Yangarra Resources Ltd. ("Yangarra" or the "Company") (TSX:YGR) announces its financial and operating results for the three months ended March 31, 2017.
First Quarter Highlights
Yangarra has now completed the 10 well capital program that commenced in August of 2016 with all wells on-stream as of April 2017. The Company made significant changes to its drill and complete program over the 10 well program which resulted in higher flowing pressures, higher flow rates and better than expected internal rates of return ("IRR"). These changes included drilling deeper in the Cardium zone into the bioturbated section, increasing frack intensity to more than 50 stages per mile, reducing inter-well spacing and holding more back pressure on wells in their initial production phase. Several additional changes have been identified which will improve costs and productive capability for the next drilling program. Average drilling and completion costs for the 10 well program were approximately $1,280 per lateral meter.
The earliest wells in the 10 well program are now approaching 200 days of production, initial results indicate higher flow rates and lower declines than previous drill programs. Yangarra intends to revise its Cardium type curves in June 2017 and once that process is complete the Company will provide amended guidance for 2017.
Current production, with flush volumes from new wells, is approximately 6,000 boe/d.
Yangarra continues its success in consolidating working interest in existing Cardium acreage. In addition, the Company has added 55 future locations on new lands (based on 1 mile laterals) to its inventory in 2017.
Annual General Meeting of Shareholders
The Company's Annual General Meeting of Shareholders is scheduled for 10:00 AM on Monday May 15, 2017 in the Tillyard Management Conference Centre, Main Floor, 715 5th Avenue SW, Calgary, AB.
The Company's financial statements, notes to the financial statements and management's discussion and analysis have been filed on SEDAR (www.sedar.com) and are available on the Company's website (www.yangarra.ca).
SOURCE: Yangarra Resources Ltd.
The Toronto Stock Exchange has neither approved nor disapproved the information contained herein.