended ended ended ended
December December December December
USD $ 000's 31, 2013 31, 2012 31, 2013 31, 2012
----------------------------------------------------------------------------
Petroleum sales 41,936 20,618 161,487 190,761
Less: Royalties, content
development levy and
community development costs 4,774 2,755 25,447 29,371
----------------------------------------------------------------------------
Net petroleum sales 37,162 17,863 136,040 161,390
Less: Production costs 7,976 1,835 38,057 23,647
----------------------------------------------------------------------------
Funds flow from production
operations 29,186 16,028 97,983 137,743
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Foreign exchange (gain)/loss 105 (1,037) (52) (42)
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General and administrative 4,854 4,157 17,415 16,297
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Tax benefit contributions 921 3,649 3,389 10,553
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Impairment of available-for-
sale investment 6 131 66 276
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Share-based compensation 359 285 1,891 938
----------------------------------------------------------------------------
Gain on disposal of Qua Ibo
interest - - - (4,551)
----------------------------------------------------------------------------
Depreciation 1,246 1,026 4,738 4,083
----------------------------------------------------------------------------
Depletion 8,496 7,674 26,064 26,388
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Income before finance income
and expenses 13,199 143 44,472 83,801
----------------------------------------------------------------------------
----------------------------------------------------------------------------
2. Petroleum properties interests capital expenditure relates to additions
to petroleum property interests excluding the capitalized
decommissioning obligations.
3. The total gross amount of loan drawdowns net of loan repayments is $57.2
million. After taking account of unamortized borrowing costs, the total
loan amount due within one year is $16.5 million and has been reported
under current liabilities in the statement of financial position. The
amount due after one year is $40.2 million and is included within non-
current liabilities in the statement of financial position.
OUTLOOK AND OPERATIONS UPDATE:
Dividend
On December 11, 2013, Mart announced the declaration of a quarterly cash
dividend of CAD $0.05 per common share that was paid to shareholders on January
6, 2014 for an aggregate amount of CAD $17.8 million.
On March 24, 2014, Mart announced the declaration of a quarterly cash dividend
of CAD $0.05 per common share that was paid to shareholders on April 8, 2014 for
an aggregate amount of CAD $17.8 million.
Financing
On February 27, 2014, the Company announced that it had, through its wholly
owned Nigerian subsidiary, arranged to increase its existing secured term loan
credit facility with Guaranty Trust Bank PLC from US$100 million to US$175
million. The increased facility is available to fund field development
activities on the Umusadege field and the Umugini pipeline, to fund Mart's
ongoing working capital requirements, and to provide funds for potential future
Nigerian oil and gas opportunities. The secured loan facility has a term of five
years and bears interest at 90 days LIBOR plus 4% (floor of 8.25%), which is
unchanged from the terms of the Company's prior facility with Guaranty Trust
Bank PLC.
TSX listing
Mart's common shares commenced trading on the Toronto Stock Exchange ("TSX")
under the trading symbol "MMT" at the opening of the markets on April 2, 2014.
Mart's common shares were delisted from the TSX Venture Exchange concurrent to
the commencement of trading on the TSX.
UMU-10 Well Flow Test Results Update
The UMU-10 well was completed in six zones, two of which were commingled. The
completed sands consist of the XVIIa&b, XVIIIa, XIX, XXb, and XXI sands. After
putting the flow testing operations on hold during the drilling of the UMU-11
well, flow tests required to establish the maximum efficient rate ("MER") have
been carried out and test results finalized for three of the six zones
completed. Of the total 161 feet of gross pay accessed by the completions, the
testing to date represents flow from 135 feet of gross pay, or 84% of the well's
completed gross pay.
Recent MER testing was undertaken for the XVIIIa and XXI sands, which are
intended to be the first zones to be put on long-term commercial production.
The production test of the XVIIIa sand yielded a flow rate of 2,348 bopd at 46
degree API crude oil on a 32/64 inch choke setting and flowing tubing head
pressure of 1,400 psig. Basic sediment and water ("BS&W") was 0%. In addition to
testing at smaller choke settings, the production test duration at 32/64 inch
choke setting was 8 hours and recovered a total of 796 barrels of liquid.
