/C O R R E C T I O N from Source -- Longview Oil Corp./

In c4339 disseminated today at 19:14e, please note that "Technical Services 
Agreement Update" information is added just before "Forward-Looking 
Statements". Corrected copy follows: 
Longview Announces 2014 Guidance 
44% Increase in Capital Program Expected to Boost Oil Production by 12% 
Financed in Part by Dividend Reduction 
CALGARY, Dec. 12, 2013 /CNW/ - Longview Oil Corp. ("Longview" or the 
"Company") is pleased to announce that the Board of Directors has approved the 
Company's capital expenditure budget and guidance for the year ending December 
31, 2014 which includes a 44% increase in the capital expenditure program to 
$56 million. We anticipate this program will lead to a 20% increase in cash 
flow per share in 2014 as crude oil production volumes are expected to grow by 
12% resulting in a 16% increase in operating netbacks. 
Budget Highlights 

    --  Capital expenditures are budgeted to increase by 44% from 2013
        spending levels to $56 million.
    --  We anticipate that capital spending will be focused on the
        ongoing development of our light oil reserves including the
        drilling of 29 gross (22.3 net) wells.
    --  Oil production is expected to increase by 12% in 2014 as a
        result of the drilling program.
    --  Funds from operations are anticipated to increase by 20% in
        2014 to $1.64 per share due to the increase in oil production.
    --  Our debt to cash flow ratio is expected to decline by 11% in
        2014 to 1.7x, thereby preserving our strong balance sheet.
    --  Longview's payout ratio for 2014 is anticipated to be 102% as
        compared to 105% in 2013.

Dividend Payment

In order to fund the expansion of our capital development program, Longview 
announces that it will be paring back its monthly dividend to four cents per 
share effective with the dividend to be paid on January 15, 2014 to 
shareholders of record on December 31, 2013. The ex-dividend date for the 
dividend is December 27, 2013. The dividend is considered an "eligible 
dividend" for Canadian tax purposes.

Longview's new monthly dividend payout of four cents per share represents an 
annualized yield of 9.5% based on the December 12, 2013 closing price of $5.06 
per share.

Operational and Financial Guidance - Summary

The following table summarizes operational and financial guidance for Longview 
for the year ending December 31, 2014 as compared to our published guidance 
for 2013:
                             2014                2013         Variances


  Crude oil                                                  
  (bbls/d)                  4,750               4,250            +12%

  (bbls/d)                    465                 525                

  Natural gas                                                
  (mcf/d)                   6,800               7,400                

  Boe/d ((1))               6,350               6,000                

Funds from
(2))                    $77 million         $64 million          +20%

  Per share (                                                
  (3))                      $1.64               $1.39            +20%

expenditures            $56 million         $39 million          +44%

Payout Ratio                                                 
((3))                        102%                105%                

Debt to cash
flow ratio  (                                                
(3))                         1.7x                2.0x            -11%

Royalty rate                  17%               17.5%                

expenses                $20.00/boe          $21.00/boe               

(1)    Boe, funds from operations, payout ratio and debt to cash flow
       ratio do not have
       a standardized meaning under GAAP. Refer to "Non-GAAP Measures,
       and Abbreviations" in this press release.  

(2)    Commodity price assumptions: WTI - 2014  US $93.00/bbl, 2013 US
       Edmonton light oil - 2014 $92.50/bbl, 2013 $93.00/bbl; Cdn/US
       exchange rate -
       2014 $0.93, 2013 $0.97 and AECO C gas price - 2014 $3.68/mcf,,
       2013 $3.05/mcf.

(3)    Based on our weighted average shares outstanding.      

Capital Development Strategy

Our asset base consists of operated oil-weighted resource plays where 
management of Longview has identified an extensive inventory of low risk 
development drilling and waterflood enhancement projects that offer the 
potential to significantly increase both production and reserve recoveries 
across our land holdings.

Management of Longview believes that in order to more fully realize the value 
inherent in our asset base, the pace of our capital development program needs 
to be accelerated. Consistent with this strategy, we have developed a 2014 
budget that increases the capital program by 44% and directs a greater portion 
of our funds from operations towards organic growth projects while maintaining 
a sustainable payout ratio.

