Calgary, Canada
Calgary, Canada

ARC Resources Ltd. is a conventional oil and natural gas company headquartered in Calgary, Canada. ARC is currently engaged in the exploration and production of oil and natural gas across the Western Canadian Sedimentary Basin in the provinces of British Columbia, Alberta, Saskatchewan and Manitoba Formed in 1996, ARC has grown production from 9,500 boeday in 2014. ARC is a member of the S&P/TSX 60 Index, and its common shares are traded on the Toronto Stock Exchange under the symbol ARX. Wikipedia.


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LONDON, UK / ACCESSWIRE / May 1, 2017 / Active Wall St. announces the list of stocks for today's research reports. Pre-market the Active Wall St. team provides the technical coverage impacting selected stocks trading on the Toronto Exchange and belonging under the Oil & Gas - E&P industry. Companies recently under review include Crescent Point Energy, ARC Resources, Chinook Energy, and Penn West Petroleum. Get all of our free research reports by signing up at: On Friday, April 28, 2017, at the end of trading session, the Toronto Exchange Composite index ended the day at 15,586.13, 0.79% higher, with a total volume of 323,365,781 shares. Additionally, the Energy index was slightly up by 0.76%, ending the session at 196.07. Active Wall St. has initiated research reports on the following equities: Crescent Point Energy Corporation (TSX: CPG), ARC Resources Ltd. (TSX: ARX), Chinook Energy Inc. (TSX: CKE), and Penn West Petroleum Ltd. (TSX: PWT). Register with us now for your free membership and research reports at: Calgary, Canada headquartered Crescent Point Energy Corp.'s stock advanced 2.35%, to finish Friday's session at $13.51 with a total volume of 2.46 million shares traded. Shares of the Company, which acquires, explores, develops, and produces light and medium oil and natural gas properties in Western Canada and the US, are trading below its 50-day and 200-day moving averages. Crescent Point Energy's 200-day moving average of $15.83 is above its 50-day moving average of $14.22. See our research report on CPG.TO at: On Friday, shares in Calgary, Canada headquartered ARC Resources Ltd. recorded a trading volume of 1.46 million shares, which was higher than their three months average volume of 1.24 million shares. The stock ended the day 0.50% lower at $17.92. ARC Resources' stock is trading below its 50-day and 200-day moving averages. The stock's 200-day moving average of $21.34 is above its 50-day moving average of $18.74. Shares of the Company, which together with its subsidiaries, acquires, explores, develops, and produces crude oil, natural gas, and natural gas liquids, are trading at PE ratio of 31.44. The complimentary research report on ARX.TO at: On Friday, shares in Calgary, Canada headquartered Chinook Energy Inc. ended the session flat at $0.35 with a total volume of 107,887 shares traded. Shares of the Company, which engages in the exploration, development, and production of crude oil, natural gas liquids, and natural gas in Canada, are trading below its 50-day and 200-day moving averages. Furthermore, the stock's 200-day moving average of $0.45 is greater than its 50-day moving average of $0.37. Register for free and access the latest research report on CKE.TO at: Calgary, Canada headquartered Penn West Petroleum Ltd.'s stock closed the day 3.02% higher at $2.05. The stock recorded a trading volume of 641,621 shares. Penn West Petroleum's shares have surged 57.69% in the previous one year. Shares of the Company, which explores for, develops, and produces oil and natural gas properties in western Canada, are trading below their 50-day and 200-day moving averages. Moreover, the stock's 200-day moving average of $2.25 is greater than its 50-day moving average of $2.13. Get free access to your research report on PWT.TO at: Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below. AWS has not been compensated; directly or indirectly; for producing or publishing this document. The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email [email protected]. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way. AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice. This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/. For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at: CFA® and Chartered Financial Analyst® are registered trademarks owned


LONDON, UK / ACCESSWIRE / May 1, 2017 / Active Wall St. announces the list of stocks for today's research reports. Pre-market the Active Wall St. team provides the technical coverage impacting selected stocks trading on the Toronto Exchange and belonging under the Oil & Gas - E&P industry. Companies recently under review include Crescent Point Energy, ARC Resources, Chinook Energy, and Penn West Petroleum. Get all of our free research reports by signing up at: On Friday, April 28, 2017, at the end of trading session, the Toronto Exchange Composite index ended the day at 15,586.13, 0.79% higher, with a total volume of 323,365,781 shares. Additionally, the Energy index was slightly up by 0.76%, ending the session at 196.07. Active Wall St. has initiated research reports on the following equities: Crescent Point Energy Corporation (TSX: CPG), ARC Resources Ltd. (TSX: ARX), Chinook Energy Inc. (TSX: CKE), and Penn West Petroleum Ltd. (TSX: PWT). Register with us now for your free membership and research reports at: Calgary, Canada headquartered Crescent Point Energy Corp.'s stock advanced 2.35%, to finish Friday's session at $13.51 with a total volume of 2.46 million shares traded. Shares of the Company, which acquires, explores, develops, and produces light and medium oil and natural gas properties in Western Canada and the US, are trading below its 50-day and 200-day moving averages. Crescent Point Energy's 200-day moving average of $15.83 is above its 50-day moving average of $14.22. See our research report on CPG.TO at: On Friday, shares in Calgary, Canada headquartered ARC Resources Ltd. recorded a trading volume of 1.46 million shares, which was higher than their three months average volume of 1.24 million shares. The stock ended the day 0.50% lower at $17.92. ARC Resources' stock is trading below its 50-day and 200-day moving averages. The stock's 200-day moving average of $21.34 is above its 50-day moving average of $18.74. Shares of the Company, which together with its subsidiaries, acquires, explores, develops, and produces crude oil, natural gas, and natural gas liquids, are trading at PE ratio of 31.44. The complimentary research report on ARX.TO at: On Friday, shares in Calgary, Canada headquartered Chinook Energy Inc. ended the session flat at $0.35 with a total volume of 107,887 shares traded. Shares of the Company, which engages in the exploration, development, and production of crude oil, natural gas liquids, and natural gas in Canada, are trading below its 50-day and 200-day moving averages. Furthermore, the stock's 200-day moving average of $0.45 is greater than its 50-day moving average of $0.37. Register for free and access the latest research report on CKE.TO at: Calgary, Canada headquartered Penn West Petroleum Ltd.'s stock closed the day 3.02% higher at $2.05. The stock recorded a trading volume of 641,621 shares. Penn West Petroleum's shares have surged 57.69% in the previous one year. Shares of the Company, which explores for, develops, and produces oil and natural gas properties in western Canada, are trading below their 50-day and 200-day moving averages. Moreover, the stock's 200-day moving average of $2.25 is greater than its 50-day moving average of $2.13. Get free access to your research report on PWT.TO at: Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below. AWS has not been compensated; directly or indirectly; for producing or publishing this document. The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email info@activewallst.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way. AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice. This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/. For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at: CFA® and Chartered Financial Analyst® are registered trademarks owned LONDON, UK / ACCESSWIRE / May 1, 2017 / Active Wall St. announces the list of stocks for today's research reports. Pre-market the Active Wall St. team provides the technical coverage impacting selected stocks trading on the Toronto Exchange and belonging under the Oil & Gas - E&P industry. Companies recently under review include Crescent Point Energy, ARC Resources, Chinook Energy, and Penn West Petroleum. Get all of our free research reports by signing up at: On Friday, April 28, 2017, at the end of trading session, the Toronto Exchange Composite index ended the day at 15,586.13, 0.79% higher, with a total volume of 323,365,781 shares. Additionally, the Energy index was slightly up by 0.76%, ending the session at 196.07. Active Wall St. has initiated research reports on the following equities: Crescent Point Energy Corporation (TSX: CPG), ARC Resources Ltd. (TSX: ARX), Chinook Energy Inc. (TSX: CKE), and Penn West Petroleum Ltd. (TSX: PWT). Register with us now for your free membership and research reports at: Calgary, Canada headquartered Crescent Point Energy Corp.'s stock advanced 2.35%, to finish Friday's session at $13.51 with a total volume of 2.46 million shares traded. Shares of the Company, which acquires, explores, develops, and produces light and medium oil and natural gas properties in Western Canada and the US, are trading below its 50-day and 200-day moving averages. Crescent Point Energy's 200-day moving average of $15.83 is above its 50-day moving average of $14.22. See our research report on CPG.TO at: On Friday, shares in Calgary, Canada headquartered ARC Resources Ltd. recorded a trading volume of 1.46 million shares, which was higher than their three months average volume of 1.24 million shares. The stock ended the day 0.50% lower at $17.92. ARC Resources' stock is trading below its 50-day and 200-day moving averages. The stock's 200-day moving average of $21.34 is above its 50-day moving average of $18.74. Shares of the Company, which together with its subsidiaries, acquires, explores, develops, and produces crude oil, natural gas, and natural gas liquids, are trading at PE ratio of 31.44. The complimentary research report on ARX.TO at: On Friday, shares in Calgary, Canada headquartered Chinook Energy Inc. ended the session flat at $0.35 with a total volume of 107,887 shares traded. Shares of the Company, which engages in the exploration, development, and production of crude oil, natural gas liquids, and natural gas in Canada, are trading below its 50-day and 200-day moving averages. Furthermore, the stock's 200-day moving average of $0.45 is greater than its 50-day moving average of $0.37. Register for free and access the latest research report on CKE.TO at: Calgary, Canada headquartered Penn West Petroleum Ltd.'s stock closed the day 3.02% higher at $2.05. The stock recorded a trading volume of 641,621 shares. Penn West Petroleum's shares have surged 57.69% in the previous one year. Shares of the Company, which explores for, develops, and produces oil and natural gas properties in western Canada, are trading below their 50-day and 200-day moving averages. Moreover, the stock's 200-day moving average of $2.25 is greater than its 50-day moving average of $2.13. Get free access to your research report on PWT.TO at: Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below. AWS has not been compensated; directly or indirectly; for producing or publishing this document. The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email info@activewallst.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way. AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice. This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/. For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at: CFA® and Chartered Financial Analyst® are registered trademarks owned


