Big Data Journal Authors: Liz McMillan, Kevin Benedict, Andreas Grabner, Pat Romanski, Elizabeth White

News Feed Item

Donnycreek Announces First Quarter Results & Provides Kakwa and Wapiti Field Operations Update

CALGARY, ALBERTA -- (Marketwired) -- 12/20/13 -- Donnycreek Energy Inc. ("Donnycreek" or the "Company") (TSX-V: DCK) reports that it has filed its condensed interim financial statements and related Management's Discussion and Analysis ("MD&A") for the three months ended October 31, 2013 with 2012 comparatives on SEDAR. Selected financial and operational information is outlined below and should be read in conjunction with Donnycreek's condensed interim financial statements for the three months ended October 31, 2013 and its audited financial statements and related MD&A for the year ended July 31, 2013 which are available for review at www.sedar.com and on our website at www.donnycreekenergy.com.


                                              Three Months Ended
                                      31-Oct-13     31-Jul-13     31-Oct-12
Petroleum and natural gas sales    $  2,447,769  $  2,899,982  $     77,841
Funds flow from operations(1)      $  1,545,501  $  1,726,323  $    (48,969)
  Basic ($/share)                  $       0.03  $       0.04  $      (0.01)
  Diluted ($/share)                $       0.03  $       0.04  $      (0.01)
Net income (loss)                  $    396,224  $    551,137  $     (1,920)
  Basic ($/share)                  $       0.01  $       0.01  $      (0.01)
  Diluted ($/share)                $       0.01  $       0.01  $      (0.01)
Capital expenditures               $  7,290,529  $  4,937,074  $ 13,156,289
Working capital                    $ 23,606,388  $ 27,781,356  $ 24,522,259
Total assets                       $ 67,176,274  $ 65,907,337  $ 46,559,397
Average daily production (sales)
  Crude oil (bbls/d)(2)                     221           250           0.1
  Natural gas (mcf/d)                     1,432         1,471           204
  NGLs (bbls/d)                              12             2             2
  Total (boe/d)                             472           498            36
Average realized price
  Crude oil ($/bbls)(2)            $      95.67  $      99.89  $      81.55
  Natural gas ($/mcf)              $       2.90  $       3.76  $       2.41
  NGLs ($/bbls)                    $      95.01  $      76.22  $      91.94
Netback ($/boe)
  Petroleum and natural gas sales  $      56.37  $      63.33  $      23.50
  Royalties                        $      (2.98) $      (2.42) $      (3.11)
  Operating expenses (incl.
   transportation)                 $     (12.59) $     (17.48) $      (8.57)
Operating netbacks(3)              $      40.80  $      43.43  $      11.81
Share Information
Common shares outstanding            51,310,350    51,310,530    40,785,037
Weighted average common shares
 outstanding                         51,310,350    42,961,889    24,167,780
(1)  Funds flow from operations are petroleum and natural gas revenue and
     interest income less producing and operating expenses, royalties,
     exploration and evaluation expenditures and general and administrative
(2)  References to crude oil include condensate.
(3)  Operating netbacks are determined by deducting royalties, production
     expenses and transportation and selling expenses from petroleum and
     natural gas revenue.

Fiscal 2014 Capital Budget

Donnycreek's updated capital budget for fiscal 2014 allocates approximately $49.2 million to its Kakwa and Wapiti properties which are expected to be funded from cash on hand and funds flow from operations. In addition to the operations outlined below at Kakwa and Wapiti, the updated fiscal 2014 budget includes the drilling of 5 additional Montney wells at Kakwa to bring the total number of wells drilled to 12 gross (5.5 net) on our 18.75 gross (8.75 net) section Kakwa land block by July 31, 2014.

Operations Update - Kakwa

Donnycreek's seventh horizontal Montney well spud on November 10, 2013 targeting the middle Montney formation from a surface location at 16-8-63-5 W6M with a bottom hole location at 16-17-63-5 W6M (the "16-17 Well"). The 16-17 Well (50% working interest) has been drilled to a total measured depth of 5,191 metres from the same drilling pad as our discovery well at 13-17-63-5 W6M and completion operations are expected to commence in January 2014.

Completion operations are underway at Donnycreek's sixth horizontal middle Montney well (50% working interest) at 16-25-63-6 W6M (the "16-25 Well"). The Company expects to flow the well back in the next two weeks.

