CALGARY,
AB, May 19, 2023 /CNW/ - Yangarra Resources
Ltd. ("Yangarra" or the "Company") (TSX: YGR) provides an
operations and banking update.
Operations Update
Yangarra commenced drilling operations at Chedderville in early
May, with six wells planned. Completions activity is expected to
restart in late May at West Ferrier with an on-stream target of
early June on five wells.
Following the successful completion of the three initial wells
at Chambers, Yangarra expects to drill six wells at Chambers this
summer.
Wildfire Update
Third party facility impacts resulted in approximately 500 boe/d
of shut-in production for approximately seven days. All shut-in
production is back onstream, Yangarra will continue to monitor
wildfire activity in the area and shut-in production when and if
required for safety purposes.
Credit Facility Update
Yangarra has completed its borrowing base review and the
Company's syndicated senior credit facility has been set at
$145 million with a banking syndicate
of ATB Financial (lead) and Canadian Imperial Bank of Commerce. The
credit facility will reduce by $5
million per quarter starting September 30, 2023, through to September 30, 2024, at which point the facility
will remain at $120 million. The term
out date has been extended to May 31,
2024, and the maturity date has been extended to
May 31, 2025.
All reference to $ (funds) are in Canadian dollars unless
otherwise noted.
Forward Looking Information.
Certain information regarding Yangarra set forth in this news
release, management's assessment of future plans, operations and
operational results may constitute forward-looking statements under
applicable securities law and necessarily involve risks associated
with oil and gas exploration, production, marketing and
transportation such as loss of market, volatility of prices,
currency fluctuations, imprecision of reserves estimates,
environmental risks, competition from other producers and ability
to access sufficient capital from internal and external sources.
Accordingly, actual results may differ materially from those
anticipated in the forward-looking statements. Certain of these
risks are set out in more detail in Yangarra's current Annual
Information Form, which is available on Yangarra's SEDAR profile at
www.sedar.com.
Forward-looking statements are based on estimates and
opinions of management of Yangarra at the time the statements are
presented. Yangarra may, as considered necessary in the
circumstances, update or revise such forward-looking statements,
whether as a result of new information, future events or otherwise.
Yangarra undertakes no obligation to update or revise any
forward-looking statements, except as required by applicable
securities laws.
Neither the TSX nor its Regulation Service Provider (as that
term is defined in the Policies of the TSX) accepts responsibility
for the adequacy and accuracy of this release.
SOURCE Yangarra Resources Ltd.