"ARC's team executed another strong quarter, which included advancing construction of the Dawson Phase III gas processing and liquids-handling facility, for which we expect to initiate commissioning activities in the second quarter of 2017," stated Myron Stadnyk, President and CEO. "In addition to the capital investment at Dawson, our development activities in the first quarter of 2017 allowed us to further our understanding of the Lower Montney, which adds development inventory to support future project expansions across our Montney land base. Our current balance sheet strength increases our ability to execute multi-year development projects at Dawson, Parkland/Tower, and Sunrise, and to enter into long-term marketing contracts as we reinvest the proceeds received from the sale of our Saskatchewan assets in late 2016. ARC remains committed to running a profitable business, and with our low-cost Montney businesses, we will be able to maximize the value we continue to create for our shareholders." ARC achieved first quarter 2017 production of 115,129 boe per day, which was two per cent lower than the fourth quarter of 2016. The lower production was a result of the divestment of ARC's Saskatchewan assets in late 2016, which was partially offset by production returning from third-party pipeline restrictions at Dawson in the previous quarter, and production from new wells and optimization activities at Ante Creek. First quarter 2017 natural gas production was 496 MMcf per day and crude oil and liquids production was 32,427 barrels per day. As planned, ARC's second quarter 2017 production will be lower than the first quarter by a few per cent due to planned maintenance activities and anticipated spring break-up impacts to production and field operations. As commissioning activities for the Dawson Phase III gas processing and liquids-handling facility are initiated in the second quarter of 2017, ARC expects production levels at Dawson to increase through the second half of the year. Full-year 2017 annual production is expected to be in the range of 118,000 to 124,000 boe per day, and ARC anticipates its 2017 exit rate to be in excess of 130,000 boe per day. ARC continued to deliver strong financial performance in the first quarter of 2017 with net income of $142.5 million ($0.40 per share). Strengthened commodity prices mitigated the slight decrease in production volumes in the period and resulted in funds from operations of $177.2 million ($0.50 per share) in the first quarter of 2017. Profitability remains a key measure of performance at ARC, and strong full-cycle economics across our portfolio of assets enable us to efficiently convert our resources into earnings for shareholders. ARC's marketing strategy focuses on both natural gas takeaway in western Canada and managing a market diversification strategy. The effectiveness of this strategy is evidenced by minimal impacts to production from pipeline restrictions and strong price realizations due to a diversified sales strategy. Over the quarter, ARC continued to pursue natural gas takeaway with participation in TransCanada Pipeline's ("TCPL") North Montney Mainline Project, and additional diversification with participation in TCPL's Mainline open season. In addition to ARC's physical diversification strategy, ARC's financial hedging program continues to provide greater certainty of cash flows and support of long-term business plans, with first quarter 2017 realized cash gains of $24.4 million. The fair value of ARC's risk management contracts at March 31, 2017 was a net asset of $264.4 million. First quarter 2017 capital expenditures, before land and net property acquisitions and dispositions, of $255.2 million were focused on infrastructure investment at Dawson Phase III and Parkland/Tower Phase III, drilling and completions activities throughout the Montney and the Cardium, and development activities directed at the Lower Montney. With a planned 2017 capital program of $750 million, the first quarter was expected to be the most capital-intensive quarter of the year. The 2017 capital program will allow ARC to sustain its base businesses, carry out drilling rig schedule optimization, complete and bring Dawson Phase III on-stream, and pre-drill wells to bring on production in 2018. As part of the proactive planning of our capital programs, rigs and services have been secured through 2017 to support our budgeted capital plans. ARC drilled 46 operated wells (29 crude oil wells, 15 liquids-rich natural gas wells, and two natural gas wells) in the first quarter of 2017, many of which will be brought on production late in the second quarter of 2017. The following table outlines first quarter activity by ARC's key operating areas. First quarter 2017 operating expenses of $69.9 million ($6.74 per boe) were relatively unchanged from the fourth quarter of 2016. ARC expects full-year 2017 operating expenses to trend towards guidance as the year progresses and fall within the guided range of $6.30 to $6.70 per boe. ARC closed the first quarter with a strong balance sheet with $501.4 million of net debt outstanding at March 31, 2017, and had additional cash and credit capacity of approximately $1.7 billion, taking into account ARC's working capital surplus. The net debt to annualized funds from operations ratio was 0.7 times and net debt was approximately seven per cent of ARC's total capitalization at the end of the first quarter of 2017. ARC expects to outspend its cash flows over the course of the next two to three years and return to target debt levels of between one and 1.5 times annualized funds from operations. The proceeds from the fourth quarter 2016 Saskatchewan asset disposition will be reinvested into profitable projects in the Montney. ARC's low debt levels allow greater certainty around the funding required to execute on our long-term business plans. The following economic, financial, and operational reviews provide further details to the above highlights. For additional commentary on ARC's first quarter 2017 financial and operating results, please view the following videos: "Myron's Minute", "Q1 2017 Financial Review", and "Q1 2017 Operations Review" available on ARC's website at www.arcresources.com. ARC is pleased to announce the following appointment: Mr. Armin Jahangiri has been promoted to the officer position of Vice President, Operations, and is responsible for overseeing the facilities, drilling and completions, health and safety, and environmental and regulatory teams at ARC. Prior to joining ARC in 2014 as a Manager of Operations, Mr. Jahangiri held positions with a major Canadian oil and gas producer and a global oilfield services company. He holds a Bachelor of Science in Mechanical Engineering from the Sharif University of Technology and a Master in Reservoir Engineering from the University of Calgary, and is a member of the Association of Professional Engineers and Geoscientists of Alberta. ARC congratulates Mr. Jahangiri and welcomes him to the executive team. ARC's first quarter 2017 financial and operating results were impacted by commodity prices and foreign exchange rates which are outlined in the following table. Global crude oil prices strengthened in the first quarter of 2017 as data signaled that compliance, by both OPEC and non-OPEC members, with the previously agreed-upon production cuts was higher than originally anticipated. This compliance helped to stabilize the global supply/demand imbalance. The WTI benchmark price averaged five per cent higher than the fourth quarter of 2016. ARC's crude oil price is primarily referenced to the mixed sweet crude stream price at Edmonton, which increased three per cent in the first quarter of 2017 compared to the fourth quarter of 2016. The differential between WTI and the mixed sweet crude stream price at Edmonton widened to average a discount of US$3.56 in the first quarter of 2017, 14 per cent more than the fourth quarter of 2016. US natural gas prices, referenced by the average NYMEX Henry Hub Last Day Settlement price, increased 11 per cent relative to the fourth quarter of 2016. Prices were driven higher by a tight supply/demand balance caused by a combination of rising base load demand and unchanged US production. ARC's realized natural gas price is diversified to multiple sales points including AECO, Station 2, and Chicago hubs. The AECO hub price increased five per cent in the first quarter of 2017 relative to the fourth quarter of 2016. Despite strong local demand, AECO basis differentials remain wide due to the high marginal transportation costs of alleviating the Western Canadian Sedimentary Basin of its excess supply. The Canadian dollar remained range-bound relative to the US dollar during the first quarter of 2017, averaging Cdn$/US$1.32 (US$/Cdn$0.76). The mild strengthening in the Canadian dollar relative to the US dollar in the first quarter of 2017 compared to the fourth quarter of 2016 was partially driven by higher commodity prices. ARC recorded net income of $142.5 million ($0.40 per share) in the first quarter of 2017 compared to net income of $167.0 million ($0.47 per share) in the fourth quarter of 2016. The disposition of certain non-core assets, including ARC's Saskatchewan position in the fourth quarter of 2016, resulted in the reversal of previously-recorded impairment charges totaling $63.1 million, as well as the recognition of a gain on disposal of petroleum and natural gas properties of $196.0 million in the prior period. In the first quarter of 2017, reduced operating netbacks of $18.2 million, driven primarily by lower crude oil production volumes, also served to decrease net income in the first quarter of 2017 relative to the fourth quarter of 2016. Partially offsetting these decreases to net income were increased gains of $201.0 million recognized on ARC's risk management contracts, an increase in foreign exchange gains of $31.8 million, and reduced income taxes of $18.9 million. First quarter 2017 net income of $142.5 million ($0.40 per share) was $78.4 million higher than first quarter 2016 net income. Increased operating netbacks of $69.4 million, driven primarily by improved commodity prices, as well as increased gains on risk management contracts of $73.4 million served to improve earnings over the prior period. Reduced general and administrative ("G&A") expenses of $20.1 million due to recoveries recorded on ARC's share-based compensation plans also contributed to the year-over-year increase in net income. These increases to earnings were partially offset by reduced foreign exchange gains of $58.9 million, and higher income taxes of $49.5 million resulting from improved commodity prices and lost income tax pools. ARC's first quarter 2017 funds from operations of $177.2 million ($0.50 per share) decreased six per cent from fourth quarter 2016 funds from operations of $188.5 million ($0.53 per share). The most significant drivers in the quarter-over-quarter decrease in funds from operations were lower crude oil production and reduced realized gains on hedging contracts. These factors were partially offset by lower current income taxes, higher crude oil prices, lower operating expenses, and lower G&A expenses driven primarily by recoveries recorded on ARC's share-based compensation plans due to the decrease in ARC's share price. First quarter 2017 funds from operations of $177.2 million ($0.50 per share) was 18 per cent higher than first quarter 2016 funds from operations. Improved commodity prices and reduced G&A expenses increased funds from operations relative to the prior year. These items were partially offset by decreased crude oil production and lower realized gains on ARC's risk management contracts. Increased current income taxes and higher royalty expenses also served to decrease funds from operations. The following table details the change in funds from operations for the first quarter of 2017 relative to the fourth quarter of 2016 and to the first quarter of 2016. ARC's first quarter 2017 operating netbacks, before hedging, of $17.98 per boe decreased four per cent relative to the fourth quarter of 2016, and first quarter 2017 operating netbacks, after hedging, of $20.34 per boe decreased seven per cent relative to the fourth quarter of 2016. Lower operating netbacks were predominantly due to an increase in natural gas production as a percentage of total corporate production, resulting in a lower average realized commodity price. ARC's first quarter 2017 operating netbacks, before hedging, of $17.98 per boe increased 72 per cent from the first quarter of 2016, and first quarter 2017 operating netbacks, after hedging, of $20.34 per boe increased 23 per cent relative to the first quarter of 2016. Higher operating netbacks were predominantly due to strengthening crude oil and natural gas prices. ARC's first quarter 2017 total corporate royalty rate of 8.4 per cent ($2.49 per boe) increased slightly from 8.0 per cent ($2.47 per boe) in the fourth quarter of 2016 and 7.9 per cent ($1.62 per boe) in the first quarter of 2016, reflecting the effect of increased commodity prices on royalty rates. First quarter 2017 royalty expenses on an absolute basis were $25.8 million. First quarter 2017 transportation expenses of $2.42 per boe increased four per cent from the fourth quarter of 2016 and increased 10 per cent relative to the first quarter of 2016 as a result of an aggregate increase in tolls for natural gas on third-party pipelines. First quarter 2017 transportation expenses on an absolute basis