from Tenth Avenue Petroleum Corp. (isin : CA88075A1021)
Tenth Avenue Petroleum Announces Third Quarter 2024 Financial & Operating Results
NOT FOR DISTRIBUTION IN THE UNITED STATES OR DISSEMINATION IN THE UNITED STATES
CALGARY, AB / ACCESSWIRE / November 26, 2024 / Tenth Avenue Petroleum Corp. ("TPC" or the "Company") (TSXV:TPC) is pleased to announce its financial and operating results for the three and nine months ended September 30, 2024. The associated management's discussion and analysis ("MD&A") and unaudited interim financial statements for the three and nine months ended September 30, 2024, can be found at www.sedarplus.ca and www.tenthavenuepetroleum.com
The Company's key achievements in the third quarter of 2024 included the following:
Executed Purchase and Sales Agreement to acquire 82 boe/d (492 mcf/d).
Achieved production average of 75 boe/d (97% oil & NGLs).
Closed first tranche of its non-brokered private placement for gross proceeds of $417,000.
During the third quarter the Company executed a Purchase and Sales Agreement ("PSA") to acquire (the "Acquisition") approximately 82 boe/d (492 mcf/d) of low decline, long life producing natural gas assets located northeast of Brooks, Alberta. The Acquisition provides gas wells, surface facilities, pipeline network and certain multi-zone upside over 32 gross (16 net) sections of contiguous land at Patricia and Dinosaur area. The acquisition will be paid through the issuance of 100% shares, is expected to close on or about November 29, 2024, and is subject to customary closing conditions including receiving no right of first refusal notice. The region has seen significant recent activity with SLB selling its interest in the Palliser Block on October 17, 2024, as rapid transition to horizontal drilling, with producers targeting the Mannville Group, including the Basal Quartz, Ellerslie, Glauconitic zones, among other prospective intervals.
Q3 2024 OPERATIONAL AND FINANCIAL HIGHLIGHTS
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||
($) | 2024 | 2023 | % change | 2024 | 2023 | % change | ||||||||||||||||||
Total oil, natural gas and processing revenue | 687,097 | 1,058,682 | (35 | ) | 2,276,274 | 3,023,935 | (25 | ) | ||||||||||||||||
Cash flow from operating activities | 45,986 | 2,195 | 1995 | 359,841 | 27,738 | 1197 | ||||||||||||||||||
Per share - basic | - | - | - | 0.01 | - | - | ||||||||||||||||||
Per share - diluted | - | - | - | 0.01 | - | - | ||||||||||||||||||
Adjusted funds flow (1) | (86,118 | ) | 60,731 | (242 | ) | (126,619 | ) | (8,701 | ) | (1,355 | ) | |||||||||||||
Per share - basic (2) | - | - | - | - | - | - | ||||||||||||||||||
Per share - diluted (2) | - | - | - | - | - | - | ||||||||||||||||||
Net income (loss) | (244,907 | ) | (186,240 | ) | (32 | ) | (694,001 | ) | (920,946 | ) | 25 | |||||||||||||
Per share - basic | (0.01 | ) | - | (100 | ) | (0.02 | ) | (0.02 | ) | - | ||||||||||||||
Per share - diluted | (0.01 | ) | - | (100 | ) | (0.02 | ) | (0.02 | ) | - | ||||||||||||||
Working capital debt (surplus) (1) | 598,971 | (82,510 | ) | (826 | ) | 598,971 | (82,510 | ) | (826 | ) | ||||||||||||||
Capital expenditures | 229,955 | 70,668 | 225 | 522,451 | 466,927 | 12 | ||||||||||||||||||
Weighted average shares outstanding | ||||||||||||||||||||||||
Basic | 39,944,100 | 39,944,100 | - | 39,944,100 | 39,926,518 | - | ||||||||||||||||||
Diluted | 39,944,100 | 39,944,100 | - | 39,944,100 | 39,926,518 | - | ||||||||||||||||||
Share Trading | ||||||||||||||||||||||||
High | $0.13 | $0.18 | (28 | ) | $0.16 | $0.27 | (41 | ) | ||||||||||||||||
Low | $0.07 | $0.12 | (42 | ) | $0.07 | $0.12 | (42 | ) | ||||||||||||||||
Trading volume | 913,317 | 1,207,301 | (24 | ) | 1,806,942 | 5,025,734 | (64 | ) | ||||||||||||||||
Average daily production | ||||||||||||||||||||||||
Oil (bbls/d) | 73 | 117 | (28 | ) | 87 | 117 | (26 | ) | ||||||||||||||||
NGL (bbls/d) | - | 4 | (100 | ) | 2 | 3 | (33 | ) | ||||||||||||||||
Natural Gas (mcf/d) | 14 | 130 | (89 | ) | 46 | 193 | (76 | ) | ||||||||||||||||
Total (boe/d) | 75 | 142 | (47 | ) | 97 | 153 | (37 | ) | ||||||||||||||||
Average realized sale prices, before financial instruments | ||||||||||||||||||||||||
Oil ($/bbls) | 96.80 | 91.10 | 6 | 88.93 | 85.18 | 4 | ||||||||||||||||||
Natural gas liquids ($/bbls) | 50.13 | 22.79 | 120 | 22.07 | 39.94 | (45 | ) | |||||||||||||||||
Natural Gas ($/mcf) | 2.15 | 3.70 | (42 | 3.92 | 3.47 | 13 | ||||||||||||||||||
Operating netback, after derivatives ($/boe) | 14.11 | 19.20 | (27 | ) | 14.26 | 12.09 | 18 | |||||||||||||||||
Adjusted funds flow ($/boe) | (12.41 | ) | 4.63 | (368 | ) | (4.77 | ) | (0.21 | ) | (2171 | ) | |||||||||||||
Capital Management Measure; See "Non-IFRS Financial Measures, Non-IFRS Financial Ratios and Capital Management Measures" Section of the MD&A.
Non-IFRS Financial Ratio; See "Non-IFRS Financial Measures, Non-IFRS Financial Ratios and Capital Management Measures" Section of the MD&A.
Revenues in Q3/24 decreased by 14% to $652,735 from Q2/24 revenue of $761,211 due to a 19% decrease in production and a 4% decrease in realized WTI prices. Production decreased to 75 boe/d (97% Oil & NGLs) due to shut in production curtailment and low gas prices. During the third quarter the company completed its annual summer maintenance program at both Hays and Murray Lake, directly impacting oil production during the quarter, which has since been restored. During the third quarter the Company saw a $9,758 realized gain on financial commodity contracts, royalty expenses of $98,329, and net production expenses of $466,213, resulting in an operating netback of $14.11 per boe (after derivates).
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