The 2014 drilling program will focus on the ongoing development of light oil 
reserves at 11 project areas in both Saskatchewan and Alberta which includes 
the drilling of 29 gross (22.3) net wells. The majority of the wells in our 
2014 drilling program are expected to qualify for reduced royalty rates and 
will be directed towards areas where we have existing infrastructure in place 
resulting in lower operating costs and comparatively high rates of return. In 
addition, approximately 14% of our total capital budget will be allocated to 
waterflood enhancement and facility improvements at seven project areas 
designed to increase reservoir pressures and establish additional drilling 

Longview anticipates that this strategy will lead to a 12% increase in crude 
oil production in 2014. This is supported by our expected base decline rate of 
19%, which is among the lowest in the industry. This boost in crude oil 
production is anticipated to improve our corporate netbacks by reducing 
royalty rates and per boe operating costs resulting in a 20% increase in cash 
flow per share. Production of lower value natural gas and NGL's are expected 
to decline by 9% in 2014 as normal production declines are forecast to more 
than offset modest production additions.

2014 Capital Program
    --  Our 2014 capital program will be focused on low-risk crude oil
        drilling and waterflood expansion activities in areas with
        comparatively high netbacks where Longview operates existing
        infrastructure.  Drilling operations will focus on areas where
        recent activity has demonstrated strong economics while
        limiting facility and other infrastructure expenditures.
        SE Saskatchewan
    --  Longview's 2014 capital drilling program in SE Saskatchewan
        will continue to focus on further development of our Midale and
        Frobisher plays where we have an extensive undeveloped land
        base of 106 gross (87 net) sections, high working interests,
        and existing infrastructure.
    --  Approximately 47% of our 2014 drilling budget is allocated to
        SE Saskatchewan targeting five different project areas,
        including 18 gross (13.2 net) wells.  These wells are
        considered by Management to be lower risk locations primarily
        targeting the Midale formation that are offset by nearby
        production where successful results will lead to additional
        drilling in future years.
    --  Approximately 50% of our 2014 drilling program will be
        allocated to five different project areas within Alberta. A
        total of six gross (5.7 net) wells are planned to be drilled
        targeting light oil development in the Cardium, Wabumun,
        Montney and Belly River formations. In addition, one gross (one
        net) well is planned to be drilled targeting the liquids rich
        Glauconite Hoadly trend at Willesden Green where Longview has
        100% interest in an existing shallow cut gas processing
        facility that currently has excess capacity. All of these wells
        are considered by management to be lower risk locations which
        are offset by nearby production.
        Waterflood Projects and Lloydminster area
    --  Our existing waterflood projects have demonstrated positive
        results due to capital expenditures incurred in the last
        several years which were undertaken to enhance water injection
        rates and flood patterns.
    --  Funds will be allocated in 2014 to further enhance existing
        waterflood projects at Nevis, Sunset and Pembina in Alberta and
        Weyburn in Saskatchewan.  These enhancements are expected to
        help establish future drilling opportunities as voidage
        replacement ratios and reservoir pressures are increased to
        acceptable levels in each property.
    --  In addition, horizontal wells are planned for each of Nevis and
        Sunset in areas of these pools where pressure has been
        increased to levels sufficient to warrant additional infill
    --  Approximately 3% of our 2014 drilling program is anticipated to
        be directed to the drilling of four gross (2.4 net) wells
        targeting the Waseca formation at Lashburn, Saskatchewan where
        our infrastructure was upgraded in 2013 in order to handle
        additional production volumes.

2014 Capital Budget - Drilling Summary

The following table summarizes our 2014 capital budget by area and target 
                                            Well           # of Wells

Area                 Target Formation       Type       Gross       Net

S.E. SK              Midale                  Hz          16        11.2

S.E. SK              Frobisher               Hz           2        2.0

Lashburn,            Waseca                  Vt           4        2.4

Sunset, AB           Montney                 Hz           1        0.7

Pembina,             Cardium                 Hz           3        3.0

Nevis, AB            Wabamun                 Hz           1        1.0

Other, AB            Belly                   Hz           2        2.0

Total                                                    29        22.3
    --  Given the current volatility in crude oil pricing conditions,
        we will continue to closely monitor our funds from operations
        as compared to our dividend policy and capital expenditure
        commitments to ensure they are substantially balanced.