were $25.0 million. First quarter 2017 operating expenses of $6.74 per boe were relatively unchanged from the fourth quarter of 2016, and increased 10 per cent relative to the first quarter of 2016 due to accelerated maintenance and workover activities in advance of spring break-up. First quarter 2017 operating expenses on an absolute basis were $69.9 million. ARC realized cash gains on natural gas hedging contracts of $25.4 million during the first quarter of 2017. Approximately 30 per cent of natural gas production was hedged at NYMEX Henry Hub with an average floor price of US$4.00 per MMBtu during the first quarter of 2017, while market prices averaged US$3.32 per MMBtu. Approximately 10 per cent of natural gas production was hedged at AECO with an average swap price of Cdn$2.64 per GJ during the first quarter of 2017, while market prices averaged Cdn$2.79 per GJ. ARC has hedged approximately 234,600 MMBtu per day of natural gas production for 2017 and a portion of natural gas production is hedged for the period 2018 through 2021. ARC's natural gas hedging portfolio also includes AECO basis swap contracts which fix the AECO price received relative to the NYMEX Henry Hub price on a portion of its natural gas volumes for 2017 through 2021. ARC's natural gas hedges support long-term development economics for ARC's significant natural gas resource base. Details relating to ARC's natural gas hedged volumes and prices for the period 2017 through 2021 are outlined in the table that follows. ARC incurred cash losses of $0.5 million on crude oil hedging contracts during the first quarter of 2017. ARC currently has 14,000 barrels per day of crude oil production hedged with collars and swaps for 2017 and has additional crude oil production hedged for 2018 and 2019. ARC's crude oil hedging portfolio also includes MSW basis swap contracts for 2017 and 2018, fixing the discount between WTI and the mixed sweet crude stream price at Edmonton. Details relating to ARC's crude oil hedged volumes and prices for the period 2017 through 2019 are outlined in the table that follows. ARC has hedge contracts in place, at levels that support ARC's long-term business plans, to protect prices on a portion of natural gas volumes for 2017 through 2021 and crude oil volumes for 2017 through 2019. ARC will continue to take positions in natural gas, crude oil, foreign exchange rates, power and interest rates, as appropriate, to provide greater certainty over future cash flows. For a complete listing and terms of ARC's hedging contracts as at March 31, 2017, see Note 9 "Financial Instruments and Market Risk Management" in ARC's financial statements for the three months ended March 31, 2017. ARC invested $255.2 million of capital, before land and net property acquisitions and dispositions, in the first quarter of 2017, including drilling 46 operated wells (29 crude oil wells, 15 liquids-rich natural gas wells, and two natural gas wells). Capital expenditures in the period included infrastructure investment at Dawson Phase III and Parkland/Tower Phase III, drilling and completions activities throughout the Montney and the Cardium, and development activities directed at the continued evaluation of the Lower Montney. Approximately 85 per cent of capital investment in the first quarter was invested in ARC's low-cost, high-value Montney assets. First quarter 2017 production was 115,129 boe per day, with natural gas production of 496 MMcf per day (72 per cent of total production) and crude oil and liquids production of 32,427 barrels per day (28 per cent of total production). First quarter 2017 average daily production was two per cent lower relative to the fourth quarter of 2016, primarily driven by the disposition of ARC's Saskatchewan assets in late 2016. This was partially offset by an increase in production at Dawson due to production returning from third-party pipeline outages experienced in the fourth quarter, as well as an increase in production at Ante Creek from new wells that came on-stream late in 2016 and from optimization activities performed in the period. ARC continues to safely shut in offset pads when nearby completion activities are taking place. First quarter 2017 production was seven per cent lower than the first quarter of 2016 primarily due to the 8,800 boe per day of production that was divested throughout 2016 as part of ARC's portfolio rationalization efforts. ARC currently has a land position of approximately 1,200 net Montney sections, and Montney production represented approximately 85 per cent of corporate production in the first quarter of 2017. Excellent operating and capital efficiencies are supported by operating our own facilities, allowing ARC greater control over costs and pace of development. We continue to optimize well designs and maximize well value, pursue new technologies, and partner with service providers to preserve our low cost structure. ARC actively monitors market conditions and maintains a marketing strategy that diversifies ARC's sales portfolio and ensures that production gets to market at optimal pricing. ARC has been de-risking future development projects with appraisal and development drilling, as well as geologic and engineering studies to create optionality in future project selection across all of our Montney and Cardium land base. ARC's land position in the multi-layer Montney has considerable future delineation opportunities and development potential. The Lower Montney zone is currently being de-risked across ARC's Montney acreage as we progress our understanding of the zone and the potential for future commercial development. At Dawson, the Lower Montney zone has shown high liquids yields, with wells currently producing an average of approximately 40 barrels per MMcf of free condensate. This liquids content is driving strong economics and is indicating significant upside across ARC's Dawson lands. In addition to Dawson, appraisal of the Lower Montney has been a focus at Parkland/Tower, Sunrise, and Pouce Coupe. Future development potential has also been identified at Attachie. ARC's 2017 capital program includes the drilling of 12 Lower Montney wells across ARC's Montney acreage. Evaluation and monitoring of production results will be ongoing as ARC optimizes well designs. The long-term growth opportunities from the Lower Montney zone will provide ARC with strategic optionality in the future, and increases the overall depth of ARC's portfolio. The Dawson Montney play is the foundation of ARC's low-cost natural gas business, where ARC has a land position of 137 net Montney sections. Dawson production averaged 178 MMcf per day of natural gas and 1,300 barrels per day of condensate and liquids during the first quarter of 2017, an increase of eight per cent from the fourth quarter of 2016. The increase in production was the result of production returning from line pressure issues experienced on third-party pipelines in the prior quarter, partially offset by the safe shut-in of offset pads due to nearby completion activities. The Dawson play delivers strong economics and significant cash flow at current natural gas prices, due to excellent capital efficiencies, exceptional well results, and low operating expenses. ARC invested $78 million at Dawson in the first quarter of 2017. Capital investment was directed to construction of Dawson Phase III and associated infrastructure, drilling eight liquids-rich natural gas wells and two natural gas wells, and completing nine wells. Two of the wells drilled in the quarter targeted the Lower Montney zone, furthering ARC's broader evaluation of the zone's potential across our Montney acreage. Drilling efficiencies continue to be realized at Dawson, with ARC reducing the average number of drilling days per well by approximately 50 per cent since 2015 to an average of eight days. Physical construction of the Dawson Phase III gas processing and liquids-handling facility continues with the majority of mechanical work now complete. Over 80 kilometers of pipe was installed in the first quarter of 2017, including the gas gathering systems for the facility and the sales lines that will allow for dual-connectivity to third-party pipeline infrastructure and provide increased takeaway optionality. Construction of the facility continues as ARC prepares for upcoming commissioning activities. The first stage of Dawson Phase III is designed to process 90 MMcf per day of natural gas and handle up to 7,500 barrels per day of liquids (approximately 50 per cent condensate-handling). The wells that will be required to initially fill the plant have been drilled and completions of these wells are underway. ARC expects production levels at Dawson to increase through the second half of 2017. ARC has incorporated extra liquids-handling capacity in the Phase III design to be able to handle free liquids and a richer gas production from the Lower Montney in the future. Regulatory approval has been received for a Phase IV Dawson facility expansion, for which pre-planning has commenced. ARC's Parkland/Tower property, located in the Montney play in northeast British Columbia, consists of 57 net Montney sections at Tower, which produce predominantly light crude oil and condensate with liquids-rich associated gas; and 37 net Montney sections at Parkland, which produce liquids-rich natural gas and dry gas. With contiguous lands, these areas share ARC-operated infrastructure and processing capacity. Parkland/Tower first quarter 2017 production averaged 25,200 boe per day (35 per cent crude oil and liquids and 65 per cent natural gas), unchanged from the fourth quarter of 2016. Capital investment at Parkland/Tower was approximately $80 million in the first quarter of 2017 and included the drilling of 15 crude oil wells and four liquids-rich natural gas wells, completion of six wells, and initial investments for the Parkland/Tower Phase III facility expansion. The evaluation of a Phase III expansion of the Parkland/Tower gas processing and liquids-handling facility is now underway. The facility expansion has received regulatory approval and is able to come on-stream in late 2018. Long-term takeaway capacity for production associated with the facility expansion has been secured. ARC continues to evaluate and progress its understanding of the Parkland/Tower area, with a focus on reducing development costs and refining well designs for optimized efficiency. Gas lifts have been installed on producing wells across the field in order to improve production. Well performance at Tower continues to be exceptional, ranking amongst the top oil wells in western Canada. ARC will continue to optimize well designs in the area to ensure best-in-class capital efficiencies and that the optimal exploitation strategy is achieved. ARC plans to ramp up Parkland/Tower production to current facility capacity through 2017. ARC has a land position of 32 net Montney sections at Sunrise, a dry natural gas Montney play in northeast British Columbia with multi-layer development. With a significant natural gas resource base, high well deliverability, low capital requirements, and low operating expenses, Sunrise continues to create significant value and superior full-cycle economics. First quarter 2017 Sunrise production was approximately 136 MMcf per day of natural gas, unchanged from the fourth quarter of 2016, as ARC continues to see strong well performance and longer stabilized production across the area. ARC invested approximately $1 million on capital activities at Sunrise in the first quarter of 2017, directed at front-end engineering and design work for the second stage of the existing Sunrise gas processing facility. The facility expansion, which includes the repatriation of production currently flowing through a third-party facility, is expected to come on-stream mid-year 2019. With increased control of ARC's Sunrise production volumes, operating costs in the area will be significantly reduced once the facility comes on-stream. Long-term takeaway capacity for production associated with the facility expansion has been secured. With strong well performance, ARC expects to maintain production at current facility capacity at Sunrise throughout 2017, and has plans to drill five Lower Montney wells in 2017 to maintain Sunrise facility capacities in 2018. ARC's Attachie property is a highly prospective, Montney crude oil and liquids-rich natural gas exploration play located in northeast British Columbia, where ARC has a land position of 286 net Montney sections. ARC invested approximately $15 million on pilot activities on the west side of Attachie in the first quarter of 2017, including the drilling and completion of two liquids-rich natural gas wells. ARC will continue to build on the success of existing pilots in the area over the course of 2017, and will optimize and monitor production results in the area. ARC is currently producing through third-party infrastructure while long-term infrastructure requirements are being assessed. ARC has a land position of 381 net sections at Ante Creek, a Montney crude oil play in northern Alberta that provides significant cash flow and has substantial future development potential. First quarter 2017 Ante Creek production averaged 17,400 boe per day (approximately 45 per cent crude oil and liquids), an eight per cent increase from the fourth quarter of 2016. Increased production in the area is attributed to new wells that came on-stream late in the fourth quarter of 2016, as well as from optimization activities performed