Goodrich Petroleum Announces New Hedges and Updates Overall Hedge Position
18 December 2009 - 11:00PM
PR Newswire (US)
HOUSTON, Dec. 18 /PRNewswire-FirstCall/ -- Goodrich Petroleum
Corporation (NYSE:GDP) today announced that it has recently added
to its existing hedge position by executing zero cost collars on
30,000 Mmbtu per day for the period including all of calendar years
2010, 2011, and 2012. The transactions increase the Company's total
2010 hedged volumes to 50,000 Mmbtu per day at a floor price of
$6.00 per Mmbtu and an average ceiling price of $7.10 per Mmbtu,
and its 2011 and 2012 hedged volumes to 40,000 Mmbtu per day at a
floor price of $6.00 per Mmbtu and an average ceiling price of
$7.09 per Mmbtu. Additionally, the Company has previously hedged a
portion of its East Texas basis exposure at $0.37 per Mmbtu on
50,000 Mmbtu per day for calendar year 2010. The Company also
announced that the realized gains on its commodity derivative
portfolio for the fourth quarter of 2009 totaled approximately
$22.3 million. OTHER INFORMATION Certain statements in this news
release regarding future expectations and plans for future
activities may be regarded as "forward looking statements" within
the meaning of the Securities Litigation Reform Act. They are
subject to various risks, such as financial market conditions,
operating hazards, drilling risks, and the inherent uncertainties
in interpreting engineering data relating to underground
accumulations of oil and gas, as well as other risks discussed in
detail in the Company's Annual Report on Form 10-K and other
filings with the Securities and Exchange Commission. Although the
Company believes that the expectations reflected in such forward
looking statements are reasonable, it can give no assurance that
such expectations will prove to be correct. Initial production
rates are subject to decline over time and should not be regarded
as reflective of sustained production levels. Note that although
the Company refers to the commodity derivative contracts described
above as hedges, it is not currently designating any of these
contracts as hedges in its financial statements. Goodrich Petroleum
Corporation is an independent oil and gas exploration and
production company listed on the New York Stock Exchange. The
majority of its properties are in Louisiana and Texas. DATASOURCE:
Goodrich Petroleum Corporation CONTACT: Robert C. Turnham,
President, or David R. Looney, Chief Financial Officer, both of
Goodrich Petroleum Corporation, +1-713-780-9494 Web Site:
http://www.goodrichpetroleum.com/
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