The recently completed and tested 5-23-63-6 W6M horizontal middle Montney well (the "5-23 Well") (results reported - October 16, 2013) (50% working interest) is tied-into existing Company owned infrastructure, including the 16-7-63-5 W6M compressor station and condensate stabilization facility (the "16-7 Facility"). The 16-7 Facility (50% working interest) is designed to handle 3,000 barrels per day of condensate and 15 mmcf per day of natural gas. Construction of the 16-7 Facility is complete and start up and commissioning of the facility is expected before the end of December 2013.

All three of these wells are expected to be on production by February 1, 2014 together with the three existing producing middle Montney Kakwa wells.

Operations Update - Wapiti

At Wapiti, the Company is in process of drilling a 75% operated working interest stratigraphic Montney test well. The well is being drilled from a location at 13-26-64-8 W6M (the "13-26 Well") and will log and evaluate the Montney formation and is programmed to allow for the well to be kicked off horizontally.

Donnycreek holds a 75% working interest in 328 gross (246 net) sections of Montney P&NG rights at Wapiti.

Donnycreek is a Calgary based public oil and gas company which holds approximately 438 gross (313 net) sections of petroleum and natural gas rights, with an average working interest of approximately 70%, prospective primarily for Montney liquid rich natural gas resource development all of which are located in the Deep Basin area of west-central Alberta.

Further information relating to Donnycreek is also available on its website at www.donnycreekenergy.com.


Malcolm F.W. Todd, President and Chief Executive Officer

ADVISORY ON FORWARD-LOOKING STATEMENTS: This news release contains certain forward-looking information and statements ("forward-looking statements") within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking statements. In particular, but without limiting the foregoing, this news release contains statements concerning the capital budget for fiscal 2014 and the funding thereof, the fiscal 2014 drilling program, the timing of the completion and testing of the 16-17 Well, the timing of the flow-back of the 16-25 Well, the 16-7 Facility start-up, the drilling of the 13-26 Well, the timing of production for the 16-17 Well, the 16-25 Well and the 5-23 Well and the primary prospective zone for development on the Company's lands.

Forward-looking statements are based on a number of material factors, expectations or assumptions of Donnycreek which have been used to develop such statements and information but which may prove to be incorrect. Although Donnycreek believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because Donnycreek can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Further, events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including, without limitation: whether the Company's exploration and development activities respecting its prospects will be successful or that material volumes of petroleum and natural gas reserves will be encountered, or if encountered can be produced on a commercial basis; the ultimate size and scope of any hydrocarbon bearing formations on its lands; that drilling operations on its lands will be successful such that further development activities in these areas are warranted; that Donnycreek will continue to conduct its operations in a manner consistent with past operations; results from drilling and development activities will be consistent with past operations; the general stability of the economic and political environment in which Donnycreek operates; drilling results;

field production rates and decline rates; the general continuance of current industry conditions; the timing and cost of pipeline, storage and facility construction and expansion and the ability of Donnycreek to secure adequate product transportation; future commodity prices; currency, exchange and interest rates; regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which Donnycreek operates; and the ability of Donnycreek to successfully market its oil and natural gas products; changes in commodity prices; changes in the demand for or supply of the Company's products; unanticipated operating results or production declines; changes in tax or environmental laws, changes in development plans of Donnycreek or by third party operators of Donnycreek's properties, increased debt levels or debt service requirements; inaccurate estimation of Donnycreek's oil and gas reserve and resource volumes; limited, unfavourable or a lack of access to capital markets; increased costs; a lack of adequate insurance coverage; the impact of competitors; and certain other risks detailed from time-to-time in Donnycreek's public disclosure documents. Additional information regarding some of these risks, expectations or assumptions and other factors may be found under in the Company's Annual Information Form for the year ended July 31, 2013 and the Company's Management's Discussion and Analysis prepared for the year ended July 31, 2013. The reader is cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements contained in this news release are made as of the date hereof and Donnycreek undertakes no obligations to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

In this news release the calculation of barrels of oil equivalent (boe) is calculated at a conversion rate of six thousand cubic feet (6 mcf) of natural gas for one barrel (bbl) of oil based on an energy equivalency conversion method. 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 to 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.


