Further growth at Activa Resources Ag

Further growth at Activa Resources AG
- 3rd OSR-Halliday horizontal well goes on production at daily production
rates of 340 BOE
- The well result confirms additional Woodbine potential at OSR-Halliday
- Confirmation of preliminary 2011 group financial performance
- 2012 Q1 production revenues rise 110% y-o-y to USD 1.72 million
Bad Homburg, 25th June 2012. Activa Resources AG, an independent oil and
gas company with operational knowhow in the development and efficient
exploitation of oil and natural gas properties, provides the following
details of its 3rd horizontal well at the OSR-Halliday Field in Leon and
Madison Counties, Texas.
The 1-3H well was drilled and fractured on schedule in March and April and
subsequently put on production at rates of up to 340 BOED. The production
performance of this well - the third of up to fifty wells - is currently
being monitored as production to date indicates that currently only half of
the 20 fractured intervals are producing.
Activa CEO Leigh A. Hooper explains: 'We expect higher flow rates from this
well as soon as this mechanical issue is remedied and that the well will
produce 300,000 - to 400,000 BOE. This result confirms again the high
production potential of the OSR-Halliday field.'
Activa plans to drill at least one additional horizontal well in 2012 to
further develop the field. This will by funded out of cash flows and under
Activa's credit facility with Texas Capital Bank. Activa estimates that
OSR-Halliday holds at least 18.6 million BOE of economically producible
primary reserves.
Activa's operational progress is illustrated by further upward revisions to
its proven oil and natural gas reserves.Activa Resources 1P (proven)
reserves rose 21% to 3.72 million BOE at 1 January 2012 (vs. 3.12 million
BOE in 2011). This is attributable primarily to a net increase in oil
reserves (+28%) vs. natural gas reserves (+7%). The PV10 value of these
reserves increased 54% to USD 77 million (PV10) and results from a major
shift of reserves from probable to proven as a result of Activa's 2011 well
successes at OSR.Halliday and Loma Field.
In the 2011 financial year Activa's revenues from the production of oil and
natural gas rose 29.2% to EUR 3.93 million while EBITDA was again positive
at EUR 1.17 million. A net loss of EUR 2.05 million was recorded (vs. EUR
0.19 million loss in 2010), resulting primarily from impairment expenses
(EUR 1.21 million) and interest costs (EUR 0.64 million). The balance sheet
total remained unchanged at EUR 13.02 million.
CEO Hooper adds: 'Activa made good progress in 2011with a 25% y-o-y
production increase to approx. 106,000 BOE, as previously reported in our
announcement on our preliminary 2011 performance. Also, by writing off
certain assets the company's balance sheet contains no residual risks. We
expect higher production levels in 2012 and were able to increase revenues
in the first quarter of 2012 by 110% y-o-y to USD 1.72 million. We also
continue to focus on our main assets with the aim of a continued shift of
reserves from probable to proven.'
Further details on the financial year 2011 can be found in the new 2011
Annual Report which will be available in English on the company's website
shortly.
The Management Board
About Activa Resources AG
Activa Resources AG is an independent oil and gas company which focuses on
the acquisition, development and exploitation of oil and natural gas
properties. Activa Resources AG is listed on the Frankfurt stock exchange
and is based in Bad Homburg, Germany. The company's management and
technical team comprise oil industry experts with many years operational
experience at major international oil companies. Further information can be
found at www.activaresources.com
Contact:
Activa Resources AG
Hessenring 107
61348 Bad Homburg
www.activaresources.com
Telephone: +49 (0)6172-483 2352
FAX: +49 (0)6172-483 2353
lah@activaresources.com
GFEI Aktiengesellschaft
Am Hauptbahnhof 6
60329 Frankfurt
www.gfei.de
Telephone: +49 (0)69-7430 3700
FAX: +49 (0)69-7430 3722
activa-resources@gfei.de
End of Corporate News
Unternehmen: Activa Resources AG - ISIN: DE0007471377