The production test of the XXI sand yielded a flow rate of 1,679 bopd at 55
degree API crude oil on a 24/64 inch choke setting and flowing tubing head
pressure of 1,300 psig. BS&W was 30%, which appeared to be increasing with choke
setting and flow rate. For commercial production, this zone is expected to be
produced at a smaller choke setting to optimize the produced BS&W. In addition
to testing at smaller choke settings, the production test duration at 24/64
choke setting was 8 hours and recovered a total of 811 barrels of liquid.
No pressure transient analysis has been carried out based on the production test
results for the XVIIIa and XXI sands, however no decline in flowing wellhead
pressure was observed over the duration of the tests.
The production test of the XVIIa&b sands yielded a stabilized rate of 3,076 bopd
at 49 degree API crude oil on a 32/64 inch choke setting and flowing tubing head
pressure of 680 psig and BS&W of 0%. The duration of the test at 32/64 choke
setting was 8.5 hours, recovering a total of 1,075 barrels of liquid. The
production test of the XIX sand yielded a flow rate of 2,760 bopd at 48.6 degree
API crude oil on 24/64 in choke setting and flowing tubing head pressure of
1,250 psig and BS&W of 0%. The duration of the test at 24/64 choke setting was 4
hours, recovering a total of 463 barrels of liquid.
The combined flow rate of these three sands flow tested in the UMU-10 well was
7,103 bopd. Production test results are not necessarily indicative of long-term
production performance or ultimate recovery.
Drilling program
A second drilling rig has been contracted to drill a water disposal well. This
well is expected to be completed in May 2014.
It is planned to drill a re-entry horizontal development well in May 2014
followed by deepening of the UMU-8 well in June 2014.
The Company expects to spend approximately $56 million during 2014 for the
planned drilling program including the amounts expected to be spent on the
above-mentioned wells and miscellaneous Umusadege field capital expenditures.
Umugini pipeline capital expenditure
The Company will continue funding its 15% share of the Umugini pipeline project
costs in 2014. Mart's share of the total Umugini pipeline construction budget
was $11 million of which $5 million had been incurred by December 31, 2013, and
the Company has budgeted to spend the remaining $6 million during 2014 towards
the construction of the pipeline. Additional costs are expected to be incurred
in connection with the tie-in and commissioning of the Umugini pipeline.
Cash flows from operating activities
The Company expects the Umugini pipeline to be completed in Q2 2014, which is
expected to facilitate an increase in production and revenues from the Umusadege
field and therefore lead to an increase in the Company's cash flows from
operating activities.
Umugini Pipeline Update
Surveying and clearing of the right of way for 50 kilometres ("km") of the
Umugini pipeline has been completed and pipeline construction is ongoing. The
first 24 km of the pipeline have been completed and backfilled. Stringing of
approximately another 21 km of pipe has been completed, and welding, coating,
radiograph testing has been completed on 16 km of this 21 km section. Trenching
and lowering is currently being finished on approximately 10 km of this length,
and the installation of fiber optic cable that is part of the leak detection
system has been completed on the first 3 km. Procurement of materials and
equipment required to complete the pipeline pumping, monitoring and control
facilities is ongoing. Surveying and clearing of the right of way for the final
section of the Umugini pipeline is ongoing, as negotiations with local
communities and the Nigerian Petroleum Development Company along the final
section of the Umugini pipeline are progressing and nearing completion. The
group managing construction of the Umugini pipeline continues to estimate that
pipeline construction will be completed in the first half of 2014. Pipeline
commissioning will occur following completion of pipeline construction and
installation of pipeline pumping, monitoring and control facilities.
Production Update
Umusadege field production during January 2014 averaged 11,563 bopd. Umusadege
field downtime during January 2014 was approximately four days due to minor
operational interruptions, with no full down days during the month. The average
field production based on producing days was 13,151 bopd in January 2014. Total
net crude oil deliveries into the export pipeline from the Umusadege field for
January 2014 were approximately 343,800 bbls before pipeline losses. Pipeline
and export facility losses reported by NAOC and allocated to Mart and its
co-venturers for December 2013 were 38,887 bbls, or 26.7% of total crude oil
deliveries into the export pipeline for that month. Pipeline and export facility
losses averaged 25.6% in 2013.