Donnycreek Energy Inc.
Malcolm Todd
President and Chief Executive Officer
(604) 684-2356
(604) 684-4265 (FAX)

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Cloud Expo Breaking News
Simply defined the SDDC promises that you’ll be able to treat “all” of your IT infrastructure as if it’s completely malleable. That there are no restrictions to how you can use and assign everything from border controls to VM size as long as you stay within the technical capabilities of the devices. The promise is great, but the reality is still a dream for the majority of enterprises. In his session at 14th Cloud Expo, Mark Thiele, EVP, Data Center Tech, at SUPERNAP, will cover where and how a business might benefit from SDDC and also why they should or shouldn’t attempt to adopt today.
MapDB is an Apache-licensed open source database specifically designed for Java developers. The library uses the standard Java Collections API, making it totally natural for Java developers to use and adopt, while scaling database size from GBs to TBs. MapDB is very fast and supports an agile approach to data, allowing developers to construct flexible schemas to exactly match application needs and tune performance, durability and caching for specific requirements.
APIs came about to help companies create and manage their digital ecosystem, enabling them not only to reach more customers through more devices, but also create a large supporting ecosystem of developers and partners. While Facebook, Twitter and Netflix were the early adopters of APIs, large enterprises have been quick to embrace the concept of APIs and have been leveraging APIs as a connective tissue that powers all interactions between their customers, partners and employees. As enterprises embrace APIs, some very specific Enterprise API Adoption patterns and best practices have started emerging. In his session at 14th Cloud Expo, Sachin Agarwal, VP of Product Marketing and Strategy at SOA Software, will talk about the most common enterprise API patterns and will discuss how enterprises can successfully launch an API program.
The social media expansion has shown just how people are eager to share their experiences with the rest of the world. Cloud technology is the perfect platform to satisfy this need given its great flexibility and readiness. At Cynny, we aim to revolutionize how people share and organize their digital life through a brand new cloud service, starting from infrastructure to the users’ interface. A revolution that began from inventing and designing our very own infrastructure: we have created the first server network powered solely by ARM CPU. The microservers have “organism-like” features, differentiating them from any of the current technologies. Benefits include low consumption of energy, making Cynny the ecologically friendly alternative for storage as well as cheaper infrastructure, lower running costs, etc.
Next-Gen Cloud. Whatever you call it, there’s a higher calling for cloud computing that requires providers to change their spots and move from a commodity mindset to a premium one. Businesses can no longer maintain the status quo that today’s service providers offer. Yes, the continuity, speed, mobility, data access and connectivity are staples of the cloud and always will be. But cloud providers that plan to not only exist tomorrow – but to lead – know that security must be the top priority for the cloud and are delivering it now. In his session at 14th Cloud Expo, Kurt Hagerman, Chief Information Security Officer at FireHost, will detail why and how you can have both infrastructure performance and enterprise-grade security – and what tomorrow's cloud provider will look like.
Today, developers and business units are leading the charge to cloud computing. The primary driver: faster access to computing resources by using the cloud's automated infrastructure provisioning. However, fast access to infrastructure exposes the next friction point: creating, delivering, and operating applications much faster. In his session at 14th Cloud Expo, Bernard Golden, VP of Strategy at ActiveState, will discuss why solving the next friction point is critical for true cloud computing success and how developers and business units can leverage service catalogs, frameworks, and DevOps to achieve the true goal of IT: delivering increased business value through applications.
Web conferencing in a public cloud has the same risks as any other cloud service. If you have ever had concerns over the types of data being shared in your employees’ web conferences, such as IP, financials or customer data, then it’s time to look at web conferencing in a private cloud. In her session at 14th Cloud Expo, Courtney Behrens, Senior Marketing Manager at Brother International, will discuss how issues that had previously been out of your control, like performance, advanced administration and compliance, can now be put back behind your firewall.
More and more enterprises today are doing business by opening up their data and applications through APIs. Though forward-thinking and strategic, exposing APIs also increases the surface area for potential attack by hackers. To benefit from APIs while staying secure, enterprises and security architects need to continue to develop a deep understanding about API security and how it differs from traditional web application security or mobile application security. In his session at 14th Cloud Expo, Sachin Agarwal, VP of Product Marketing and Strategy at SOA Software, will walk you through the various aspects of how an API could be potentially exploited. He will discuss the necessary best practices to secure your data and enterprise applications while continue continuing to support your business’s digital initiatives.
