TSX, NYSE MKT: BXE
CALGARY, July 10, 2013 /CNW/ - Bellatrix Exploration Ltd. ("Bellatrix"
or the "Company") (TSX, NYSE MKT: BXE) is pleased to provide the
following operational update.
Bellatrix's corporate head offices were undamaged and its field
operations remained stable and operational with only minor impacts due
to flooding in southern Alberta during the second quarter of 2013.
Bellatrix's field production for Q2 2013 averaged approximately 22,100
to 22,200 boe/d. Despite spring break-up and downtime experienced due
to scheduled and unscheduled plant turnarounds in its core area, Q2
2013 production levels have increased approximately 15% over Q1 2013
production levels of 19,343 boe/d. In addition, a mechanical problem
on the Minnehik Buck Lake Gas Plant pipeline created an unplanned
shutdown at the end of June which required re-routing of a significant
portion of the Company's production in the Ferrier area negatively impacting field production in the month of June by
approximately 330 boe/d.
As a result of disruption in field production in early July due to the
impact of rolling power blackouts and the delay in commencing the Q3
drilling program due to the wet field conditions, the Company is
anticipating Q3 2013 production levels to remain consistent with Q2
2013 production levels. However, Bellatrix continues to expect it will
meet its previously announced 2013 calendar year guidance to provide
average daily production of 23,000 to 24,000 boe/d and 2013 exit rate
of 30,000 to 31,000 boe/d.
During the Q2 the Company successfully drilled 5 (100% W.I.) Cardium
wells. Three wells were completed and placed on production during the
quarter, the fourth well commenced production July 1st with one well waiting on completion.
On March 11, 2013, the Company announced the successful drilling and
completion of a 100% working interest long reach horizontal well in the
Spirit River Falher interval. After the first 120 days of production
the well has recovered 2.1 Bcf of gas with 73,944 barrels of natural
gas liquids. Currently the well is flowing at a restricted rate of 17
mmcf/d with 600 boe/d of liquids. Based on the initial production
rates, when plant capacity is available the well is expected to be capable of
flowing at 20 mmcf/d at plant inlet conditions.
Bellatrix Exploration Ltd. is a Western Canadian based growth oriented
oil and gas company engaged in the exploration for, and the
acquisition, development and production of oil and natural gas reserves
in the provinces of Alberta, British Columbia and Saskatchewan. Common
shares and convertible debentures of Bellatrix trade on the Toronto
Stock Exchange ("TSX") under the symbols BXE and BXE.DB.A, respectively
and the common shares of Bellatrix trade on the NYSE MKT under the
Forward looking statements: Certain information set forth in this news
release, including management's assessments of the future plans and
operations including anticipated Q3 2013 average daily production,
anticipated 2013 average daily production and exit rate and the
expected productivity of the horizontal well in the Spirit River Falher
interval, may contain forward-looking statements, and necessarily
involve risks and uncertainties, certain of which are beyond
Bellatrix's control, including risks associated with oil and gas
exploration, development, exploitation, production, marketing and
transportation, loss of markets and other economic and industry
conditions, volatility of commodity prices, currency fluctuations,
imprecision of reserve estimates, environmental risks, competition from
other producers, inability to retain drilling services, incorrect
assessment of value of acquisitions and failure to realize the benefits
therefrom, delays resulting from or inability to obtain required
regulatory approvals, the lack of availability of qualified personnel
or management, stock market volatility and ability to access sufficient
capital from internal and external sources and economic or industry
condition changes. Actual results, performance or achievements could
differ materially from those expressed in, or implied by, these
forward-looking statements and, accordingly, no assurance can be given
that any events anticipated by the forward-looking statements will
transpire or occur, or if any of them do so, what benefits that
Bellatrix will derive therefrom. Additional information on these and
other factors that could affect Bellatrix are included in reports on
file with Canadian securities regulatory authorities and the United
States Securities and Exchange Commission and may be accessed through
the SEDAR website (www.sedar.com), the SEC's website www.sec.gov or at Bellatrix's website www.bellatrixexploration.com. Furthermore, the forward-looking statements contained in this news
release are made as of the date of this news release, and Bellatrix
does not undertake any obligation to update publicly or to revise any
of the included forward looking statements, whether as a result of new
information, future events or otherwise, except as may be expressly
required by applicable securities law.
Conversion: The term barrels of oil equivalent ("boe") may be
misleading, particularly if used in isolation. A boe conversion ratio
of six thousand cubic feet of natural gas to one barrel of oil
equivalent (6 mcf/bbl) is based on an energy equivalency conversion
method primarily applicable at the burner tip and does not represent a
value equivalency at the wellhead. Given that the value ratio based on
the current price of crude oil as compared to natural gas is
significantly different from the energy equivalency of 6:1, utilizing a
conversion on a 6:1 basis may be misleading as an indication of value.
All boe conversions in this report are derived from converting gas to
oil in the ratio of six thousand cubic feet of gas to one barrel of
Initial production rates: Initial production rates are not
determinative of the rates at which such wells will continue production
and decline thereafter or the ultimate recovery associated with such
wells. In addition, such rates may also include recovered "load oil"
fluids used in well completion stimulation. Readers are cautioned not
to place reliance on such rates in calculating the aggregate production
for the Company.
SOURCE: Bellatrix Exploration Ltd.
Raymond G. Smith, P.Eng., President and CEO (403) 750-2420
Edward J. Brown, CA, Executive Vice President, Finance and CFO (403) 750-2655
Brent A. Eshleman, P.Eng., Executive Vice President (403) 750-5566
Troy Winsor, Investor Relations (800) 663-8072