June 20, 2016 - 8:45 AM EDT
Print Email Article Font Down Font Up Charts
Renaissance announces first revenue from oil and gas operations, becoming second largest petroleum producer in Mexico after PEMEX

Renaissance announces first revenue from oil and gas operations, becoming second largest petroleum producer in Mexico after PEMEX

Canada NewsWire

VANCOUVER, June 20, 2016 /CNW/ - Renaissance Oil Corp. ("Renaissance" or the "Company") (TSX-V: ROE) is pleased to announce the Company has received payment for its first sale of crude oil, condensate and natural gas to the Mexican state oil company, Petróleos Mexicanos ("PEMEX").  The combined hydrocarbon production, from the Company's three properties in Mexico, was approximately 1,700 barrels of oil equivalent per day.  As a result, Renaissance is the second largest petroleum producer in Mexico after PEMEX.

Since the May 10, 2016 signing of the 25 year license contracts for the Mundo Nuevo, Topén and Malva blocks in Chiapas, Mexico, Renaissance has entered into a 90-day transition period whereby PEMEX is transferring operations of the properties to the Company.  During this period, the Company has been receiving detailed production reports, including daily estimates of production and crude oil and natural gas compositions.  Production for these properties, over the period of May 10-31, 2016, was reported at approximately 708 bbls/d of crude oil and 5.9 MMcf/d of natural gas.  Renaissance received an average price of US$39.59 per bbl for its crude oil and condensate production and US$2.77 per Mcf of natural gas.  After deductions for operating costs and royalties, Renaissance is generating positive operating cash flow from its Mexico properties.

"Renaissance is pleased with the quality of detailed information received and competent, low cost operations of our properties," stated Craig Steinke, Chief Executive Officer. ''As Renaissance transitions into the properties as operator, our focus is to optimize field efficiencies and to increase the production and cash flow from these properties."

Renaissance continues to make progress on its journey to become a major Mexican energy producer.

For further information, please visit our website at www.renaissanceoil.com.

RENAISSANCE OIL CORP.

Per:
Craig Steinke
Chief Executive Officer

Abbreviations:

bbl or bbls

barrel or barrels

Mcf

thousand cubic feet

bbls/d

barrels per day

Mcf/d

thousand cubic feet per day

boe

barrels of oil equivalent

MMcf

million cubic feet

boe/d

barrels of oil equivalent per day

MMcf/d

million cubic feet per day

 

Cautionary Note Regarding Forward-Looking Statements
This news release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, including, without limitation, statements with respect to the Company optimizing field efficiencies to increase the production and cash flow from the properties in Mexico and the Company becoming a major Mexican energy producer.  Forward-looking statements are statements that are not historical facts which address events, results, outcomes or developments that the Company expects to occur; they are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions, or that events or conditions "will", "would", "may", "can", "could" or "should" occur. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Certain material assumptions regarding such forward-looking statements are discussed in this news release and the Company's annual and quarterly management's discussion and analysis filed at www.sedar.com. Except as required by the securities disclosure laws and regulations applicable to the Company, the Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Renaissance Oil Corp.

Craig Steinke, Chief Executive Officer, Tel: +1 604-536-3637; Kevin J. Smith, Vice President, Business Development, Tel: +1 403-200-9047Copyright CNW Group 2016


Source: Canada Newswire (June 20, 2016 - 8:45 AM EDT)

News by QuoteMedia
www.quotemedia.com

Legal Notice