in the period. ARC invested approximately $29 million in the first quarter of 2017, including drilling six crude oil wells and completing four wells. Alongside increased capital activity in 2017, ARC will continue to evaluate and optimize recent changes in well design. Base production continues to perform well at Ante Creek, demonstrating the effectiveness of ARC's ongoing optimization activities and the overall strength of the asset base. ARC's Pembina Cardium assets provide high-quality light oil production, generate strong operating netbacks, and feature favourable half-cycle economics, with required infrastructure already in place. ARC has a land position of 217 net Cardium sections in Pembina, where production averaged approximately 11,000 boe per day (approximately 80 per cent light oil and liquids) in the first quarter of 2017, unchanged from the fourth quarter of 2016. The addition of new production from recent development activities in the area has temporarily been restricted in order to perform pipeline integrity reviews. ARC invested approximately $27 million in capital activities in the first quarter of 2017, including drilling eight crude oil wells and completing 12 wells. ARC continues to focus on capital and operating efficiencies with its drilling and completion designs in Pembina, driving an increase in overall profitability for the area. Optimizing production, converting horizontal injectors, and waterflood management continue to be a core component of operations at Pembina. ARC's Redwater region in Alberta produces high-quality crude oil. First quarter 2017 production averaged approximately 3,100 boe per day of light oil, unchanged from the fourth quarter of 2016. Capital investment for the first quarter of 2017 at Redwater was approximately $2 million. As a dividend-paying corporation, ARC declares monthly dividends to its shareholders. ARC continually assesses dividend levels in light of commodity prices, capital expenditure programs, and production volumes to ensure that dividends are in line with ARC's long-term strategy and objectives. ARC declared dividends totaling $0.15 per share for the first quarter of 2017. The Board of Directors previously confirmed a dividend of $0.05 per share for April 2017, payable on May 15, 2017, and has conditionally declared a monthly dividend of $0.05 per share for May 2017 through August 2017, payable as follows: On February 8, 2017, ARC's Board of Directors approved the elimination of the Dividend Reinvestment Plan ("DRIP") and Stock Dividend Program ("SDP"), which came into effect for the March 2017 dividend. Shareholders that were enrolled in either program now automatically receive dividend payments in the form of cash. During the first quarter of 2017, ARC declared dividends of $53.1 million, of which $0.4 million was issued in the form of common shares under the SDP and $2.6 million was reinvested into ARC shares through the DRIP. Prior to elimination, the DRIP and SDP were a source of funding for ARC's capital programs. The dividends have been designated as eligible dividends under the Income Tax Act (Canada). The declaration of the dividends is conditional upon confirmation by news release and is subject to any further resolution of the Board of Directors. Dividends are subject to change in accordance with ARC's dividend policy depending on a variety of factors and conditions existing from time-to-time, including fluctuations in commodity prices, production levels, capital expenditure requirements, debt service requirements, operating expenses, royalty burdens, foreign exchange rates and the satisfaction of solvency tests imposed by the Business Corporations Act (Alberta) for the declaration and payment of dividends. Shareholders, wherever resident, are encouraged to consult their own tax advisors regarding the tax consequences to them of receiving cash dividends. ARC plans to file a Form 15F with the United States Securities and Exchange Commission (the "Commission" or "SEC") to voluntarily terminate the registration of its securities and its reporting obligations under Section 13(a) and Section 15(d) of the United States Securities Exchange Act of 1934, as amended ("Exchange Act"). ARC's Exchange Act reporting obligations will be immediately suspended upon filing the Form 15F. The termination of ARC's registration and of its reporting obligations under Section 13(a) and Section 15(d) of the Exchange Act is expected to be effective 90 days after filing. ARC is current with all of its reporting requirements under the Exchange Act and is not listed on any US exchange. In determining to deregister, ARC's Board of Directors considered the administrative burden and costs associated with being a US reporting company and believe that the costs outweigh the benefits. ARC will continue to comply with its Canadian continuous disclosure obligations and its common shares will continue to trade on the Toronto Stock Exchange. The foundation of ARC's business strategy is risk-managed value creation. High-quality assets, operational excellence, financial strength, and top talent are the key principles underpinning ARC's business strategy. ARC's goal is to create shareholder value in the form of regular dividends and anticipated capital appreciation relating to profitable future growth. ARC's Board of Directors has approved a $750 million capital program for 2017 that focuses on long-term value creation through the development of ARC's crude oil, liquids-rich natural gas, and natural gas Montney assets and ARC's crude oil Cardium assets. The planned budget includes infrastructure investment at Dawson, Parkland/Tower, and Sunrise, as well as strategic investment in the Lower Montney. The capital plan will allow ARC to sustain its base businesses and optimize capital and operating efficiencies across ARC's focused asset base. As planned, ARC's second quarter 2017 production will be lower than the first quarter by a few per cent due to planned maintenance activities and anticipated spring break-up impacts to production and field operations. As commissioning activities for the Dawson Phase III gas processing and liquids-handling facility are initiated in the second quarter of 2017, ARC expects production levels at Dawson to increase through the second half of the year. Full-year 2017 annual production is expected to be in the range of 118,000 to 124,000 boe per day, and ARC anticipates its 2017 exit rate to be in excess of 130,000 boe per day. Ongoing commodity price volatility may affect ARC's funds from operations and over the long term, profitability of capital programs. As continued volatility is expected, ARC will continue to take steps to mitigate these risks, including managing an active hedging program, focusing on capital and operating efficiencies, and protecting its strong financial position, with a targeted net debt to annualized funds from operations ratio of between one and 1.5 times. ARC will continue to screen projects for profitability in a disciplined manner and will adjust spending and the pace of development, if required, to ensure balance sheet strength is protected. The 2017 capital budget excludes land purchases and property acquisitions or dispositions. ARC will continue to consolidate its land position and grow its presence in key areas through land purchases and property acquisitions. ARC evaluates its asset portfolio on a continuous basis with a view to selling assets that do not meet ARC's investment guidelines. Through the normal course of business, acquisitions and dispositions may occur that would impact the expected production for the year. ARC's 2017 guidance is based on full-year 2017 estimates; certain variances exist between 2017 year-to-date actual results and 2017 full-year guidance estimates due to the cyclical and seasonal nature of operations. ARC expects full-year 2017 actual results to closely approximate guidance. On a per boe basis, ARC's first quarter 2017 operating expenses were slightly above the 2017 guidance range due to accelerated maintenance and workover activities in advance of spring break-up. ARC expects full-year operating expenses to trend towards guidance as the year progresses as additional volumes with lower relative costs to operate are brought on-stream in the second half of the year. ARC's first quarter 2017 G&A expenses before share-based compensation were above the 2017 guidance range due primarily to an increase in compensation expenses associated with reducing the size of ARC's workforce. G&A expenses relating to share-based compensation plans were below the 2017 guidance range due to recoveries recorded on ARC's share-based plans due to the decrease in ARC's share price. ARC expects full-year 2017 G&A expenses before share-based compensation to trend towards guidance as the year progresses. ARC's full-year 2017 guidance estimates and a review of 2017 year-to-date actual results are outlined in the following table. This news release contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words "expect," "anticipate," "continue," "estimate," "objective," "ongoing," "may," "will," "project," "should," "believe," "plans," "intends," "strategy" and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the foregoing, this news release contains forward-looking information and statements pertaining to the following: guidance as to the capital expenditure plans of ARC in 2017 and its 2017 production, and operating expenses under the heading "Financial and Operating Highlights", as to its views on future commodity prices under the heading "Economic Environment", as to its risk management plans for 2017 and beyond under the heading "Risk Management", as to its production, exploration and development plans, and capital expenditures for 2017 and beyond under the heading "Operational Review", as to its plans in relation to future dividend levels under the heading "Dividends", as to termination of ARC's Exchange Act reporting obligations under the heading "United States Securities and Exchange Commission Deregistration", and all matters in respect of 2017 guidance under the heading "Outlook". The forward-looking information and statements contained in this news release reflect material factors and expectations and assumptions of ARC including, without limitation: that ARC will continue to conduct its operations in a manner consistent with past operations; the general continuance of current industry conditions; the continuance of existing (and in certain circumstances, the implementation of proposed) tax, royalty and regulatory regimes; the accuracy of the estimates of ARC's reserves and resource volumes; certain commodity price and other cost assumptions; and the continued availability of adequate debt and equity financing, funds from operations to fund its planned expenditures, and that the United States Securities and Exchange Commission will not object to ARC's termination of its Exchange Act reporting obligations. ARC believes the material factors, expectations and assumptions reflected in the forward-looking information and statements are reasonable but no assurance can be given that these factors, expectations and assumptions will prove to be correct. The forward-looking information and statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Such information and statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information or statements including, without limitation: changes in commodity prices; changes in the demand for or supply of ARC's products; changes to government regulations including royalty rates, taxes, and environmental and climate change regulation; market access constraints or transportation interruptions, unanticipated operating results, or production declines; changes in development plans of ARC or by third-party operators of ARC's properties, increased debt levels or debt service requirements; inaccurate estimation of ARC's oil and gas reserve and resource volumes; limited, unfavorable or a lack of access to capital markets; increased costs; a lack of adequate insurance coverage; the impact of competitors; the risk that the United States Securities and Exchange Commission will object to ARC's termination of its Exchange Act reporting obligations; and certain other risks detailed from time-to-time in ARC's public disclosure documents (including, without limitation, those risks identified in this news release and in ARC's Annual Information Form). The internal projections, expectations or beliefs are based on the 2017 capital budget which is subject to change in light of ongoing results, prevailing economic circumstances, commodity prices and industry conditions and regulations. Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those predicted. The forward-looking information and statements contained in this news release speak only as of the date of this news release, and none of ARC or its subsidiaries assumes any obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable laws. ARC has adopted the standard 6 Mcf : 1 barrel when converting natural gas to boe. Boe may misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf : 1 barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different than the energy equivalency of the 6:1 conversion ratio, utilizing the 6:1 conversion ratio may be misleading as an indication of value. ARC Resources Ltd. is one of Canada's largest conventional oil and gas companies with an enterprise value (1) of approximately $6.6 billion. ARC's common shares trade on the TSX under the symbol ARX.