Operating Netbacks
    --  The following table compares the anticipated operating netbacks
        for the year ending December 31, 2014 to the estimate for 2013:

($/boe)                   2014          2013                 Comment

Revenues                $71.89        $68.96        Higher percent of
                                                    production derived
                                                    from light oil
                                                    more than offsets
                                                    slight decrease in
                                                    anticipated oil

                    (1.45)        (2.99)        Same volume of oil
Hedging loss                                        hedged in 2014 at a 

                                                    higher price

Royalties               (12.22)       (12.14)       Lower royalty rate
                                                    as new production
    Royalty rate          17.0%         17.6%        qualifies for
                                                    royalty holiday
                        (20.02)       (21.01)       Increase in oil

Operating costs                                     anticipating 

                                                    utilizing existing

                    $38.20        $32.82        Anticipated
Operating netback                                   increase of 16% or 


Hedging Update
    --  Longview has the following commodity price hedging positions
        for 2014:
        2000 bbls/d, January 1 to December 31, 2014 @ $94.85/bbl.
    --  Longview hedges production in order to stabilize cash flow and
        enhance our ability to fund dividend payments and incur capital
        expenditures during periods of commodity price volatility.

Technical Services Agreement Update

Management anticipates that the Technical Services Agreement ("TSA") between 
Longview and Advantage Oil & Gas Ltd. ("Advantage") will be terminated by 
March 31, 2014. The process of terminating the TSA has commenced which 
included the physical separation of Longview and Advantage employees into 
separate offices in early December 2013. We anticipate a smooth transition to 
a full separation early in 2014.

Forward-Looking Statements

Certain information regarding Longview set forth in this press release, 
including management's assessment of the Company's future plans and 
operations, contains forward-looking statements that involve substantial known 
and unknown risks and uncertainties. The use of any of the words 
"anticipate", "continue", "estimate", "expect", "may", "will", " lead to", 
"project", "should", "believe" and similar expressions are intended to 
identify forward looking statements. Such statements represent Longview's 
internal projections, estimates or beliefs concerning, among other things, an 
outlook on the estimated amounts and timing of capital expenditures or other 
expectations, beliefs, plans, objectives, assumptions, intentions or 
statements about future events or performance. These statements are only 
predictions and actual events or results may differ materially. Although 
Longview believes that the expectations reflected in the forward-looking 
statements are reasonable, it cannot guarantee future results, levels of 
activity, performance or achievement since such expectations are inherently 
subject to significant business, economic, competitive, political and social 
uncertainties and contingencies. Many factors could cause Longview's actual 
results to differ materially from those expressed or implied in any 
forward-looking statements made by, or on behalf of, Longview.

In particular, forward-looking statements included in this press release 
include, but are not limited to, 2014 guidance; statements with respect to 
targeted average production; expected operating expenses for the year ended 
December 31, 2014; future royalty rates; projected capital expenditures for 
the year ended December 31, 2014; focus of capital budget; the focus of and 
timing of capital expenditures; drilling plans; timing of drilling of rigs; 
and crude oil and natural gas production levels. The payment and the amount of 
dividends declared in any month will be subject to the discretion of the board 
of directors and may vary depending on a variety of factors, including 
fluctuations in commodity prices, production levels, capital expenditure 
requirements, debt service requirements, operating costs, royalty burdens and 
foreign exchange rates. In addition, statements relating to "reserves" or 
"resources" are deemed to be forward looking statements, as they involve the 
implied assessment, based on certain estimates and assumptions, that the 
resources and reserves described can be profitably produced in the future.

These forward-looking statements are subject to numerous risks and 
uncertainties, certain of which are beyond the Corporation's control, 
including the impact of general economic conditions; volatility in market 
prices for crude oil and natural gas; industry conditions; volatility of 
commodity prices; currency fluctuation; imprecision of reserve estimates; 
liabilities inherent in crude oil and natural gas operations; environmental 
risks; incorrect assessments of the value of acquisitions and exploration and 
development programs; competition from other producers; the lack of 
availability of qualified personnel or management; changes in income tax laws 
or changes in tax laws and incentive programs relating to the oil and gas 
industry; hazards such as fire, explosion, blowouts, cratering, and spills, 
each of which could result in substantial damage to wells, production 
facilities, other property and the environment or in personal injury; stock 
market volatility; ability to access sufficient capital from internal and 
external sources and the other risks considered under "Risk Factors" in 
Longview's Annual Information Form dated March 26, 2013, which is available on 

With respect to forward-looking statements contained in this press release, 
Longview has made assumptions regarding: current commodity prices and royalty 
regimes; availability of skilled labour; timing and amount of capital 
expenditures; future exchange rates; the price of oil and natural gas; the 
impact of increasing competition; conditions in general economic and financial 
markets; availability of drilling and related equipment; effects of regulation 
by governmental agencies; royalty rates and future operating costs.

