News

Oryx Petroleum First Quarter 2015 Financial and Operational Results

13 May 2015

Calgary, Alberta, May 13, 2015

First payment received for Hawler crude oil exports

Oryx Petroleum Corporation Limited (“Oryx Petroleum” or the “Corporation”) today announces its financial and operational results for the three months ended March 31, 2015. All dollar amounts set forth in this news release are in United States dollars, except where otherwise indicated.

Financial Highlights:

• Total revenues of $5.3 million on working interest sales of 128,700 barrels of oil and average realized sales price of $34.79/bbl for the three months ended March 31, 2015.
• Net loss of $8.7 million ($0.07 per share) in Q1 2015 versus $6.9 million ($0.07 per share) in Q1 2014. 
• Capital expenditure of $42.0 million for Q1 2015 including $40.3 million in the Hawler license area.
• $38.7 million of cash and cash equivalents as of March 31, 2015.
• $100 million credit facility provided by The Addax & Oryx Group P.L.C. (“AOG”) in March 2015. First drawdown of $50 million completed in May 2015.

Operations Highlights:

• Gross (100%) oil production averaged 2,200 bbl/d for the three months ended March 31, 2015.
• Commenced oil sales in mid-March 2015 to a regional marketer. First payment received from the marketer in early May reflecting a realised sales price of $35.41/bbl.
• Gross (100%) oil production averaged 5,200 bbl/d for the month of April. Production levels have been constrained by the Corporation in recent weeks to address well performance and fluid handling issues at certain wells.
• Development progress at the Hawler license area:
  - Five wells at the Demir Dagh field are tied into the Hawler production facilities. Two wells are currently producing, one well is being cleaned up prior to being brought on production and two wells are under assessment.
  - Producing wells will continue to be operated at constrained production rates in the near term as the well performance and fluid handling issues are assessed and appropriate optimal production rates are determined.
  - Commissioning of the Early Production Facility and tie-in to the expanded Kurdistan Region of Iraq (KRI) to Turkey export pipeline is expected to be completed in mid-2015.

CEO´s Comment
Commenting today, Oryx Petroleum’s Chief Executive Officer, Michael Ebsary, stated:

“During the first quarter of 2015, we made progress in the monetisation of our crude production, expanded our facilities infrastructure, implemented cost saving measures and secured liquidity needed to fund our 2015 plans.

Liftings under the crude sales agreement we signed in mid-March with a regional marketer are progressing well. Our Hawler crude oil is trucked to maritime shipping points for sale to international markets by the regional marketer, and we have recently received payment for the first shipments of our crude oil. We have expanded the capacity of the Hawler truck loading station and storage facilities, and we expect to commission the Early Production Facility and tie-in to the KRI-Turkey export pipeline in mid-2015.

As we increase production, we expect to export Hawler crude oil via the export pipeline while continuing with our current regional crude sales agreement. Recent developments, including the completion of Kurdistan Region export infrastructure upgrades, increased Kurdistan Region export volumes and regular budgetary payments from the Iraqi Federal Government to the Kurdistan Regional Government provide us with increasing confidence that the oil industry in the Kurdistan Region continues to steadily progress towards normalisation.”