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 January 14, 2016 - 12:57 PM EST
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Crescent Point Energy Announces 2016 Capital Expenditures Plans

By a News Reporter-Staff News Editor at Energy Weekly News -- 153,500 Natural gas (mcf/d) 105,000 - 111,000 Total (boe/d) 165,000 - 172,000 Capital expenditures(1) Drilling and development ($000) 808,000 - 1,067,000 Facilities, land and seismic ($000) 142,000 - 233,000 Total ($000) 950,000 - 1,300,000 (1) The projection of capital expenditures excludes acquisitions, which are separately considered and evaluated.


Any "financial outlook" or "future oriented financial information" in this press release, as defined by applicable securities legislation, has been approved by management of Crescent Point. Such financial outlook or future oriented financial information is provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes.

Certain statements contained in this press release constitute "forward-looking statements" within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934 and "forward-looking information" for the purposes of Canadian securities regulation. The Company has tried to identify such forward-looking statements by use of such words as "could", "should", "can", "anticipate", "expect", "believe", "will", "may", "intend", "projected", "sustain", "continues", "strategy", "potential", "projects", "grow", "take advantage", "estimate", "well-positioned" and other similar expressions, but these words are not the exclusive means of identifying such statements.

In particular, this press release contains forward-looking statements pertaining, to the following: the performance characteristics of Crescent Point's oil and natural gas properties; the Company's expected 2016 production levels; the Company's 2016 capital budget, including amounts allocated to drilling and development, infrastructure, undeveloped land and seismic; expectations to live within cash flow; the Company's ability to be flexible in its capital budgeting over the course of 2016; anticipated services cost savings if oil prices remain low; anticipated shut-in production levels; full cycle capital efficiencies; expected decline rates; anticipated efforts to expand pool boundaries; potential technological improvements and their impact on production and reserve additions; levers available to the Company to manage its balance sheet, dividend and capital program; the ability of the Company to weather the present commodity price environment; the Company's waterflood plans, including the planned conversion of producing wells to injection wells and the potential impact of waterflood activity on decline rates; the Company's plan to focus on technology and the potential impact such focus may have on capital efficiencies, the value of its drilling inventory and the size of the Company's resource base; drilling plans; identification of new low-cost high return drilling opportunities; plant expansions; new batteries; pipeline infrastructure additions; payout expectations; the possible monetization of hedges and the expected impact monetization would have on cash flow; expected impact of future actions on decline rates, capital efficiencies and the size and value of the Company's resource base; and potential adjustments to production guidance.

All forward-looking statements are based on Crescent Point's beliefs and assumptions based on information available at the time the assumption was made. Crescent Point believes that the expectations reflected in these forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this report should not be unduly relied upon. By their nature, such forward-looking statements are subject to a number of risks, uncertainties and assumptions, which could cause actual results or other expectations to differ materially from those anticipated, expressed or implied by such statements, including those material risks discussed in the Company's Annual Information Form under "Special Notes to Reader" and "Risk Factors" and our Management's Discussion and Analysis for the year ended December 31, 2014, under the headings "Risk Factors" and "Forward-Looking Information." The material assumptions are disclosed in the Management's Discussion and Analysis for the year ended December 31, 2014, under the headings "Dividends", "Capital Expenditures", "Decommissioning Liability", "Liquidity and Capital Resources", "Critical Accounting Estimates", "Changes in Accounting Policies" and "Outlook", and in the Management's Discussion and Analysis for the period ended September 30, 2015, under the headings "Dividends", "Capital Expenditures", "Decommissioning Liability", "Liquidity and Capital Resources", "Changes in Accounting Policies", "Outlook" and "Forward-Looking Information". In addition, risk factors include: financial risk of marketing reserves at an acceptable price given market conditions; volatility in market prices for oil and natural gas; delays in business operations, pipeline restrictions, blowouts; the risk of carrying out operations with minimal environmental impact; industry conditions including changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; uncertainties associated with estimating oil and natural gas reserves; economic risk of finding and producing reserves at a reasonable cost; uncertainties associated with partner plans and approvals; operational matters related to non-operated properties; increased competition for, among other things, capital, acquisitions of reserves and undeveloped lands; competition for and availability of qualified personnel or management; incorrect assessments of the value of acquisitions and exploration and development programs; unexpected geological, technical, drilling, construction and processing problems; availability of insurance; fluctuations in foreign exchange and interest rates; stock market volatility; failure to realize the anticipated benefits of acquisitions; general economic, market and business conditions; uncertainties associated with regulatory approvals; uncertainty of government policy changes; uncertainties associated with credit facilities and counterparty credit risk; and changes in income tax laws, tax laws, crown royalty rates and incentive programs relating to the oil and gas industry. The impact of any one risk, uncertainty or factor on a particular forward-looking statement is not determinable with certainty as these are interdependent and Crescent Point's future course of action depends on management's assessment of all information available at the relevant time.

Barrels of oil equivalent ("boes") may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf: 1 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.

The approximately 7,500 drilling locations referenced in this press release are comprised of 2,391 proved locations, 934 probable locations and approximately 4,175 unbooked internally identified locations.

Keywords for this news article include: Energy, Oil & Gas, Utilities, Natural Gas, Legal Issues, Risk and Prevention.

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Source: News (January 14, 2016 - 12:57 PM EST)

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