Crescent Point Energy Corp. Up 1% On Q4

Crescent Point Energy Corp. (CPG.TO) announced its operating and financial results for the fourth quarter and year ended December 31, 2012

In fourth quarter 2012:

Crescent Point achieved a new production record in fourth quarter 2012 and averaged 108,007 boe/d, weighted 90% to light and medium crude oil and liquids. This represents a growth rate of 8% over third quarter 2012 and 33% over fourth quarter 2011.

During the quarter, the company spent a record $405.6 million on drilling and development activities, drilling 169 (127.1 net) wells with a 98% success rate. Crescent Point also spent $57.8 million on land, seismic and facilities, for total capital expenditures of $463.4 million.

Crescent Point generated funds flow from operations of $430.4 million ($1.18 per share - diluted) in fourth quarter 2012, representing a 13% increase over fourth quarter 2011 funds flow from operations of $381.9 million ($1.32 per share - diluted).

Crescent Point maintained consistent monthly dividends of $0.23 per share, totaling $0.69 per share for fourth quarter 2012. This is unchanged from $0.69 per share paid in fourth quarter 2011. On an annualized basis, the fourth quarter dividend equates to a yield of 7%, based on a volume weighted average quarterly share price of $39.24.

During fourth quarter, the company closed the acquisition of Ute Energy Upstream Holdings LLC, a privately held oil and gas producer with assets in the Uinta Basin light oil resource play in northeast Utah. The assets acquired included production of approximately 7,800 boe/d and approximately 270 net sections of land in the centre of the resource play.

Also during the quarter, Crescent Point closed a bought deal financing and the associated partial over-allotment option exercise. A total of 20,000,000 shares were issued at a price of $40.00 per Crescent Point share for aggregate gross proceeds of $800 million.

Crescent Point continued to increase oil deliveries through its recently expanded Stoughton rail terminal, providing access to diversified refining markets and more stable price differentials to WTI. During the quarter, the Company also shipped the first oil deliveries through its Dollard rail terminal in southwest Saskatchewan. Fourth quarter average rail throughput was more than 19,000 bbl/d and 2,000 bbl/d, respectively. Between financial WTI derivatives and term rail contracts, Crescent Point has locked in more than 15,000 bbl/d of production for the next 18 months at selling prices greater than CDN$90.00/bbl.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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