February 2014 Production Update
Umusadege field production during February 2014 averaged 8,083 bopd. Aggregate
Umusadege field downtime during February 2014 was approximately twelve days due
mainly to a shutdown of the NAOC export pipeline resulting from a lack of
storage capacity at the Brass River export terminal due to export shipment
delays, combined with other minor operational interruptions. There were five
consecutive down days recorded during the month. The average field production
based on producing days was 14,342 bopd in February 2014. On February 16, 2014,
production from the Umusadege field was 16,567 bbls, which was a new record
production day for the field. Pipeline and export facility losses reported by
NAOC and allocated to Mart and its co-venturers for January 2014 and February
2014 were 32,272 bbls and 20,849 bbls, or 9.4% and 10.1% respectively, of total
crude oil deliveries into the export pipeline for those months. Total net crude
oil deliveries into the export pipeline from the Umusadege field for January
2014 and February 2014 were approximately 343,800 bbls and 206,700 bbls
respectively, so after deducting the actual pipeline and export facility losses
allocated for January 2014 and February 2014, the total net crude oil deliveries
less losses for January 2014 and February 2014 were approximately 311,500 bbls
and 185,851 bbls respectively.
RESULTS OF INDEPENDENT RESERVE EVALUATIONS
2013 Highlights: December 31, 2013 Reserve Highlights of Mart's Interest:
-- Mart's total gross proved ("1P") oil reserves in the Umusadege field
decreased 7.9% to approximately 12.8 million barrels of oil ("bbls")
compared to 13.9 million bbls at December 31, 2012. Mart's total proved
oil reserves net of royalties are 11.8 million bbls.
-- Mart's total gross proved plus probable ("2P") oil reserves in the
Umusadege field decreased 4.1% to approximately 18.5 million bbls
compared to 19.3 million bbls at December 31, 2012. Mart's total proved
plus probable oil reserves net of royalties as at December 31, 2013 were
16.9 million bbls.
-- Mart's total gross proved plus probable plus possible ("3P") oil
reserves in the Umusadege field decreased 0.8% to approximately 25.2
million bbls compared to 25.4 million bbls at December 31, 2012. Mart's
total proved plus probable plus possible oil reserves net of royalties
as at December 31, 2013 were 22.9 million bbls.
-- Mart's net present value of future net revenue before tax, discounted at
10%, from the 2P Umusadege field reserves as at December 31, 2013 was
$693 million (compared to $785 million as at December 31, 2012).
The 1P, 2P, and 3P reserves figures and net present value of future net revenue
contained in the 2013 Highlights provided above, have been calculated in
compliance with NI 51-101 and the Canadian Oil and Gas Evaluation Handbook
("COGEH") and have been derived from the data contained in the Company's Form NI
51-101F1 - Statement of Reserves Data and Other Oil and Gas Information
(effective December 31, 2013) included in Mart's 2013 Annual Information Form
filed on SEDAR (www.sedar.com) and on Mart's website, www.martresources.com.
The December 31, 2013 year-end reserves evaluation report (the "2013 RPS
Report") for the Umusadege field was prepared by RPS and includes an evaluation
of the UMU-11 well, which was completed in sands previously encountered by, but
not completed in, the UMU-9 and UMU-10 wells.
The following table summarizes Mart's 2013 year-end gross and net (after
royalty) reserves and is derived from the Company's NI 51-101 F1 report. Also
shown in the following table, for comparative purposes, are Mart's 2012 year-end
gross and net (after royalty) reserves for the Umusadege field. Reserves are
shown in thousand barrels ("Mbbl").
