Bellatrix Exploration Ltd. ("Bellatrix" or the "Company") (TSX, NYSE: BXE) is pleased to announce that it has completed the previously announced sale of certain non-core assets in the Strachan area of Alberta (the "Strachan asset sale").
Concurrent with the closing of the Strachan asset sale, the borrowing base under the Company's syndicated revolving credit facilities (the "Credit Facilities") was reconfirmed at $120 million, unchanged from prior levels, providing the Company with approximately $105 million of available liquidity post-closing (before deducting outstanding letters of credit). Other than approximately $15 million outstanding on the Credit Facilities, the Company has no debt maturities until 2020 and 2021.
UPDATED 2017 GUIDANCE
Bellatrix announces updated 2017 guidance, with continued investment in the low cost Spirit River liquids rich natural gas play, which is supported by strategic infrastructure ownership and operatorship. Bellatrix's Board of Directors has approved a net capital expenditure budget of $120 million in 2017, representing an increase of $15 million. The increase includes the addition of approximately four net Spirit River wells to be drilled during the second half of the year, bringing the total anticipated second half drilling program to approximately 13 net wells.
By reinvesting less than half of the gross proceeds of the Strachan asset sale into the Company's Spirit River play, Bellatrix expects to maintain its previously announced 2017 average daily and exit production volumes at 34,500 boe/d and 35,500 boe/d, respectively, while also reducing outstanding indebtedness, thereby enhancing the Company's already strong liquidity position.
Bellatrix Exploration Ltd. is a Western Canadian based growth oriented oil and gas company engaged in the exploration for, and the acquisition, development and production of oil and natural gas reserves in the provinces of Alberta, British Columbia and Saskatchewan. Common shares of Bellatrix trade on the Toronto Stock Exchange and on the New York Stock Exchange under the symbol BXE.
SOURCE: Bellatrix Exploration Ltd
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