CALGARY, ALBERTA—November 8, 2017 – Bow River Energy Ltd. (“Bow River” or the “Company”) is pleased to announce the following appointments to the senior management team:
- Josh Caswell to VP Exploration. Josh will continue his work on exploration and development projects and will oversee the Bow River Land Department. Josh Caswell will be responsible for the execution of Bow River’s 50-well drilling program in the Provost area of Alberta. Seismic acquisition in the Provost area has begun and rigs are contracted for drilling starting late November.
- Robert Dumaine to VP Engineering. Robert will be accountable for Bow River’s Alberta and Saskatchewan field operations as well as engineering support. Field operations will safely deliver production income while upholding Bow River’s commitment to safety, the community, regulatory compliance and investors. Robert will focus on the exploitation of Bow River’s assets through increased reservoir management, production growth, cost optimization, drilling execution and midstream revenue.
Both Josh and Robert have proven their value to Bow River in the past year, especially with respect to the process of acquiring and integrating the new oil producing Provost assets purchased by Bow River in June 2017.
Since acquiring the Provost assets, Bow River has successfully brought 375 b/d on stream representing a 35% increase in production. This was accomplished at a cost of $1.4 million, or $3,700/flowing bbl. The program’s projected return is in excess of 500%.
The Company has also identified 50 drilling locations and an incremental 50 follow-up locations. Bow River’s drilling program will commence in late November 2017, with a multi-leg horizontal well in the Rex formation in Black Creek and a monobore horizontal well in the Dina formation in Fleeing Horse. The economics of the drilling program is materially enhanced by Company owned and operated infrastructure in the Provost region, comprised of large, underutilized oil processing facilities and a 15 mmcf/day sour gas plant.
Bow River’s midstream business is growing. At the Provost Gas Plant, the Company has increased current and projected processing volumes by offering competitive sweet and sour gas processing rates and terms to other producing companies in the Provost Region. This activity is supplemented by the extensive Company-owned and operated gathering and fuel gas distribution system.
About Bow River Energy Ltd.
Bow River is a privately-held junior oil and gas producer, funded entirely by its Board of Directors, Management, employees and close associates. The Company’s focus is in western Saskatchewan and eastern Alberta, where it controls a large land base and infrastructure. Bow River has an average working interest of approximately 85%, and operates 85% of its production. The Company’s strategy is to pursue cooperative acquisitions, negotiated in close association with the vendors, optimizing the transaction structure for both parties. Bow River also has strong track record of production and cost optimization, extending the life of relatively mature assets. The business plan includes a major focus on environmental responsibilities including the efficient and proactive management of abandonment and reclamation obligations.
Bow River Energy Ltd.
President and CEO
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Bow River Energy Ltd.
VP Finance and CFO
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Forward Looking Information
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, 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: decline rates; potential drilling locations; possible production increases; free cash flow; operational synergies; cost rationalization; increased netbacks; oil and natural gas prices and demand; expansion and other development trends of the oil and gas industry; business strategy and outlook; expansion and growth of our business and operations; and 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 Bow River in light of the Company’s experience and perception of historical trends, current conditions and expected future developments, as well as other factors the Company believes 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; opportunities available to or pursued by us; and other factors, many of which are beyond our control.
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, Bow River disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
The forward-looking information contained herein is expressly qualified by this cautionary statement.