CALGARY, Alberta, March 13, 2024 (GLOBE NEWSWIRE) -- Birchcliff Energy Ltd. ("Birchcliff" or the "Corporation") (TSX: BIR) is pleased to announce that it has filed its annual audited financial statements (the "financial statements") and related management's discussion and analysis and its annual information form (the "AIF") for the financial year ended December 31, 2023 (collectively, the "Annual Filings"). The AIF contains the reserves data and other oil and gas information as required by National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities. The financial and reserves information contained in the Annual Filings is consistent with the unaudited financial and reserves information disclosed in the press release issued by Birchcliff on February 14, 2024.
CAPITAL PROGRAM UPDATE
Birchcliff's disciplined capital budget of $240 million to $260 million for 2024 reflects its commitment to maintaining a strong balance sheet, while focusing on sustainable shareholder returns and the continued development of the Corporation's world-class asset base. Birchcliff expects to bring 29 wells on production in 2024 as part of its capital program, which utilizes its latest wellbore and completions design and targets high rate-of-return wells with strong capital efficiencies and attractive paybacks.
As previously announced, Birchcliff is delaying the drilling of 13 wells until late Q2 and into Q3 2024, with these wells expected to come on production in Q4 2024, aligned with the anticipated improvement in commodity prices. Birchcliff is closely monitoring commodity prices and this deferral provides it with the flexibility to further adjust its 2024 capital program if necessary.
In Pouce Coupe, the Corporation completed the drilling of its 5-well 04-30 pad in December 2023 and the wells were turned over to production through Birchcliff's permanent facilities in late February 2024. This pad was drilled in the Lower Montney and targeted high-rate natural gas.
In February 2024, Birchcliff completed the drilling of its 5-well 16-17 pad in Pouce Coupe and the wells are anticipated to be turned over to production in April 2024. This pad targeted condensate-rich natural gas with three wells drilled in the Lower Montney and two wells in the Upper Montney.
In Gordondale, Birchcliff completed the drilling of its 2-well 02-27 pad targeting liquids-rich natural gas wells in the Lower Montney in early March 2024, with the wells anticipated to be turned over to production in Q2 2024.
Birchcliff currently has one drilling rig at work in the Gordondale area drilling its 4-well 01-10 pad. This pad is targeting oil wells in the Lower Montney and is anticipated to be turned over to production in Q2 2024. Following the drilling of this pad, it is currently expected that the drilling rigs will be shut down until late Q2 2024.
With respect to Birchcliff's future development area in Elmworth, the formal planning is underway for the construction of a proposed 100% owned and operated natural gas processing plant in the area, including determining processing and takeaway capacity and the specific timelines for consultation and construction. Birchcliff may consider investing capital in 2024 to continue to build, protect and optimize its Elmworth Montney land position.
Birchcliff looks forward to providing an update on its capital program and well results in conjunction with the release of its Q1 2024 results on May 15, 2024. If required, Birchcliff plans to provide updated guidance at that time.