The information highlighted above is extracted from and should be read together with the financial statements without the Company’s auditor for the three months ended March 31, 2017 and the related administrative debate and analysis, with the copies being available through the profile of the Company through http://www.sedar.com.
The net value per barrel and net values that include product contracts, net operating income and operating funds (collectively “the Company’s non-GAAP measures”) are not measures recognized under generally accepted Canadian accounting principles (“GAAP”) and do not have any standardized meaning prescribed by GAAP. The Company’s non-GAAP measures are described and reconciled with the GAAP measures in the discussion and analysis of the address that is available in the Company’s profile
In this communication and in other public disclosures of the Company:
(a) The Company’s natural gas production is indicated in thousands of cubic feet (“Mcfs”). The Company also uses references to barrels (“Bbls”) and barrels of oil equivalent (“Boes”) to reflect natural gas liquids and oil production and sales. Boes could be deceptive, especially if used in isolation. An average Boe conversion of 6 Mcf: 1 Boe is based on the energy equivalency conversion method applicable mainly at the burner tip, and does not represent an equivalence value at the source. Taking into account that the average value based on the current price of crude oil compared to natural gas is significantly different from that of the energy equivalence of 6: 1, the use of a conversion on a base of 6: 1 could be wrong as an indication of value.
(c) Possible reserves are the additional reserves that are less certain than are recoverable reserves against probable reserves. There is a 10% probability that the amounts recovered will actually be equal to or exceed the sum of the proved plus probable reserves in addition to the possible reserves.
(d) The Company discloses initial peak production rates and 30 days and other short-term production rates. Readers are urged to be cautious about these production rates, which are not a necessary indicator of long-term performance or a definitive recovery.
Warning related to forward-looking statements
This press release contains forward-looking information that includes information related to the proposed time and expected results of the exploration and development work, including the production of the Company’s Tishomingo field, the Oklahoma acres, future performance of the wells after the stops, and restart, expected effects of cost reduction efforts, availability of funds from the Company’s reserves based on the loan facilities, expected risk levels and strategies and objectives of the Company. The use of words such as “objective”, “plans”, “anticipates”, “continues”, “estimates”, “expects”, “could”, “should”, “projects”, “should”, “believes” and expressions similar is intended to identify forward-looking statements.