News Article | June 30, 2017
Site: www.prnewswire.com

"During the past period of very difficult market conditions she and her Amarc team have created a solid foundation to commence the value creation life cycle of a mining exploration company with expectations that development of Amarc's projects will result in a new generation of BC porphyry copper mines." Amarc is a mineral exploration and development company with an experienced and successful management team focused on developing a new generation of BC porphyry copper mines.  With the successful combination of strong projects and successful management, and plans for low share dilution financings all advancing, Amarc has created a very solid platform to commence the value-creation life cycle of a mining exploration company. The Company is advancing its 100% owned IKE, DUKE and JOY porphyry copper deposit districts, located in southern, central and northern BC, respectively; each with proximity to industrial infrastructure, power, rail and highways.  These projects represent significant potential for the discovery of important-scale, porphyry copper-gold and copper-molybdenum deposits. The IKE Project is located 33 km northwest of the historical mining community of Gold Bridge.  Over the last three years, Amarc has made a significant new copper-molybdenum-silver porphyry discovery, completing over 12,000 metres of drilling in 21 wide-spaced core holes in the IKE deposit that indicate extensive resource volumes which remain open to expansion in all directions. Extensive regional surveys have also identified numerous porphyry copper mineralized systems and deposit targets; all within 10 km of the IKE Deposit. Amarc believes the IKE Project has the potential to possess the grades and resource capabilities to develop into an important mining camp. Amarc's DUKE deposit and 190 km2 adjacent porphyry copper district is located 80 km northeast of Smithers and 30 km north of former mines (Bell and Granisle) operated by Noranda Mines.  The DUKE Project area is logging road accessible from Smithers or Fort St. James. Historically, DUKE has been explored with surface geochemical and geophysical surveys and also 30 shallow diamond drill holes.  Many of the holes drilled intersected significant lengths of copper-molybdenum-silver-gold porphyry mineralization which remains open both laterally and to depth. The surrounding district hosts multiple second order porphyry copper deposit targets.  Plans are to drill the DUKE deposit target later in the fall of 2017. Amarc's 72 km2 JOY mineral property is located 310 km north of Mackenzie and 25 km north of the Kemess South Mine site.  AuRico Resources' Kemess Underground Project, 19 km to the south of JOY, recently received a BC EA Certificate. Past operators conducted prospecting-style work on the JOY claims.  Some 3,000 soil samples, 800 rock samples and 30 silt samples were collected, but no drilling was done.  The surface surveys clearly indicate a number of substantial porphyry copper-gold and epithermal silver-gold deposit targets across the JOY property.  The porphyry copper-gold deposit targets at JOY are considered by Amarc to be a northern extension to the prolific Kemess porphyry gold-copper district.  Most importantly, historical soil and rock sampling along with a recent confirmation soil survey, has revealed a regionally significant, 7 km2 copper, gold, molybdenum, silver and zinc geochemical anomaly, which potentially reflects a large and shallowly buried, copper-gold porphyry deposit. The Company is planning to complete IP surveys and drill testing of this exceptional target at JOY starting in late July. Amarc is associated with Hunter Dickinson Inc. ("HDI"), a diversified, global mining company with a 25 year history of porphyry discovery and development success.  Previous and current HDI porphyry projects include some of BC's and the world's most important mineral resources, such as Pebble, Mount Milligan, Kemess South, Kemess North, Gibraltar, Prosperity, Xietongmen, Newtongmen, Florence, Sisson and Maggie.  From its head office in Vancouver, Canada, HDI applies its unique strengths and capabilities to acquire, develop, operate and monetize mineral projects to provide superior returns to shareholders. Amarc is committed to working collaboratively with governments and stakeholders to achieve responsible development of its projects, while contributing to sustainable development of the communities in which it works.  All work programs are carefully planned to achieve high levels of environmental and social performance. Mark Rebagliati, P. Eng., a Qualified Person as defined under National Instrument 43-101, has reviewed and approved the technical content of this release. ON BEHALF OF THE BOARD Ronald W. Thiessen Chief Executive Officer Neither the TSX Venture Exchange nor any other regulatory authority accepts responsibility for the adequacy or accuracy of this release. Forward Looking and other Cautionary Information This news release includes certain statements that may be deemed "forward-looking statements". All such statements, other than statements of historical facts that address exploration drilling, exploitation activities and other related events or developments are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Assumptions used by the Company to develop forward-looking statements include the following: Amarc's projects will obtain all required environmental and other permits and all land use and other licenses, studies and exploration of Amarc's projects will continue to be positive, and no geological or technical problems will occur. The Company cannot guarantee that the Consolidated Loan and issuance of securities contemplated by this release will complete.  There is no certainty that the Company will be able to repay the Consolidated Loan or any other outstanding debt or liability of the Company in a timely manner or at all.  Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, potential environmental issues or liabilities associated with exploration, development and mining activities, exploitation and exploration successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and tenure and delays due to third party opposition, changes in and the effect of government policies regarding mining and natural resource exploration and exploitation, exploration and development of properties located within Aboriginal groups asserted territories may affect or be perceived to affect asserted aboriginal rights and title, which may cause permitting delays or opposition by Aboriginal groups, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Amarc Resources Ltd., investors should review the Company's annual Form 20-F filing with the United States Securities and Exchange Commission at www.sec.gov and its home jurisdiction filings that are available at www.sedar.com