Management has included the above summary of assumptions and risks related to 
forward-looking information provided in this press release in order to provide 
shareholders with a more complete perspective on Longview's future operations 
and such information may not be appropriate for other purposes. Longview's 
actual results, performance or achievement could differ materially from those 
expressed in, or implied by, these forward-looking statements and, 
accordingly, no assurance can be given that any of the events anticipated by 
the forward-looking statements will transpire or occur, or if any of them do 
so, what benefits that the Company will derive there from. Readers are 
cautioned that the foregoing lists of factors are not exhaustive. These 
forward-looking statements are made as of the date of this press release and 
the Company disclaims any intent or obligation to update publicly any 
forward-looking statements, whether as a result of new information, future 
events or results or otherwise, other than as required by applicable 
securities laws.

The payment and the amount of dividends declared in any month will be subject 
to the discretion of the board of directors and will depend on the board of 
directors' assessment of the Corporation's outlook for growth, capital 
expenditure requirements, funds from operations, potential acquisition 
opportunities, debt position and other conditions that the board of directors 
may consider relevant at such future time, including applicable restrictions 
that may be imposed under the Corporations' Credit Facilities and on the 
ability of the Corporation to pay dividends. The amount of future cash 
dividends, if any, may also vary depending on a variety of factors, including 
fluctuations in commodity prices, production levels, capital expenditure 
requirements, debt service requirements, operating costs, royalty burdens and 
foreign exchange rates.

All dollar amounts in this press release are Canadian dollars unless otherwise 

Non-GAAP Measures, Definitions and Abbreviations

The Corporation discloses several financial measures in this press release 
that do not have any standardized meaning prescribed by International 
Financial Reporting Standards ("IFRS" or "GAAP"), such as funds from 
operations and payout ratio. Management believes that these financial measures 
are useful supplemental information to analyze operating performance and 
provide an indication of the results generated by the Corporation's principal 
business activities. Longview's method of calculating these measures may 
differ from other companies, and accordingly, they may not be comparable to 
similar measures used by other companies. Please see the Corporation's most 
recent management's discussion and analysis, which is available on 
www.sedar.com for additional information about these financial measures.

"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: 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. 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.

"Funds from operations" represents cash provided by operating activities, 
adjusted for expenditures on decommissioning liability, changes in non-cash 
working capital and interest on bank indebtedness.

"Debt to cash flow ratio" is calculated as bank indebtedness plus working 
capital deficit divided by funds from operations.

"Operating netback" is calculated as revenue less hedging losses, royalties 
and operating costs.

"Payout ratio" is calculated as cash dividends declared and capital 
expenditures divided by funds from operations.

"Working capital deficit" includes trade and other receivables, prepaid 
expenses and deposits, trade and other accrued liabilities and due to parent.

The following abbreviations used in this press release have the meanings set 
forth below:

bbls         barrels                    mcf         thousand cubic feet

bbls/d       barrels per day            mcf/d       thousand cubic feet
                                                    per day

boe          barrels of oil                          
             equivalent, on the
             basis of 1 bbl of
             oil for
             6 mcf of natural gas

boe/d        barrels of oil                          
             equivalent per day

SOURCE  Longview Oil Corp. 
Investor Relations Toll free: 1-855-813-0313 
Longview Oil Corp. 700, 400 -3rd Avenue SW Calgary, Alberta T2P 4H2 Phone: 
(403) 718-8000 Fax: (403) 718-8300 Web Site:www.longviewoil.com 
To view this news release in HTML formatting, please use the following URL: 
CO: Longview Oil Corp.
ST: Alberta
-0- Dec/13/2013 00:59 GMT
Press spacebar to pause and continue. Press esc to stop.