Summary of Oil and Gas Reserves Using Forecast Prices and Costs
Gross Net Gross Net
Reserves Reserves Reserves Reserves
Light and Medium Oil (1)(3) (1)(3) (2)(3) (2)(3)
12/31/12 12/31/12 12/31/11 12/31/11
(Mbbl) (Mbbl) (Mbbl) (Mbbl)
Reserves Category(4)
Proved Reserves
Developed Producing 4,272 4,028 4,622 4,341
Developed Non-Producing 3,941 3,699 1,056 990
Undeveloped 4,578 4,111 8,249 7,553
Proved 12,791 11,838 13,927 12,884
Probable Reserves
Probable 5,675 5,058 5,367 4,844
Proved plus Probable 18,466 16,896 19,294 17,728
Possible Reserves
Possible 6,729 6,004 6,154 5,378
Proved plus Probable plus
Possible 25,195 22,900 25,448 23,107
The following table summarizes the net present value of Mart's reserves as at
December 31, 2013 before taxes and is derived from the Company's NI 51-101 F1
report:
Umusadege
Net Present Value (Before Tax) discounted (1)(5)
at 10% $ million USD
Reserves Category(4)
Proved Reserves
Developed Producing $207
Developed Non-Producing $136
Undeveloped $140
Proved $484
Probable Reserves
Probable $209
Proved plus Probable $693
Possible Reserves
Possible $229
Proved plus Probable plus Possible $922
Notes:
1. The information contained herein for the Umusadege field has been
derived from a reserve report dated March 11, 2014 (effective as of
December 31, 2013) prepared by RPS.
2. The information contained herein for the Umusadege field has been
derived from a reserve report dated April 5, 2013 (effective as of
December 31, 2012) prepared by RPS.
3. Gross Reserves means Mart's working interest share of total field
reserves after deducting reserves volumes owned by others but before
deducting reserves attributable to government and third party royalties
and income taxes or their equivalent. Net Reserves means Mart's working
interest share of total field reserves after deducting reserves volumes
owned by others and after deducting reserves attributable to government
and third party royalties but before income taxes or their equivalent.
4. All reserves definitions utilized herein are as set out in the COGEH.
5. Due to rounding, certain columns may not add exactly.
ANNUAL INFORMATION FORM
The Company announces that it filed its Annual Information Form for the year
ended December 31, 2013 on SEDAR (www.sedar.com) and posted the document on
Mart's website.
CHAIRMAN'S COMMENT:
Wade Cherwayko, Chairman & CEO of Mart said, "In spite of challenges resulting
from increased pipeline and export facility losses and increased production
shutdowns during 2013, Mart's 2013 financial results are strong and the
Company's financial position is robust. Mart continued to pay quarterly
dividends amounting to $0.20 per common share on annual basis, totaling USD
$68.7 million for the year. Successful completion of drilling and flow testing
of the UMU-11 well and positive flow test results from additional zones of
UMU-10 well led to increased potential production capacity for the Umusadege
field. The Umugini pipeline construction project progressed during 2013 and
construction of the pipeline is expected to be completed in the second quarter
of 2014, with commissioning of the pipeline and related facilities to follow.
The Umugini pipeline will provide sufficient pipeline capacity to fully realize
the current production potential of Umusadege field. Mart and its co-venturers
have plans to drill additional wells in the Umusadege field in 2014 to continue
to develop the field and enhance the efficiency and productivity of the field.
Mart is also pursuing a number of potential opportunities that could diversify
and expand the Company's holdings and operations."
Mart will hold a conference call to discuss the operational and financial
results for the year and quarter ended December 31, 2013. The conference call is
scheduled for April 11, 2014 at 8:30 AM Mountain Daylight Time (10:30 AM Eastern
Daylight Time). Wade Cherwayko, Chairman & CEO of Mart, and Dmitri Tsvetkov,
Chief Financial Officer of Mart, will host the call and be available during the
question-and-answer session. To access the conference call, please dial
1-888-789-9572 or 416-695-7806. An instant replay of the call will be available
until April 18, 2014 by dialing 1-800-408-3053 or 905-694-9451 and entering pass
code 8390913.
Additional information regarding Mart is available on the Company's website at
www.martresources.com and under the Company's profile on SEDAR at www.sedar.com.
Notes: Except where expressly stated otherwise, all production figures set out
in this press release, including bopd, reflect gross Umusadege field production
rather than production attributable to Mart. Mart's share of total gross
production before taxes and royalties from the Umusadege field fluctuates
between 82.5% (before capital cost recovery) and 50% (after capital cost
recovery).