CALGARY, ALBERTA--(Marketwired - Dec. 8, 2016) - Spartan Energy Corp. ("Spartan" or the "Company") (TSX:SPE) is pleased to announce the closing of its previously announced strategic light oil acquisition in southeast Saskatchewan from ARC Resources Ltd. (the "Acquisition"). The Acquisition includes high quality, low decline, operated production and a large land base which is highly complementary to Spartan's existing operations in southeast Saskatchewan. In addition, the Company is pleased to announce that its Board of Directors has approved a $145 million capital budget for 2017 that is anticipated to deliver annual average production per share growth of 11%. The 2017 budget is expected to be fully funded by internally generated cash flow. The purchase price for the Acquisition was $700 million, prior to closing adjustments (the "Purchase Price"). The Purchase Price was partially funded through a bought deal financing of 95,852,500 subscription receipts of the Company ("Subscription Receipts") at a price of $3.00 per Subscription Receipt (the "Prospectus Offering") and a private placement of 85,000,000 Subscription Receipts to certain institutional investors at a price of $3.00 per Subscription Receipt (the "Private Placement"). In accordance with their terms, each Subscription Receipt was exchanged for one common share of the Company (an "Underlying Share") upon closing of the Acquisition and the aggregate gross proceeds of $542.6 million from the Prospectus Offering and the Private Placement were released from escrow. Holders of Subscription Receipts are not required to take any action in order to receive the Underlying Shares. The Acquisition results in Spartan becoming one of the largest light oil producing companies in southeast Saskatchewan and furthers Spartan's strategy of developing an asset base that is capable of delivering repeatable, low risk growth while generating free cash flow in a variety of commodity price environments. With the closing of the Acquisition, Spartan is now producing over 20,000 boe/d (93% oil and liquids). The acquired assets are characterized by a low base decline of approximately 12% and include a large suite of opportunities including over 400 drilling locations, recompletions and waterflood expansion across an extensive landbase spanning the conventional Mississippian fairway. The assets also include working interest ownership in two world class CO enhanced oil recovery ("EOR") projects, as well as ownership in strategic infrastructure across the asset base that supports both current and future volumes. The Acquisition is accretive on all key operational and financial measures and the low decline assets provide additional production stability, enhancing our ability to grow production and cash flow per share. Peters & Co. Limited and TD Securities Inc. acted as financial advisors to Spartan in respect of the Acquisition. The following paragraph is a quote from our February 24, 2016 news release. The environment is ripe for acquisitions. There are times in the oil and gas business when drilling generates better returns than acquisitions and there are times when acquisitions generate better returns than drilling. Spartan remained disciplined in respect of acquisitions in 2015 as asset quality proved elusive and vendor expectations did not align with current valuations. However, we believe that this prolonged period of severely challenged crude oil prices will create unique opportunities for growth through acquisition in 2016. We believe Spartan is well positioned to profit from this environment due to the strength of our balance sheet and our attractive cost of capital. At the time we made that statement, we were convinced that 2016 was shaping up to be a year of unprecedented opportunity and during the course of the year we acted upon that conviction. Spartan closed five separate acquisitions during 2016, all for complementary light oil assets in our southeast Saskatchewan core area. Although 2016 was a year in which many companies struggled to maintain production, Spartan was able to add significant per share value through our acquisition program. We increased our exit production per share by 13% from 2015 to 2016, while maintaining the strength of our balance sheet, improving the quality of our asset base and materially lowering our corporate decline rate. In total, Spartan acquired almost 11,000 boe/d of production, 223,000 net acres of land in southeast Saskatchewan and 718 net drilling locations in the Frobisher, Midale, Tilston and Ratcliffe light oil plays. We also added approximately 32.5 mmboe of proved developed producing ("PDP") reserves, 42.3 mmboe of total proved ("TP") reserves and 63.6 mmboe of proved plus probable ("P+P") reserves through the five acquisitions. While the quantum of the increase in reserves was itself material, the 2016 acquisitions also significantly improved the makeup of our reserve base as PDP reserves now represent 45% of our total reserve base, an increase of 29% over Spartan's December 31, 2015 reserves. Spartan was able to execute the 2016 acquisitions at attractive metrics and the acquisitions were accretive on all key operational and financial measures. Key metrics derived from the five acquisitions are as follows: Our corporate strategy has remained unchanged since the inception of Spartan in late 2013. Our business plan revolves around measured, sustainable growth and prudent balance sheet management. We have been consistent in the communication of our strategy to shareholders, and the execution of that strategy forms the foundation of our 2017 capital budget. For 2017, Spartan's Board of Directors has approved a 2017 capital budget of $145 million. The 2017 capital program includes the drilling of 125.8 net development oil wells and is anticipated to deliver annual average production of 21,080 boe/d compared to estimated 2016 average production of approximately 11,700 boe/d, an increase of 80% (11% per share). 2017 exit production is forecast to be 23,000 boe/d. We plan to allocate $114 million of our capital program towards drilling, completion, equipping and tie-in of new wells, $13 million for CO and maintenance costs associated with our recently acquired EOR projects and $18 million on facilities, workovers environmental and other costs. Based upon a WTI price assumption of US$50.00, we expect to generate free cash flow of approximately $42 million in 2017. It is expected that up to $15 million of this free cash flow will be allocated during the year to discretionary projects such as the acquisition of additional land and seismic data and the initiation and expansion of waterflood projects across our extensive asset base. Spartan's 2017 drilling program will be primarily focused on high rate of return, low risk open-hole Mississippian wells in southeast Saskatchewan. We plan on spending approximately $60 million or 53% of our drilling budget to drill 81 net open-hole wells. These wells are highly economic at a variety of commodity prices, with our internal type curve well delivering a half cycle rate of return of 121% - 205% and paying out in 8-12 months (GLJ Q1 pricing with return and payout ranges based on whether well is drilled on Crown or freehold acreage). Continued exploitation and delineation of the frac Midale play at Alameda and Pinto also figures prominently in our 2017 capital program. Spartan plans to allocate approximately $27 million or 24% of our $114 million drilling budget to drill 17.8 net wells targeting the frac Midale play in southeast Saskatchewan. Our internal type curve well delivers a half cycle rate of return of 75% - 106% and pays out in 13 - 17 months (type well at Alameda using GLJ Q1 pricing with return and payout ranges based on whether well is drilled on Crown or freehold acreage). Finally, we expect to spend the remaining $27 million or 24% of our drilling budget to drill 10 net wells targeting Ratcliffe light oil at our recently acquired Oungre property, 3 net wells targeting the Torquay/Three Forks unconventional light oil play and 14 net light oil Viking wells in west central Saskatchewan. Spartan's 2017 capital program is designed with significant financial and operational flexibility in mind. Our goal is to deliver a minimum of 10% organic production per share growth within cash flow while maintaining a strong balance sheet that provides flexibility to continue to pursue additional growth through accretive acquisitions. We are able to achieve this goal in a variety of commodity price environments. Sensitivities to our 2017 capital program are presented in the table below. The Company is also pleased to announce that, in connection with the closing of the Acquisition, its extendible revolving credit facilities (the "Credit Facilities") have been amended to increase the borrowing base to $350 million from $150 million. After giving effect to the increase in the borrowing base, the Credit Facilities are comprised of: (i) an extendible revolving syndicated term credit facility of $320 million (increased from $130 million); and (ii) an extendible revolving working capital credit facility of $30 million (increased from $20 million). The Credit Facilities were drawn from to pay the balance of the Purchase Price. Spartan is pleased to announce that an updated corporate presentation is available on the Company's website at www.spartanenergy.ca. Forward-Looking Statements. Certain information included in this press release constitutes forward-looking information under applicable securities legislation. Forward-looking information typically contains statements with words such as "anticipate", "believe", "expect", "plan", "intend", "estimate", "propose", "project" or similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information in this press release may include, but