Eagle Rock Increases 2008 Reserves by 38% from 2007
Eagle Rock has announced the results of its independent reserve evaluation prepared by GLJ Petroleum Consultants Ltd. in accordance with National Instrument 51-101 - Standards of Disclosure for Oil and Gas activities (NI51-101) for the year ended December 31, 2008.
- Proved + probable (P+P) reserves increased 38% to 2.531 million bbls of oil equivalent ("Boe") at December 31, 2008 from 1.837 million Boe at the end of 2007. Crude oil and liquids comprises of 88% of proved + probable reserves reflecting Eagle Rock's oil focus.
- Total proved reserves increased 23% to 1.477 million Boe at December 31, 2008 from 1.200 million Boe at the end of 2007. Crude oil and liquids comprises 85% of total proved reserves again demonstrating Eagle Rock's oil focus.
- The Red Coulee, AB property showed the most significant increases:
- P+P reserves increased by 72% to 1.305 million boe from 0.727 million boe
- Total Proved reserves increased by 51% to 0.671 million boe from 0.443 million boe
- December 31, 2008 P+P reserves included reserves from newly acquired properties at Beverley, Saskatchewan and Conrad, Alberta with a net present value at 10% (PV10) of $5.774 million. These properties were the major assets of three private companies acquired December 15, 2009. The costs to acquire these reserves were $17.08/boe (P+P) and $19.21 per total proven boe.
- Proved + probable reserves life index ("RLI") is 14.2 years and proved RLI is 10.3 years based on 2008 production of 178,240 boe.