This news release provides information regarding the Company's possible
reserves. Possible reserves are those additional reserves that are less certain
to be recovered than probable reserves. There is a 10% probability that the
quantities actually recovered will be equal or exceed the sum of the proved plus
probable plus possible reserves.
Information Regarding Reserves and Net Present Value of Future Net Revenues
All information contained in this press release regarding reserves and the net
present value of future net revenue has been derived from the Company's Form
51-101 F1-Statement of Reserves Data and Other Oil and Gas Information for the
year ended December 31, 2013 ("Statement of Reserves Data") which report, along
with the Form 51-101F2 - Report on Reserves Data and Form 51-101F3 - Report of
Management and Directors on Reserves Data and Other Information are available
for review in Mart's Annual Information Form for the year ended December 31,
2013 at www.sedar.com and on the Company's website at www.martresources.com.
Forward Looking Statements
Certain statements contained in this press release constitute "forward-looking
statements" as such term is used in applicable Canadian and US securities laws.
Any statements that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions or future
events or are not statements of historical fact and should be viewed as
"forward-looking statements". These statements relate to analyses and other
information that are based upon forecasts of future results, estimates of
amounts not yet determinable and assumptions of management. Such forward looking
statements involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the Company
to be materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements.
In particular, statements (express or implied) contained herein or in Mart's
Management's Discussion and Analysis ("MD&A") regarding the following should be
considered forward-looking statements: the Company's goals and growth strategy,
estimates of reserves and future net revenues, exploration and development
activities in respect of the Umusadege field, the Company's ability to finance
its drilling and development plans with cash flows from operations, the ability
of the Company to successfully drill and complete future wells, the ability of
the Company to commercially produce, transport and sell oil from the Umusadege
field, future anticipated production rates, export pipeline capacity available
to the Company, the extent of future production and export pipeline disruptions
and pipeline losses, the expectation of the Company that production and export
pipeline disruptions will not have a lasting impact on the Company's future
production, timing of completion of the Company's upgrading of the central
production facility, the construction, completion, commissioning and tie-in of
the Umugini pipeline, the acceptance of the Company's tax filings by the
Nigerian taxing authorities, treatment under government regulatory regimes
including royalty and tax laws, projections of market prices and costs, supply
and demand for oil, timing for receipt of government approvals, and the ability
of the Company to satisfy its current and future financial obligations to its
banks and other creditors.
In addition, information regarding the reserve and resource estimates
attributable to Mart's oil and gas properties should be considered forward
looking statements, as they involve the implied assessment, based on certain
estimates and assumptions, that the reserves and resources described exist in
the quantities predicted or estimated and that the reserves and resources can be
profitably produced in the future. Readers are referred to the heading "Forward
Looking Statements" in the Company's Statement of Reserves Data for a more
detailed discussion of risks associated with forward looking statements
regarding reserves. In addition, past production performance, sales volumes and
prices from the Umusadege field are not necessarily indicative of future
performance, sales volumes and prices.
There can be no assurance that such forward-looking statements will prove to be
accurate as actual results and future events could vary or differ materially
from those anticipated in such statements. Accordingly, readers should not place
undue reliance on forward-looking statements contained in this news release.
This cautionary statement expressly qualifies the forward-looking statements
contained herein.
Forward-looking statements are made based on management's beliefs, estimates and
opinions on the date the statements are made and the Company undertakes no
obligation to update forward-looking statements and if these beliefs, estimates
and opinions or other circumstances should change, except as required by
applicable law.
NEITHER THE TSX NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN
THE POLICIES OF THE TSX) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF
THE RELEASE.
FOR FURTHER INFORMATION PLEASE CONTACT:
Mart Resources, Inc. - London, England office
Wade Cherwayko
+44 207 351 7937
Wade@martresources.com
Mart Resources, Inc. - London, England office
Dmitri Tsvetkov
+44 207 351 7937
dmitri.tsvetkov@martresources.com
Mart Resources, Inc. - Canada
Sam Grier
403-270-1841
sam.grier@martresources.com
www.martresources.com
Meritus Minerals Ltd (TSXV:MER)
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Meritus Minerals Ltd (TSXV:MER)
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From Nov 2023 to Nov 2024
