CALGARY, Sept. 6, 2011 /CNW/ - Bellatrix Exploration Ltd. ("Bellatrix"
or the "Company") is pleased to provide the following operational
After the extremely wet spring breakup, commencing in August 2011, the
Company has four rigs drilling Cardium horizontal wells in central
Alberta and is on track to fulfill its drilling goals for the remainder
of 2011. Bellatrix currently plans to drill 36 gross wells (25.84 net)
in the second half 2011 drilling program. The Company expects to drill
approximately 27 gross Cardium horizontal wells (21.8 net) and 9 gross
Notikewin horizontal wells (4.04 net) in the West Central area of
Alberta in the second half 2011 program.
The Company's drilling success and mapping revisions have resulted in
increased inventory. The Company now has 400 net locations in the
Cardium light gravity oil play and 174 locations in the Notikewin
condensate rich gas resource play yielding over $2.1 billion in future
development expenditures based on current costs of drilling.
Bellatrix continues to focus on the development of its core assets and
conducts exploration programs utilizing its large inventory of
geological prospects. As at June 30, 2011, Bellatrix has approximately
218,067 net undeveloped acres and including all opportunities has in
excess of 900 exploitation drilling opportunities identified,
representing over 10 years of drilling inventory based on annual
cashflow. The Company continues to focus on adding Cardium prospective
The Devonian aged Duvernay shale is emerging as one of the most
promising resource plays in Canada. At the end of the second quarter of
2011, Bellatrix had acquired 49 gross (46 net) sections of Duvernay
rights. After adjusting for recent expiries, the Company now controls
44 gross (43 net) sections of Duvernay rights in West Central Alberta.
Bellatrix is currently planning to drill a horizontal Duvernay test
well on the Company's acreage in the first quarter of 2012.
Management is proposing a 2012 capital expenditure program of
approximately $180 million which is anticipated to be finalized in the
fourth quarter of 2011. Based on the timing of proposed expenditures,
downtime for anticipated plant turnarounds and normal production
declines, execution of the 2012 plan is anticipated to provide 2012
average daily production of approximately 17,000 BOE per day. The 2012
capital expenditures are expected to be directed primarily towards
horizontal drilling and completions activities in the Cardium and
Notikewin resource plays.
Bellatrix recently entered into an additional price risk management
contract consisting of a crude oil fixed price swap for 1,000 bbls/d
for the period January 1, 2012 to December 31, 2012 at a price of CDN
$90/bbl. As at September 6, 2011, Bellatrix has entered into commodity
price risk management arrangements for 2012 as follows:
Crude Oil fixed
Jan 1, 2012 to Dec. 31, 2012
Crude Oil option
Jan. 1, 2012 to Dec. 31, 2012
An updated corporate presentation is available on www.bellatrixexploration.com.
Bellatrix Exploration Ltd. is a growth oriented exploration and
production company based in Calgary, Alberta, Canada.
Forward looking statements: Certain information set forth in this news
release, including management's assessments of the future plans and
operations including drilling plans and timing thereof, 2012 capital
expenditure plan and nature of expenditures and 2012 average daily
production may contain forward-looking statements, and necessarily
involve risks and uncertainties, certain of which are beyond
Bellatrix's control, including risks associated with oil and gas
exploration, development, exploitation, production, marketing and
transportation, loss of markets and other economic and industry
conditions, volatility of commodity prices, currency fluctuations,
imprecision of reserve estimates, environmental risks, competition from
other producers, inability to retain drilling services, incorrect
assessment of value of acquisitions and failure to realize the benefits
therefrom, delays resulting from or inability to obtain required
regulatory approvals, the lack of availability of qualified personnel
or management, stock market volatility and ability to access sufficient
capital from internal and external sources and economic or industry
condition changes. Actual results, performance or achievements could
differ materially from those expressed in, or implied by, these
forward-looking statements and, accordingly, no assurance can be given
that any events anticipated by the forward-looking statements will
transpire or occur, or if any of them do so, what benefits that
Bellatrix will derive therefrom. Additional information on these and
other factors that could affect Bellatrix are included in reports on
file with Canadian securities regulatory authorities and may be
accessed through the SEDAR website ( www.sedar.com ), or at Bellatrix's website www.bellatrixexploration.com. Furthermore, the forward-looking statements contained in this news
release are made as of the date of this news release, and Bellatrix
does not undertake any obligation to update publicly or to revise any
of the included forward looking statements, whether as a result of new
information, future events or otherwise, except as may be expressly
required by applicable securities law.
BOEs may be misleading, particularly if used in isolation. A BOE
conversion ratio of 6 Mcf:1 bbl is based on an energy equivalency
conversion method primarily applicable at the burner tip and does not
represent a value equivalency at the wellhead.
SOURCE Bellatrix Exploration Ltd.
For further information:
BELLATRIX EXPLORATION LTD.
| Raymond G. Smith, P.Eng. || || || || Edward J. Brown, CA || || || || Troy Winsor |
| President & CEO || || || || Vice President, Finance & CFO || || || || Investor Relations |
| (403) 750-2420 || || || || (403) 750-2655 || || || || (800) 663-8072 |