is not limited to, statements about our corporate strategy, timing and level of 2017 capital expenditures, future acquisition opportunities, future production levels, 2017 netbacks and cash flows, 2017 exit net debt, exit production and net debt to funds flow ratio, unutilized liquidity, drilling location, Spartan's ability to reduce or accelerate spending, economics and payouts of our wells, future waterflood, land and seismic investments and future commodity prices and exchange rates. Statements relating to "reserves" are also deemed to be forward looking statements, as they involve the implied assessment, based on certain estimates and assumptions, that the reserves described exist in the quantities predicted or estimated and that the reserves can be profitably produced in the future. The forward-looking statements contained in this press release are based on certain key expectations and assumptions made by Spartan, including expectations and assumptions concerning the success of future drilling, development and completion activities, the performance of existing wells, the performance of new wells, the availability and performance of facilities and pipelines, the geological characteristics of Spartan's properties, the successful application of drilling, completion and seismic technology, prevailing weather and break-up conditions and access to our drilling locations, commodity prices, royalty regimes and exchange rates, the application of regulatory and licensing requirements, the availability of capital, labour and services, our ability to complete planned capital expenditures within budgeted cost estimates, the ability to market our and gas successfully, our ability to integrate assets and employees acquired through acquisitions, the creditworthiness of industry partners and our ability to acquire additional assets. Although Spartan believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Spartan can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), incorrect assessment of the value of acquisitions, failure to realize the benefits of acquisitions, constraint in the availability of services, commodity price and exchange rate fluctuations, changes in legislation (including but not limited to tax laws, royalty regimes and environmental legislation), adverse weather or break-up conditions and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Production forecasts are directly impacted by commodity prices and the actual timing of our capital expenditures. Actual results may vary materially from forecasts due to changes in interest rates, oil differentials, exchange rates and the timing of expenditures and production additions. These and other risks are set out in more detail in Spartan's Annual Information Form for the year ended December 31, 2015. The forward-looking information contained in this press release is made as of the date hereof and Spartan undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless required by applicable securities laws. The forward looking information contained in this press release is expressly qualified by this cautionary statement. This press release contains future-oriented financial information and financial outlook information (collectively, "FOFI") about Spartan's prospective results of operations, cash flow, free cash flow, operating and cash netbacks, net debt, operating costs and components thereof, all of which are subject to the same assumptions, risk factors, limitations and qualifications as set forth in the above paragraphs and the assumption outlined in the Non-IFRS measures section below. FOFI contained in this press release was made as of the date of this press release and was provided for the purpose of providing further information about Spartan's anticipated future business operations. Spartan disclaims any intention or obligation to update or revise any FOFI contained in this press release, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this press release should not be used for purposes other than for which it is disclosed herein. BOE Disclosure. The term barrels of oil equivalent ("BOE") may be misleading, particularly if used in isolation. A BOE conversion ratio of six thousand cubic feet of natural gas to barrels of oil equivalence is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. All BOE conversions in the report are derived from converting gas to oil in the ratio mix of six thousand cubic feet of gas to one barrel of oil. Reserves Disclosure. All reserve references in this press release are to gross reserves as at the effective date of the applicable evaluation. Gross reserves are the Company's total working interest reserves before the deduction of any royalties and including any royalty interests of the Company. The recovery and reserve estimates of Spartan's crude oil, natural gas liquids and natural gas reserves provided herein are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual crude oil, natural gas and natural gas liquids reserves may be greater than or less than the estimates provided herein. Drilling Locations. This press release discloses drilling inventory in three categories: (i) proved locations; (ii) probable locations; and (iii) unbooked locations. Proved locations and probable locations are derived from the applicable engineering evaluation and account for drilling locations that have associated proved and/or probable reserves, as applicable. Unbooked locations are internal estimates based on our prospective acreage and an assumption as to the number of wells that can be drilled per section based on industry practice and internal review. Unbooked locations do not have attributed reserves or resources. Of the 718 net drilling locations identified as being acquired by Spartan pursuant to our 2016 acquisitions, 118 are proved locations, 88 are probable locations and 512 are unbooked locations. Of the over 400 drilling locations disclosed in respect of the Acquisition, 40 are proved locations, 45 are probable locations and the remainder are unbooked locations. Unbooked locations have been identified by management as an estimation of our multi-year drilling activities based on evaluation of applicable geologic, seismic, engineering, production and reserves information. There is no certainty that we will drill all unbooked drilling locations and if drilled there is no certainty that such locations will result in additional oil and gas reserves, resources or production. The drilling locations on which we actually drill wells will ultimately depend upon the availability of capital, regulatory approvals, seasonal restrictions, oil and natural gas prices, costs, actual drilling results, additional reservoir information that is obtained and other factors. While certain of the unbooked drilling locations have been de-risked by drilling existing wells in relative close proximity to such unbooked drilling locations, other unbooked drilling locations are farther away from existing wells where management has less information about the characteristics of the reservoir and therefore there is more uncertainty whether wells will be drilled in such locations and if drilled there is more uncertainty that such wells will result in additional oil and gas reserves, resources or production. Non-IFRS Measures. This press release provides certain financial measures that do not have a standardized meaning prescribed by IFRS. These non-IFRS financial measures may not be comparable to similar measures presented by other issuers. Cash flow, free cash flow, operating netback, net debt and net debt exclusive of finance lease obligations are not recognized measures under IFRS. Management believes that in addition to net income (loss), funds flow from operations, operating netback, net debt and net debt exclusive of finance lease obligations are useful supplemental measures that demonstrate the Company's ability to generate the cash necessary to repay debt or fund future capital investment. Investors are cautioned, however, that these measures should not be construed as an alternative to net income (loss) determined in accordance with IFRS as an indication of Spartan's performance. Spartan's method of calculating these measures may differ from other companies and accordingly, they may not be comparable to measures used by other companies. Cash flow from operating activities is calculated by adjusting net income (loss) for other income, unrealized gains or losses, accretion expense, stock-based compensation, exploration and evaluation expenses, deferred income taxes, impairment and depletion and depreciation. Cash Flow is calculated based on cash flows from operating activities before changes in non-cash working capital, transaction costs and decommissioning obligation expenditures incurred. Operating netback is calculated based on oil and gas revenue less royalties and operating and transportation expenses. Free cash flow is calculated as cash flow less planned capital expenditures. Net debt is calculated as bank debt plus trade and other liabilities plus finance lease obligations less current assets. Net debt has been presented exclusive of finance lease obligations, as Spartan believes that such measure is useful to evaluate Spartan's financial liquidity. Type Curves. Certain type curves disclosure presented herein represent estimates of the production decline and ultimate volumes expected to be recovered from wells over the life of the well. The type curves represent what management thinks an average well will achieve. Individual wells may be higher or lower but over a larger number of wells,management expects the average to come out to the type curve. Over time type curves can and will change based on achieving more production history on older wells or more recent completion information on newer wells.


