Traverse Energy Ltd.
TSX VENTURE : TVL

November 19, 2009 17:11 ET

Traverse Energy Ltd. (TSX Venture: TVL) Releases Third Quarter 2009 Results

CALGARY, ALBERTA--(Marketwire - Nov. 19, 2009) - Traverse Energy Ltd. (TSX VENTURE:TVL)



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HIGHLIGHTS Three Months Ended Nine Months Ended
Sept. 30 Sept. 30
(unaudited) (unaudited)
($000's, except per share amounts) 2009 2008 2009 2008
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Revenue $ 120 $ 384 $ 403 $ 1,176
Net income (loss) (515) 122 (545) 412
Per share - basic and diluted (0.02) 0.01 (0.03) 0.03
Funds flow from operations(i) 31 270 156 696
Net capital expenditures 259 139 500 293
Shareholders' equity 7,061 5,241 7,061 5,241
Working capital 4,089 2,514 4,089 2,514
Production (BOE/d)(6:1) 47 63 48 66
Average realized price
Natural gas ($/Mcf) 3.09 9.93 4.05 9.52
Oil and NGL ($/bbl) 62.11 112.67 55.37 104.68
Common shares
Weighted average (millions) 20.9 12.9 16.2 12.9
Outstanding (millions) 20.9 12.9 20.9 12.9
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(i)Management uses funds flow from operations (before changes in non-cash
working capital) to analyze operating performance. Funds flow as
presented does not have any standardized meaning prescribed by Canadian
Generally Accepted Accounting Principles and therefore may not be
comparable with the calculation of similar measures for other entities.


OPERATIONS REVIEW

During the third quarter of 2009, Traverse became more active with increased staff and capital spending. Activities included undeveloped land acquisition in several new areas, the completion of a seismic program in central Alberta, and preparations for drilling in the fourth quarter and first quarter of 2010.

Drilling is scheduled to commence in the fourth quarter, targeting light oil and natural gas. This drilling will include 3 to 5 gross (approximately 3.5 net) wells prior to the end of 2009.

During the last few months, Traverse continued to evaluate its undeveloped land holdings of 191,000 net acres at September 30, 2009. As a result of a non-core offering of undeveloped properties in Alberta, the Company has committed to sell five properties for $377,000. Discussions are continuing with several parties on additional non-core properties.

In October, Traverse completed the sale of 4 million common shares by way of private placement for gross proceeds of $1.8 million. These funds are in addition to the existing working capital of $4 million at September 30, 2009. The Company has no debt.

Further details on the Company, including unaudited interim financial statements and related management's discussion and analysis, are available on the Company's website and SEDAR.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of the content of this release.

Contact Information

  • Traverse Energy Ltd.
    Laurie Smith
    President and Chief Executive Officer
    (403) 264-9223
    or
    Traverse Energy Ltd.
    800, 839 - 5 Avenue SW
    Calgary, AB T2P 3C8