Credo Announces 17% Increase in Fiscal 2012 Drilling Budget
February 01 2012 - 7:00AM
Credo Petroleum Corporation (Nasdaq:CRED), an independent oil and
gas company with significant assets in the North Dakota Bakken and
Three Forks formations, Kansas, Nebraska, the Texas Panhandle and
Oklahoma, reported today that its Board of Directors has approved a
17% increase in the Company's fiscal 2012 drilling budget.
Increasing its capital spending to $35 million allows the
Company to increase its participation in Bakken and Three Forks
drilling in fiscal 2012. Approximately 65% of the Company's
$35,000,000 drilling budget is earmarked for the Bakken and
Three Forks project.
About 20 Bakken and Three Forks wells are currently scheduled
for fiscal 2012. Individual wells are expected to cost about
$10 million, and the Company's average working interest in the
wells is estimated to be approximately 12%. The Company's
actual working interest in individual wells will range from very
small up to 20%.
As previously reported, the Company expects to finance its 2012
drilling budget from existing working capital, cash flow and $7
million to $12 million of debt financing. The increased
drilling budget is expected to require fiscal 2012 debt financing
toward the upper end of the range.
Marlis E. Smith, Jr., Chief Executive Officer, stated, "We have
great opportunity across our entire oil drilling portfolio. In
addition to increased Bakken drilling activity, we are beginning to
see more Three Forks well proposals. For 2012, we expect to double
the number of Bakken and Three Forks wells in which the Company
owns an interest. We are optimistic about oil prices and we
are working to accelerate realization of the value of our oil
drilling projects."
About Credo Petroleum
Credo Petroleum Corporation (Nasdaq:CRED) is a publicly traded
independent oil and gas company headquartered in Denver,
Colorado. The Company is engaged in the exploration for and
the acquisition, development and marketing of crude oil and natural
gas in the Mid-Continent and Rocky Mountain regions with operations
primarily in North Dakota, Kansas, Nebraska, Texas Panhandle and
Oklahoma. Credo uses advanced technologies to systematically
explore for oil and gas and, through its patented Calliope Gas
Recovery System, to recover stranded reserves from depleted gas
reservoirs.
For more information about the company, visit
http://www.credopetroleum.com.
This press release includes certain statements that may be
deemed to be "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended. All
statements included in this press release, other than statements of
historical facts, address matters that the company reasonably
expects, believes or anticipates will or may occur in the
future. Such statements are subject to various assumptions,
risks and uncertainties, many of which are beyond the control of
the company. Investors are cautioned that any such statements
are not guarantees of future performance and that actual results or
developments may differ materially from those described in the
forward-looking statements. Investors are encouraged to read
the "Forward-Looking Statements" and "Risk Factors" sections
included in the company's Annual Report on Form 10-K for more
information. Although the company may from time to time
voluntarily update its prior forward looking statements, it
disclaims any commitment to do so except as required by securities
laws.
CONTACT: Alford B. Neely
Chief Financial Officer
or
Michael D. Davis
Chief Executive Officer (Interim)
303-297-2200
Web Site: www.credopetroleum.com
iShares Trust (NASDAQ:CRED)
Historical Stock Chart
From Jun 2024 to Jul 2024
iShares Trust (NASDAQ:CRED)
Historical Stock Chart
From Jul 2023 to Jul 2024