NOT FOR DISTRIBUTION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW. Spartan Energy Corp. ("Spartan" or the "Company") (TSX: SPE) is pleased to announce that it has entered into an agreement with ARC Resources Ltd. to acquire strategic assets in southeast Saskatchewan (the "Assets") for cash consideration of $700 million, subject to customary adjustments (the "Acquisition"). The Assets include high quality, low decline, operated production and a large land base which is highly complementary to Spartan's existing operations in southeast Saskatchewan. The Acquisition will result in Spartan becoming one of the largest oil producers in Saskatchewan and represents a continuation of Spartan's strategy to develop an asset base that is capable of funding repeatable, low risk growth within a subset of cash flow. The Acquisition will be funded through Spartan's pro forma credit facility and through committed concurrent equity financings totalling $505 million (the "Financings"), details of which are provided below. The Acquisition is transformational for Spartan and will create a stronger intermediate company, focused on conventional light oil development in southeast Saskatchewan. Pro forma the Acquisition, Spartan will be producing over 20,000 boe/d (93% oil and liquids). The Assets are characterized by a low base decline of approximately 12% and include a large suite of opportunities including over 400 drilling locations, recompletions and waterflood expansion across an extensive landbase spanning the conventional Mississippian fairway. The Assets also include working interest ownership in two world class CO enhanced recovery projects, as well as ownership in strategic infrastructure across the asset base that supports both current and future volumes. The Acquisition has an effective date of October 1, 2016 and closing is expected to occur on or about December 8, 2016, subject to usual closing conditions and regulatory approvals. The Acquisition strengthens Spartan's business model and creates one of the largest light oil producing companies in southeast Saskatchewan, furthering Spartan's strategy of developing an asset base that is capable of delivering repeatable, low risk growth while generating free cash flow in a variety of commodity price environments. The highlights of the Acquisition and the anticipated benefits associated with the Acquisition include, but are not limited to, the following: In connection with the Acquisition, Spartan has entered into an agreement with a syndicate of underwriters co-led by Peters & Co. Limited and TD Securities Ltd. (the "Underwriters"), pursuant to which the Underwriters have agreed to purchase for resale to the public, on a bought-deal basis, 83,350,000 subscription receipts ("Subscription Receipts") of Spartan at a price of $3.00 per Subscription Receipt for aggregate gross proceeds of approximately $250 million (the "Prospectus Offering"). The Underwriters will have an option to purchase up to an additional 15% of the Subscription Receipts issued under the Prospectus Offering at a price of $3.00 per Subscription Receipt to cover over-allotments exercisable in whole or in part at any time until 30 days after the closing of the Prospectus Offering (the "Underwriters' Option"). The gross proceeds from the sale of Subscription Receipts pursuant to the Prospectus Offering will be held in escrow pending the completion of the Acquisition. If the Underwriters are satisfied, acting reasonably, that there is no impediment to the completion of the Acquisition in all material respects in accordance with the terms of the agreement entered into in connection with the Acquisition (other than funding) before 5:00 p.m. (Calgary time) on February 28, 2017, the net proceeds from the sale of the Subscription Receipts will be released from escrow to Spartan and each Subscription Receipt will automatically be exchanged for one common share of Spartan for no additional consideration and without any action on the part of the holder. If the Acquisition is not completed at or before 5:00 p.m. (Calgary time) on February 28, 2017, then the purchase price for the Subscription Receipts will be returned pro rata to subscribers, together with a pro rata portion of interest earned on the escrowed funds. The Subscription Receipts issued pursuant to the Prospectus Offering will be distributed by way of a short form prospectus in all provinces of Canada (excluding Québec) and on a private placement basis in the United States pursuant to exemptions from the registration requirements of the U.S securities laws and certain other jurisdictions as the Company and the Underwriters may agree on a private placement basis. Completion of the Prospectus Offering is conditional upon closing of the Private Placement (as defined below) and is subject to customary closing conditions, including the receipt of all necessary regulatory approvals, including the approval of the Toronto Stock Exchange ("TSX"). Closing of the Prospectus Offering is expected to occur on December 8, 2016. Spartan has also entered into agreements with certain institutional investors who have committed to subscribe for, on a non-brokered private placement basis, 85,000,000 Subscription Receipts at a price of $3.00 per Subscription Receipt for aggregate gross proceeds of $255 million (the "Private Placement"). The completion of the Private Placement is subject to customary closing conditions, including the receipt of all necessary regulatory approvals, including the approval of the TSX. Similar to the Prospectus Offering, the gross proceeds from the Private Placement will be held in escrow pending completion of the Acquisition. The net proceeds from the Prospectus Offering and the Private Placement will be used to partially fund the cash portion of the purchase price for the Acquisition. Peters & Co. Limited and TD Securities Ltd. are acting as financial advisors to Spartan in respect of the Acquisition. This press release is not an offer of the securities for sale in the United States. The securities offered have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws and may not be offered or sold in the United States absent registration or an available exemption from the registration requirement of the U.S. Securities Act and applicable U.S. state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful. BOE Disclosure. The term barrels of oil equivalent ("boe") may be misleading, particularly if used in isolation. A boe conversion ratio of six thousand cubic feet per barrel (6mcf/bbl) of natural gas to barrels of oil equivalence is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. All boe conversions in the report are derived from converting gas to oil in the ratio mix of six thousand cubic feet of gas to one barrel of oil. Forward Looking Statements. Certain information included in this press release constitutes forward-looking information under applicable securities legislation. Forward-looking information typically contains statements with words such as "anticipate", "believe", "expect", "plan", "intend", "estimate", "propose", "project" or similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information in this press release may include, but is not limited to, statements concerning timing of the Acquisition, payment of the purchase price in respect of the Acquisition, expected production and cash flow related to the Acquisition, expected number of future drilling locations related to the Acquisition, the anticipated closing date of the Financings, the use of proceeds from the Financings, reserve estimates, future production levels, the future success of the EOR Projects, decline rates, future operational and technical synergies resulting from the Acquisition, future cash flows, future balance sheet flexibility and future acquisition opportunities. The forward-looking statements contained in this press release are based on certain key expectations and assumptions made by Spartan, including expectations and assumptions concerning the receipt of all approvals and satisfaction of all conditions to the completion of the Acquisition and the Financings, the timing of and success of future drilling, development and completion activities, the performance of existing wells, the performance of new wells, the availability and performance of facilities and pipelines, the geological characteristics of Spartan's properties, the characteristics of the Assets, the successful integration of the Assets into Spartan's operations, the successful application of drilling, completion and seismic technology, prevailing weather conditions, prevailing legislation affecting the oil and gas industry, commodity prices, royalty regimes and exchange rates, the application of regulatory and licensing requirements, the availability of capital, labour and services, the creditworthiness of industry partners and the ability to source and complete asset acquisitions. Although Spartan believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Spartan can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), constraint in the availability of services, commodity price and exchange rate fluctuations, changes in legislation impacting the oil and gas industry, adverse weather or break-up conditions and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. These and other risks are set out in more detail in Spartan's Annual Information Form for the year ended December 31, 2015. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect. Although Spartan believes that the expectations reflected in its forward-looking information are reasonable, undue reliance should not be placed on forward-looking information because Spartan can give no assurance that such expectations will prove to be correct. In addition to other factors and assumptions which may be identified in this press release, assumptions have been made regarding and are implicit in, among other things, the timely receipt of any required regulatory approvals and the satisfaction of all conditions to the completion of the Acquisition and the Financings. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which have been used. The forward-looking information contained in this press release is made as of the date hereof and Spartan undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless required by applicable securities laws. The forward looking information contained in this press release is expressly qualified by this cautionary statement. Future Oriented Financial Information: Any financial outlook or future oriented financial information in this press release, as defined by applicable securities legislation, has been approved by management of Spartan. Readers are cautioned that any such future-oriented financial information contained herein should not be used for purposes other than those for which it is disclosed herein. The Company and its management believe that the prospective financial information has been prepared on a reasonable basis, reflecting management's best estimates and judgments, and represent, to the best of management's knowledge and opinion, the Company's expected course of action. However, because this information is highly subjective, it should not be relied on as necessarily indicative of future activities or results. Non-IFRS Measures. This press release provides certain financial measures that do not have a standardized meaning prescribed by IFRS. These non-IFRS financial measures may not be comparable to similar measures presented by other issuers. Run rate cash flow and operating netback are not a recognized measure under IFRS. Management believes that in addition to net income (loss), run rate cash flow and operating netback are useful supplemental measures that demonstrates the Company's ability to generate the cash necessary to repay debt or fund future capital investment. Investors are cautioned, however, that this measure should not be construed as an alternative to net income (loss) determined in accordance with IFRS as an indication of Spartan's performance. Spartan's method of calculating these measures may differ from other companies and accordingly, they may not be comparable to measures used by other companies. Run rate cash flow is calculated based on annualized production and operating netback . Operating netback equals total petroleum and natural gas sales less royalties and operating costs calculated on a boe basis using the Company's commodity price forecast. Drilling Locations. This press release discloses drilling inventory in three categories: (i) proved locations; (ii) probable locations; and (iii) unbooked locations. Proved locations and probable locations are derived from the reserves evaluation prepared by GLJ in accordance with NI 51-101 and the COGE Handbook and account for drilling locations that have associated proved and/or probable reserves, as applicable. Unbooked locations are internal estimates based on our prospective acreage and an assumption as to the number of wells that can be drilled per section based on industry practice and internal review. Unbooked locations do not have attributed reserves or resources. Of the 404 total net drilling locations identified within the Assets, 40.2 are net proved locations, 45.4 are net probable locations and 318.4 are net unbooked locations. Unbooked locations have been identified by management as an estimation of our multi‐year drilling activities based on evaluation of applicable geologic, seismic, engineering, production and reserves information. There is no certainty that the Company will drill all unbooked drilling locations and if drilled, there is no certainty that such locations will result in additional oil and gas reserves, resources or production. The drilling locations on which we actually drill wells will ultimately depend upon the availability of capital, regulatory approvals, seasonal restrictions, oil and natural gas prices, costs, actual drilling results, additional reservoir information that is obtained and other factors. While certain of the unbooked drilling locations have been de‐risked by drilling existing wells in relative close proximity to such unbooked drilling locations, other unbooked drilling locations are farther away from existing wells where management has less information about the characteristics of the reservoir and therefore there is more uncertainty whether wells will be drilled in such locations and if drilled there is more uncertainty that such wells will result in additional oil and gas reserves, resources or production.


Grant
Agency: GTR | Branch: Innovate UK | Program: | Phase: Innovation Voucher | Award Amount: 5.00K | Year: 2015

The product is an online business intelligence and reporting tool; enabling users to convert their data from multiple merchants into marketing metrics. The product will utilise data from multiple sources into one platform to create generic and custom marketing metrics.


News Article | November 21, 2016
Site: www.prnewswire.com

VANCOUVER, Nov. 21, 2016 /PRNewswire/ - Amarc Resources Ltd. ("Amarc" or the "Company") (TSX-V: AHR; OTCBB: AXREF) is pleased to announce it plans to acquire a 100% interest in two important-scale porphyry copper deposit targets located in north-central and central British Columbia ("BC")...


News Article | November 18, 2016
Site: www.ogj.com

Spartan Energy Corp. has agreed to acquire all of the southeast Saskatchewan assets belonging to fellow Calgary firm ARC Resources Ltd. for $700 million in cash.


News Article | November 28, 2016
Site: www.ogj.com

Spartan Energy Corp. has agreed to acquire all of the southeast Saskatchewan assets belonging to fellow Calgary firm ARC Resources Ltd. for $700 million in cash.

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