Result Energy Inc. announces 2006 year-end reserves and F&D costs



    CALGARY, April 20 /CNW/ - Result Energy Inc. ("Result", TSX Venture: RTE)
is pleased to announce that it achieved 45% year-over-year growth in total
proven oil and natural gas reserves, and 57% growth in total proved plus
probable ("P + PA") reserves at December 31, 2006. Factoring in 2006
production volumes, the net increases were 66% for proven and 71% for P+PA
reserves.

    
    A summary of Result reserve volumes and net present values under NI 51-101
are as follows:

    Reserve volumes (gross, Forecast prices case)
                                                                           %
    As at December 31                         2006         2005       change
    -------------------------------------------------------------------------
                                             Mmcfe        Mmcfe

    Total Proved                          12,210.3      8,450.1         44.5%
    Probable additional reserves           8,377.3      4,650.6         80.1%
    -------------------------------------------------------------------------
    Proved plus probable additional
     reserves ("P + PA")                  20,587.6     13,100.7         57.1%
    -------------------------------------------------------------------------

                                              Mstb         Mstb
    P + PA reserves, on a boe basis        3,431.3      2,183.5         57.1%
    -------------------------------------------------------------------------



    Dec 31, 2006 Net Present Values ("NPV", pre tax)

    Forecast prices and Costs
     case ($ millions)                           0%           5%          10%
    -------------------------------------------------------------------------
    Total proved                              48.3         38.3         32.0
    Probable additional                       39.2         23.0         15.7
    -------------------------------------------------------------------------
    Total P + PA                              87.5         61.3         47.7
    -------------------------------------------------------------------------

    The above table represents estimated NPVs for the Company's oil & gas
reserves only, and do not include the value of undeveloped land, seismic data,
and income tax pools. The Company's full NI 51-101 F1 report on oil and
natural gas reserves will be available for review on SEDAR.

    Finding & Development ("F&D") costs - based on the total reserve
additions, Result continued to deliver exceptionally low F&D costs in 2006.


                                                      2006    3-Year Average
    Proved plus Probable reserves
    -----------------------------
    including future capital                   $ 13.42/boe       $ 13.14/boe
    excluding future capital                   $ 10.59/boe       $ 11.78/boe

    Proved reserves
    ---------------
    including future development capital       $ 20.87/boe       $ 19.85/boe
    excluding future capital                   $ 17.84/boe       $ 18.39/boe



    Financial highlights                      2006         2005         2004
                                       --------------------------------------
    Total assets                       $41,116,693  $30,645,344  $14,931,859
    Revenue, before royalties           11,287,611    8,019,864    3,409,213
    Net income (loss) for the period    (2,487,940)    (744,009)    (107,290)
    Net income (loss)
     per share - basic                       (0.05)       (0.02)       (0.00)
    Cash flow from operations            4,057,170    2,667,371    1,379,720
    Cash flow per share - basic              $0.09        $0.08        $0.06
    Shares outstanding for the year -
     weighted average, basic            47,162,684   34,535,639   22,147,950
    Total shares outstanding
     as at year-end                     47,658,138   36,021,650   31,970,637


    Result also is pleased to announce the following updates:

        -  Result's current field estimated production volume is
           approximately 1,425 boed, including approximately 115 boed of new
           gas volumes which were recently added in the Company's Clearhills,
           Alberta project area. Approximately 50 boed has been shut-in in
           the greater Peace River Arch area due to wet surface conditions.

        -  Result carries an inventory of approximately 70 development and
           exploration locations. Subject to access conditions and rig
           availability, at least 15 of these locations are expected to be
           drilled during the balance of 2007.

        -  Result's existing bank revolving credit facility is in process of
           an annual review, and based on expanded reserve volumes, it is
           anticipated that the facility will be expanded from its current
           limit of $12.5 million to at least $14 million. The bank facility,
           plus increasing cash flow from operations, gives Result
           flexibility in expanding exploration and development activities,
           and pursuing potential property acquisitions.

        -  Bill Matheson, President & CEO, will be presenting at the upcoming
           SEPAC Oil & Gas Investor conference in Calgary (Westin Hotel) on
           May 30, 2007.

        -  Result's Annual General Meeting will be held at the Calgary
           Petroleum Club on May 29, 2007 at 3:00 PM
    

    "Gross" totals represent the Company's working interest share of
reserves, before deduction of royalty interests. Estimated Net Present Values
("NPV") are prepared under NI 51-101 for both a Forecast prices and costs and
a Constant prices and costs scenario, and such values are prior to the
provision for income taxes, interest, debt service charges, and general and
administrative expenses. Actual oil and natural gas reserves and future
production of the disclosed oil and natural gas reserves does not represent
the fair market value of these reserves. Result has applied the industry
standard of converting natural gas volumes at six thousand cubic feet per
barrel (6 mcf/bbl) of natural gas to barrels of oil equivalence ("boe"). Boe
units may be misleading, particularly if used in isolation. "Mmcfe" is defined
as a million cubic feet equivalent (and is used herein to convert reserves of
oil, natural gas, and natural gas liquids to a common measure).

    Investors are cautioned that this news release contains forward looking
information. Such information is subject to known and unknown risks,
uncertainties and other factors that could influence actual results or events
and cause actual results or events to differ materially from those stated,
anticipated or implied in the forward-looking information. Readers are
cautioned not to place undue reliance on forward-looking information, as no
assurances can be given as to future results, levels of activity or
achievements.

    Result Energy Inc. is a publicly traded Canadian energy company involved
in the exploration and development of oil and gas properties in western
Canada. Result trades on the TSX Venture Exchange under the symbol "RTE".

    The TSX Venture Exchange does not accept responsibility for the adequacy
    and accuracy of this release.

    %SEDAR: 00012334E




For further information:

For further information: William Matheson, President & CEO, Result
Energy Inc., (403) 777-0007

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RESULT ENERGY INC.

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