The revolution that happened in the server universe over the past 15 years has resulted in an eco-system that is more open, more democratically innovative and produced better results in technically challenging dimensions like scale. The underpinnings of the revolution were common hardware, standards based APIs (ex. POSIX) and a strict adherence to layering and isolation between applications, daemons and kernel drivers/modules which allowed multiple types of development happen in parallel without hindering others. Put simply, today's server model is built on a consistent x86 platform with few surprises in its core components. A kernel abstracts away the platform, so that applications and daemons are decoupled from the hardware. In contrast, networking equipment is still stuck in the mainframe era. Today, networking equipment is a single appliance, including hardware, OS, applications and user interface come as a monolithic entity from a single vendor. Switching between different vendor'...
Cloud backup and recovery services are critical to safeguarding an organization’s data and ensuring business continuity when technical failures and outages occur. With so many choices, how do you find the right provider for your specific needs? In his session at 14th Cloud Expo, Daniel Jacobson, Technology Manager at BUMI, will outline the key factors including backup configurations, proactive monitoring, data restoration, disaster recovery drills, security, compliance and data center resources. Aside from the technical considerations, the secret sauce in identifying the best vendor is the level of focus, expertise and specialization of their engineering team and support group, and how they monitor your day-to-day backups, provide recommendations, and guide you through restores when necessary.
Cloud scalability and performance should be at the heart of every successful Internet venture. The infrastructure needs to be resilient, flexible, and fast – it’s best not to get caught thinking about architecture until the middle of an emergency, when it's too late. In his interactive, no-holds-barred session at 14th Cloud Expo, Phil Jackson, Development Community Advocate for SoftLayer, will dive into how to design and build-out the right cloud infrastructure.
You use an agile process; your goal is to make your organization more agile. What about your data infrastructure? The truth is, today’s databases are anything but agile – they are effectively static repositories that are cumbersome to work with, difficult to change, and cannot keep pace with application demands. Performance suffers as a result, and it takes far longer than it should to deliver on new features and capabilities needed to make your organization competitive. As your application and business needs change, data repositories and structures get outmoded rapidly, resulting in increased work for application developers and slow performance for end users. Further, as data sizes grow into the Big Data realm, this problem is exacerbated and becomes even more difficult to address. A seemingly simple schema change can take hours (or more) to perform, and as requirements evolve the disconnect between existing data structures and actual needs diverge.
SYS-CON Events announced today that SherWeb, a long-time leading provider of cloud services and Microsoft's 2013 World Hosting Partner of the Year, will exhibit at SYS-CON's 14th International Cloud Expo®, which will take place on June 10–12, 2014, at the Javits Center in New York City, New York. A worldwide hosted services leader ranking in the prestigious North American Deloitte Technology Fast 500TM, and Microsoft's 2013 World Hosting Partner of the Year, SherWeb provides competitive cloud solutions to businesses and partners around the world. Founded in 1998, SherWeb is a privately owned company headquartered in Quebec, Canada. Its service portfolio includes Microsoft Exchange, SharePoint, Lync, Dynamics CRM and more.
The world of cloud and application development is not just for the hardened developer these days. In their session at 14th Cloud Expo, Phil Jackson, Development Community Advocate for SoftLayer, and Harold Hannon, Sr. Software Architect at SoftLayer, will pull back the curtain of the architecture of a fun demo application purpose-built for the cloud. They will focus on demonstrating how they leveraged compute, storage, messaging, and other cloud elements hosted at SoftLayer to lower the effort and difficulty of putting together a useful application. This will be an active demonstration and review of simple command-line tools and resources, so don’t be afraid if you are not a seasoned developer.
SYS-CON Events announced today that BUMI, a premium managed service provider specializing in data backup and recovery, will exhibit at SYS-CON's 14th International Cloud Expo®, which will take place on June 10–12, 2014, at the Javits Center in New York City, New York. Manhattan-based BUMI (Backup My Info!) is a premium managed service provider specializing in data backup and recovery. Founded in 2002, the company’s Here, There and Everywhere data backup and recovery solutions are utilized by more than 500 businesses. BUMI clients include professional service organizations such as banking, financial, insurance, accounting, hedge funds and law firms. The company is known for its relentless passion for customer service and support, and has won numerous awards, including Customer Service Provider of the Year and 10 Best Companies to Work For.