Ironhorse Announces Q1 2015 Financial and Operating Results

CALGARY, May 29, 2015 /CNW/ - Ironhorse Oil & Gas Inc. ("Ironhorse" or the "Company") (TSX-V: IOG) announces its financial and operating results for the three months ended March 31, 2015.

Financial and Operation Summary

Mid March 2015, Sinopec Canada completed expansion of the 13-2 battery which required installation of additional sour gas compression, group inlet separation and vapour recovery capacity.  Re-start of production from the Pembina Nisku L2L pool, post 13-2 facility upgrade, began on March 21, 2015.

Currently the Pembina L2L pool is producing from both the 09-05 and 14-05 wells at an average combined rate of 2,000 boe/d gross (315 boe/d net) at restricted choked rates.  Water injection into the 10-05 injection well is at 3,000 barrels of water per day. Oil production from the two wells is anticipated to continue to increase as facility related downtime issues and TransCanada pipeline restrictions are resolved concurrent with well production rate optimization activities by facility operator Sinopec. 

SELECTED INFORMATION			For three months ended
			March 31,	December 31,	March 31,
($ thousands except per share & unit amounts)			2015	2014	2014
Financial
Petroleum and natural gas revenues ^(1)			248	545	134
Funds from operations ^(2)			(68)	123	(44)
	Per share – basic and diluted		-	0.01	-
Net loss			(159)	(331)	(82)
	Per share – basic and diluted		(0.01)	(0.01)	-
Capital expenditures ^(3)			20	12	636
Operation
Production
	Light Oil & NGL (bbl/d)		52	77	8
	Gas (mcf/d)		171	150	124
	Total (boe/d)		81	102	28
Petroleum and natural gas revenues ($/boe)			34.27	57.84	52.87
Royalties ($/boe)			13.96	17.86	10.85
Operating expenses ($/boe)			16.89	17.50	11.77
Operating netback ($/boe)			3.42	22.48	30.25

(1)	Petroleum and natural gas revenues are before royalty expense.
(2)	Funds from operations and net debt are non-GAAP measures as defined in the Advisory section of the MD&A.
(3)	Capital expenditures are before acquisitions and dispositions.

Additional Information

Ironhorse's complete results for the three months ended March 31, 2015, including unaudited condensed financial statements and the management's discussion and analysis are available on SEDAR or the Company's web site at www.ihorse.ca

About Ironhorse:

Ironhorse Oil & Gas Inc. is a Calgary-based junior oil and natural gas production company trading on the TSX Venture Exchange under the symbol "IOG."

Forward-looking statements:

Statements throughout this release that are not historical facts may be considered to be "forward looking statements." These forward looking statements sometimes include words to the effect that management believes or expects a stated condition or result. All estimates and statements that describe the Company's objectives, goals, or future plans, including management's assessment of future plans and operations, drilling plans and timing thereof, expected production rates and additions and the expected levels of activities may constitute forward-looking statements under applicable securities laws and necessarily involve risks including, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, volatility of commodity prices, imprecision of reserve estimates, environmental risks, competition from other producers, incorrect assessment of the value of acquisitions, failure to complete and/or realize the anticipated benefits of acquisitions, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources and changes in the regulatory and taxation environment. As a consequence, the Company's actual results may differ materially from those expressed in, or implied by, the forward-looking statements. Forward-looking statements or information are based on a number of factors and assumptions which have been used to develop such statements and information but which may prove to be incorrect. Although the Company believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. In addition to other factors and assumptions which may be identified in this document, assumptions have been made regarding, among other things: the ability of the Company to obtain equipment and services in a timely and cost efficient manner; drilling results; the ability of the operator of the projects which the Company has an interest in to operate the field in a safe, efficient and effective manor; and field production rates and decline rates. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect the Company's operations and financial results are included elsewhere herein and in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). Furthermore, the forward-looking statements contained in this release are made as at the date of this release.

Boe Conversion – Certain natural gas volumes have been converted to barrels of oil equivalent ("boe") whereby six thousand cubic feet (mcf) of natural gas is equal to one barrel (bbl) of oil. This conversion ratio is based on an energy equivalency conversion applicable at the burner tip and does not represent a value equivalency at the wellhead.

"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

SOURCE Ironhorse Oil & Gas Inc.

Larry J. Parks, President & Chief Executive Officer, [phone]; Karen Hutson, VP Finance & Chief Financial Officer, [phone], www.ihorse.ca