Fourth Quarter 2011 Net Sales Volumes of 342 MMcfe/d; 6% Sequential Organic Growth
Fourth Quarter 2011 Liquids Net Sales Volumes of 17.3 MBbls/d; 20% Sequential Organic Growth
Completed Five Horizontal Granite Wash Wells with an Average 24-Hour Initial Production Rate of 14.0 MMcfe/d (52% Liquids)
Completed Two Horizontal Missourian Wash Wells with an Average 24-Hour Initial Production Rate of 3,765 Boe/d (72% Oil, 87% Liquids)
Completed Two Horizontal Eagle Ford Shale Wells in the Uppermost Member with an Average 24-Hour Production Rate of 604 Boe/d (98% Oil)
Completed Two Horizontal Liquids-Rich Cotton Valley Wells with an Average 24-Hour Initial Production Rate of 8.0 MMcfe/d (34% Liquids)
Added 236,900 Gross Acres (195,500 Net) in Highly Prospective Oil and Liquids-Rich Areas in 2011
2011 Drill Bit Reserve Replacement of 247% with Finding and Development Costs of $2.27 per Mcfe
2011 All-Sources Reserve Replacement of 148% with Finding and Development Costs of $3.77 per Mcfe
DENVER–(BUSINESS WIRE)–Feb. 21, 2012– Forest Oil Corporation (NYSE:FST) (Forest or the Company) today announced financial and operational results for the fourth quarter and full-year 2011 and provided year-end estimated proved reserves. The financial results of Forest’s former Canadian subsidiary, Lone Pine Resources Inc. (Lone Pine) (NYSE: LPR) (TSX: LPR), are treated as discontinued operations in the accompanying full-year consolidated financial statements.
The information contained throughout the remainder of this press release, unless otherwise indicated, relates only to the retained operations of Forest and excludes the operations of Lone Pine from the current and historic periods.
Forest reported the following highlights for the three months ended December 31, 2011:
- Net sales volumes of 342 MMcfe/d organically increased 6% from the third quarter of 2011
- Liquids net sales volumes of 17.3 MBbls/d organically increased 20% from the third quarter of 2011
- Adjusted net earnings of $20 million decreased 57% from the corresponding 2010 period
- Adjusted EBITDA of $139 million decreased 18% from the corresponding 2010 period
- Adjusted discretionary cash flow of $104 million decreased 23% from the corresponding 2010 period
- 2011 Estimated Proved Reserves of 1,904 Bcfe; 2% Increase from 2010