Parex Resources reports strong financial results for Q2 2024

From GlobeNewswire: 2024-07-31 18:01:00

Parex Resources Inc. announces strong financial results for Q2 2024, with FFO of $181 million and a FFO per share of $1.77. The company declared a Q3 dividend of C$0.385 per share and repurchased 2.7 million shares YTD.

Quarterly average production was 53,568 boe/d, with a net income of $4 million and an operating netback of $46.32/boe. Capital expenditures for the quarter totaled $97,797, with $83 million in free cash flow generated.

Parex saw success in drilling a follow-up well at LLA-32, with plans for more follow-up wells in H2 2024. The company is monitoring positive results from a polymer injection pilot at Cabrestero and planning a full field expansion.

Following issues at the Arauca Block, Parex is reallocating capital to LLA-32 and Capachos. Initial results at Arauca have been lower than expected, with a workover planned for Q3 2024 to optimize production.

Parex’s high-impact exploration well at Arantes (LLA-122) is progressing, with the well currently at roughly 16,500 feet and targeting a total depth of 19,500 feet. The well is expected to reach total depth in late Q3 2024.



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