Key Developments: Surge Energy Inc (SGY.TO)
5.18CAD
19 Jun 2013
$-0.08 (-1.52%)
$5.26
$5.26
$5.26
$5.16
1,182,209
2,418,517
$8.85
$2.68
Latest Key Developments (Source: Significant Developments)
Cenovus Energy Inc Sells Shaunavon Asset To Surge Energy Inc For CAD240 Million-Reuters
Reuters reported that Cenovus Energy Inc said that Surge Energy Inc will pay CAD240 million ($236 million) for its properties in the Shaunavon tight oil field in Saskatchewan. Full Article
Surge Energy Inc Announces Closing of Non-Core Asset Sale
Surge Energy Inc announced that it has closed the sale of its previously announced non-core assets in North Dakota. The non-core, primarily non-operated assets in North Dakota were sold to a Canadian oil and gas producer for a total of USD42.7 million. Full Article
Surge Energy Inc Appoints Paul Colborne As President And Chief Executive Officer; Announces Sale Of Non-Core Assets
Surge Energy Inc announced that the Board of Directors have unanimously agreed to appoint Mr. Paul Colborne as the President and Chief Executive Officer (CEO) of Surge, effective immediately. Mr. Colborne will also continue on as the Chairman of the Company. The Board also announced that Mr. Dan O'Neil will be retiring from his role as CEO and President of the Company. Surge has executed a formal purchase and sale agreement with a Canadian oil and gas producer to sell non-core, primarily non-operated assets in North Dakota for a purchase price of approximately USD42.75 million. Closing of this transaction is anticipated to occur on or around May 31, 2013. The non-core assets being sold comprise production of approximately 650 barrels of oil per day, with independently engineered P+P reserves of 2.2 million boe, and a net present value of $36.8 million (discounted at 10% before tax as of December 31, 2012). The Company expects a reduction in borrowing base of $13 million as a result of the sale, resulting in a bank line of $277 million. The sale of Surge's assets in North Dakota is the first step in implementing changes in the Company's business plan to maximize shareholder value, strengthen the Company's financial flexibility and support a sustainable business model. Macquarie Capital Markets Canada Ltd. is acting as lead financial advisor to Surge with respect to the above. National Bank Financial Inc. is acting as financial advisor to Surge. Full Article
Surge Energy Inc Issues FY, Q1, Q2, Q3, And Q4 2013 Production Guidance; Issues FY 2013 FFO Guidance
Surge Energy Inc announced that with fiscal 2013 budget, it expects to achieve solid growth in average production per share and funds from operations (FFO) per share while maintaining its balance sheet. Based on fiscal 2013 guidance, the Company is forecasting growth in funds from operation per basic share of more than 250% since the Company was recapitalized in 2010 with a compound annual growth rate of more than 50% over that time. The Company expects average production of 10,300 boe per day (73% oil and NGLs) and exit (December Average) production of 11,500 boe per day (73% oil and NGLs) and average FFO per share (basic) of $1.55 for fiscal 2013. The Company expects average production of 9,600 boe per day for the first quarter of 2013, 10,100 boe per day for second quarter of 2013, 10,350 boe per day for the third quarter of 2013, and 11,165 for the fourth quarter of 2013. Full Article
Surge Energy Inc Reaffirms FY 2012 Production Guidance
Surge Energy Inc announced that it has drilled, completed and placed on production all 22 gross (17.9 net) planned wells in the fourth quarter of 2012. As such, Surge is well positioned to meet its targeted exit production guidance of 11,000 boe per day for fiscal 2012. Full Article
Surge Energy Inc Reduces FY 2012 Production And FFO Guidance
Surge Energy Inc. revised fiscal 2012 production guidance and announced that it expects average production of 9,100 boe/d (70% oil & NGLs) and exit production of 11,000 boe/d (73% oil & NGLs) for fiscal 2012. The Company also announced that it expects Funds from Operations (FFO) per basic share of $1.36 for fiscal 2012. Full Article
Surge Energy Inc. Reaffirms FY 2012 Production Guidance
Surge Energy Inc. reiterated its fiscal 2012 production guidance and announced that it expects average production of 9,750 boe/d (72% oil & NGLs) and exit production of 11,000 boe/d (77% oil & NGLs) for fiscal 2012. Full Article
Surge Energy Inc. Inc. Announces 1,200 bbl/d Private Company Acquisition of Focused Slave Point/Gilwood Light Oil Assets; Reaffirms FY 2011 Production Guidance; Issues FY 2012 Production Guidance
Surge Energy Inc. announced that it has entered into an agreement (the Agreement) to acquire a 1,200 bbl/d (100% light oil) private oil and gas company (PrivateCo) with focused Slave Point/Gilwood light oil assets in the Gift/Nipisi area of Western Alberta. Total consideration is approximately $106 million, consisting of $18.5 million in cash, 7.9 million Surge common shares and assumed net debt at closing of approximately $14.5 million (the Acquisition). The Acquisition adds a new high impact light oil resource play to Surge's portfolio. The Acquisition is expected to close on or before January 6, 2012. Holders of approximately 67% of the common shares of PrivateCo have agreed to enter into lock-up agreements with Surge, pursuant to which they have agreed to tender their shares to Surge. The Board of Directors of PrivateCo has unanimously approved the Acquisition and recommended that the shareholders of PrivateCo tender their shares to Surge. Surge announced that it is on track to meet or exceed fiscal 2011 exit guidance of 7,800 boe/d. For fiscal 2012, Surge expects average production of 9,750 boe/d (~74% oil & NGLs) and exit production of 11,000 boe/d (~77% oil & NGLs). Full Article
Surge Energy Inc. Raises FY 2011 Production Guidance
Surge Energy Inc. announced that it expects an upwardly revised fiscal 2011 exit production rate of 7,800 boe per day, a 73% increase over the fiscal 2010 exit of 4500 boe per day, with oil and NGL production weighting increasing from 58% in the fourth quarter of 2010 to approximately 67% (62% oil and 5% NGLs) of 2011 exit production. Full Article
Surge Energy Inc. Completes $60 Million Bought Deal Financing
Surge Energy Inc. announced that it has completed the previously announced $60 million bought deal financing. A total of 6,897,000 Surge common shares have been issued at a price of $8.70 per share for gross proceeds of approximately $60 million. The syndicate of underwriters was led by National Bank Financial Inc. and included: FirstEnergy Capital Corp., GMP Securities L.P., Scotia Capital Inc., CIBC World Markets Inc., Dundee Securities Ltd., Cormark Securities Inc. and Macquarie Capital Markets Canada Ltd. The Offering was completed by way of a short form prospectus. Net proceeds from the Offering will be used to temporarily reduce bank indebtedness owing under the existing credit facility, and to use the availability created thereunder to fund: ongoing exploration and development activities, potential land and asset acquisitions and general corporate purposes. Full Article
Cenovus sells Shaunavon asset to Surge for C$240 mln
CALGARY, Alberta, June 11 - Oil sands developer Cenovus Energy Inc said on Tuesday that Surge Energy Inc will pay C$240 million ($236 million) for its properties in the Shaunavon tight oil field in Saskatchewan.
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