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SWIFT ENERGY COMPANY NEWSSWIFT ENERGY UPDATES DOMESTIC ACTIVITY FOR THIRD QUARTERHOUSTON, October 16, 2000 - Swift Energy Company (NYSE: SFY; PCX) announced today that it expects to report record revenues and earnings for the third quarter of 2000, resulting from sustained increases in oil and natural gas prices. Additionally, the Company announced $30.4 million of producing property acquisitions with estimated proved reserves of approximately 34.6 Bcfe (billion cubic feet equivalent). During the third quarter of 2000, the Company made two acquisitions of producing properties from partnerships managed by Swift, which are currently undergoing liquidation. Additional interests were acquired from these partnerships in the AWP Olmos Field (located in South Texas) with estimated proved reserves of 9.7 Bcfe (77% natural gas) for $8.8 million and in the Chunchula Field (located in Alabama) with estimated proved reserves of 8.1 Bcfe (72% natural gas) for $4.0 million. Additionally, the Company executed contractual agreements today with multiple selling parties, not affiliated with the Company, to acquire oil and gas properties located in the Texas Gulf Coast area, including both onshore properties and smaller offshore interests, with estimated proved reserves of 16.8 Bcfe (53% natural gas) for $17.6 million. Production for the third quarter is expected to be 10.5 Bcfe, approximately the same as production during the third quarter of 1999. The oil price received for the quarter is estimated to average in excess of $30.00 per barrel while the natural gas price is expected to average above $4.25 per thousand cubic feet. This is expected to provide a record composite average price for the quarter of at least $4.50 per Mcfe (thousand cubic feet equivalent). Beginning in the third quarter, the Company significantly accelerated its drilling activity. The results of this accelerated activity will be evident in the fourth quarter and as we enter the new year. Currently, the Company has nine rigs drilling domestically: four in the Masters Creek Field (one of which is a second Saratoga test), one in the Burr Ferry Field, one in the Brookeland Field, one in the Giddings area (reentry of the Rancho Cullen #2 well into the Edwards formation), one in the AWP Olmos Field and one exploration test (Tri Country prospect). During the third quarter, the Company drilled and placed on production two wells in the Masters Creek Field, two wells in the Whiskey Chitto Field, one well in the Brookeland Field, two wells in the Giddings area and 10 wells in the AWP Olmos Field. The Company also participated in three development wells that are awaiting completion, one exploration test (Lost Canyon prospect) that was a dry hole, and placed one well in Masters Creek on production at the beginning of the fourth quarter. Of particular note during the third quarter, the Company reentered the Temple 6 #1 to test the Saratoga formation in the Masters Creek Field. This well tested at rates up to 534 barrels of oil and 196 thousand cubic feet of gas per day. As noted above, one of the active rigs in the Masters Creek Field is drilling an additional new well to test the Saratoga formation. Terry Swift, President of Swift Energy Company, stated that, "We are pleased with the expected record results for the third quarter. During this period, we have experienced numerous delays in obtaining drilling rigs, crews, services, supplies and permits that are indicative of the tighter supply for services and equipment. These have certainly impacted the timing of our projects as well as our anticipated levels of production. However, the sustained increases in prices for both oil and natural gas also reflect the strong fundamentals for supply and demand that are present for this market. We believe that this is an excellent environment for continued growth by making selective acquisitions and increased drilling activity." Swift Energy Company is an independent oil and gas company engaged in the exploration, development, acquisition, and operation of oil and gas properties, with a focus on U.S. onshore natural gas reserves. Founded in 1979 with headquarters in Houston, Texas, the Company has achieved outstanding growth rates in proved oil and gas reserves, production, and cash flow over the last five years through a disciplined program of acquisitions and drilling, while maintaining a strong financial position. This material includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The opinions, forecasts, projections, or other statements other than statements of historical fact, are forward-looking statements. 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 have been correct. Certain risks and uncertainties inherent in the Company's business are set forth in the filings of the Company with the Securities and Exchange Commission. 16825 Northchase Drive, Suite 400, Houston, Texas 77060
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This page was last updated on Monday, January 10, 2005, at 08:18:05 AM. Copyright © 1994-2008 by Swift Energy Company. |
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