Crescent Point Energy Corp. Announces January 2015 Dividend, Payable on February 17, 2015
Jan 15 15
Crescent Point Energy Corp. announced that the dividend to be paid on February 17, 2015, in respect of January 2015 production, for shareholders of record on January 31, 2015, will be CAD 0.23 per share.
Crescent Point Energy Corp. Presents at CIBC 18th Annual Institutional Investor Conference, Jan-21-2015 02:50 PM
Jan 9 15
Crescent Point Energy Corp. Presents at CIBC 18th Annual Institutional Investor Conference, Jan-21-2015 02:50 PM. Venue: The Fairmont Chateau, 4599 Chateau Boulevard, Whistler, British Columbia, Canada. Speakers: C. Neil Smith, Chief Operating Officer.
Crescent Point Energy Corp. Provides Capital Expenditures and Production Guidance for the Year 2015
Jan 6 15
Crescent Point Energy Corp. provided capital expenditures and production guidance for the year 2015. For the year, the company announced a $1.45 billion capital expenditures budget for 2015. The capital expenditures budget is expected to generate average daily production of 152,500 boe/d, a 9% increase over 2014 guidance. With benchmark oil price volatility currently at elevated levels, the company’s 2015 budget assumptions are conservative and disciplined. The company’s 2015 budget is also flexible. If lower oil prices persist throughout the year, the company maintains a number of levers to manage its balance sheet and dividend, including: Strong inventory depth, which allows the company to continue high-grading drilling projects for additional capital efficiencies; the flexibility to further reduce capital expenditures in the second half of the year, while still achieving annual average production guidance levels; and the option to shift more capital to its re-frac inventory and production optimization initiatives and to reduce facilities spending. When oil prices rebound, the company expects that it will increase capital spending. The company's 2015 budget assumes an initial 10% reduction to service costs. In addition to improving its capital efficiencies, Crescent Point is actively pursuing various initiatives to lower its costs. The company is also working on various drilling and completion technologies that can potentially add to production and reserves in a cost-efficient manner. The company expects to spend $1.45 billion, which is a 28% reduction from 2014 guidance. Approximately $1.27 billion, or 88%, of the 2015 capital expenditures budget is expected to be allocated to drilling and completions, including the drilling of 616 net wells. The remaining $180 million of the budget is expected to be allocated to investments in infrastructure, undeveloped land and seismic across all core areas. As in previous years, the company's 2015 guidance includes the assumption of a lengthy spring break-up in southern Saskatchewan and the anticipated production impact of converting approximately 70 producing wells to water injection wells in the Company's waterflood programs. The company expects to spend approximately $408 million or 28% of its 2015 budget in the Viewfield Bakken play in southeast Saskatchewan, including drilling approximately 185 net wells. The Company's waterflood plans for 2015 include the conversion of 30 producing wells to water injection wells in the Viewfield Bakken play. The water injection conversions implemented to date have reduced decline rates and increased recovery factors in the play. In the Flat Lake oil resource play, the company plans to spend $188 million or 13% of its 2015 budget, drilling approximately 44 net wells. In the Torquay play at Flat Lake, Crescent Point is generating strong rates of return, even at current oil prices. The company also plans to initiate its first waterflood pilot in the area targeting the Torquay zone in mid-2015. In the Shaunavon area of southwest Saskatchewan, Crescent Point plans to spend approximately $301 million or 21% of its 2015 budget, including drilling approximately 109 net wells. The company's waterflood plans for 2015 include the conversion of 36 producing wells to water injection wells in the Lower Shaunavon and Upper Shaunavon zones. In the Uinta Basin light oil resource play in northeast Utah, the company plans to spend approximately $154 million or 11% of its 2015 budget, including drilling approximately 36 net vertical and horizontal wells. In 2015, Crescent Point expects to expand its operated horizontal well program with plans for four net wells this year, building on the two net operated horizontal wells drilled at the end of 2014. Crescent Point also expects to continue development of its two waterflood pilots in the basin, with water injection expected in early 2016. Crescent Point's overall production and reserves in the Uinta Basin are increasing as the Company continues to advance this early-stage play with vertical drilling, horizontal drilling and waterflood initiatives. In the Viking light oil resource play, Crescent Point plans to spend approximately $135 million or 9% of its 2015 budget, including drilling approximately 137 net wells. The increased activity over 2014 is a result of the acquisition of Polar Star Canadian Oil and Gas Inc. in second quarter 2014, which consolidated Crescent Point's existing position in the area. In the Company's conventional assets in southeast Saskatchewan, Crescent Point plans to spend approximately $129 million or nine of its 2015 budget, including drilling approximately 68 net wells. Approximately 40% of these wells are expected to be drilled on lands acquired by the Company in 2014. These conventional assets offer high rates of return even at low oil prices and typically require reduced capital expenditures and no fracture stimulation to achieve high levels of production. The expenditures in the core areas summarized above account for approximately 91% of the company's 2015 capital budget. Crescent Point has allocated the remaining $135 million of the capital development budget to the Company's other properties in Alberta, Saskatchewan, North Dakota and Manitoba. The company generated significant production growth in 2014, surpassing exit production guidance of 155,000 boe/d ahead of schedule in November and continuing to grow into year end. Crescent Point's strong exit to 2014 positions the Company well to achieve its conservatively projected 2015 production targets. Crescent Point is well-hedged for 2015 and poised to produce reliable cash flows, even in a low commodity price environment. Crescent Point has more than 50 of its 2015 oil production hedged, net of royalties, with an average price above CAD 90.00/bbl and 53% of its 2015 natural gas production hedged, net of royalties, with an average price of CAD 3.60/GJ. The Company has additional hedges in place for 2016, 2017 and into 2018. As a result of the Company's disciplined approach and prudent strategy, Crescent Point is confident in executing its business plan and in its ability to create value in both high and low commodity price environments. In total in 2015, the Company plans to drill 616 net wells of its approximately 7,650 net internally identified low-risk drilling locations in inventory. This drilling inventory depth positions the Company well for long-term sustainable growth in production, reserves and net asset value, and provides long-term support for dividends. Crescent Point has the flexibility to implement a strong capital program in a low oil price environment due to its dedication to protecting the balance sheet and conservative risk management practices. The company’s total production to be 152,500 boe/d including oil and NGL production of 140,600 bbls/d and natural gas of 71,400 mcf/d.