Surge Energy Inc. announces record results for the third quarter 2013

CALGARY, Nov. 4, 2013 /CNW/ - Surge Energy Inc. ("Surge" or the "Company") is pleased to announce its financial and operating results for the three and nine month periods ended September 30, 2013.

FINANCIAL AND OPERATING SUMMARY
($000s except per share amounts)
	Three months ended September 30,			Nine months ended September 30,
	2013	2012	% change	2013	2012	% change
Financial highlights
Oil and NGL sales	83,146	39,481	111%	183,987	132,457	39%
Natural gas sales	3,674	3,733	(2%)	14,371	10,719	34%
Other revenue	8	29	(72%)	56	54	4%
Total oil, natural gas, and NGL revenue	86,828	43,243	101%	198,414	143,230	39%
Funds from Operations^1	44,454	19,849	124%	96,504	68,171	42%
Per share basic ($)	0.37	0.28	32%	1.10	0.96	15%
Per share diluted ($)	0.37	0.28	32%	1.10	0.95	16%
Net income (loss)	9,319	(986)	nm^4	(7,039)	14,944	nm
Per share basic ($)	0.08	(0.01)	nm	(0.08)	0.21	nm
Per share diluted ($)	0.08	(0.01)	nm	(0.08)	0.21	nm
Capital expenditures - petroleum & gas properties^2	19,997	53,133	(62%)	85,228	135,739	(37%)
Capital expenditures - acquisitions & dispositions^2	218,439	1,354	nm	202,255	112,391	80%
Total capital expenditures^2	238,436	54,487	338%	287,483	248,130	16%
Net debt at end of period^3	188,179	202,746	(7%)	188,179	202,746	(7%)
Operating highlights
Production:
Oil and NGL (bbls per day)	9,725	5,651	72%	7,861	6,108	29%
Natural gas (mcf per day)	13,696	15,846	(14%)	14,933	16,494	(9%)
Total (boe per day) (6:1)	12,008	8,292	45%	10,350	8,857	17%
Average realized price (excluding hedges):
Oil and NGL ($per bbl)	92.93	75.94	22%	85.73	79.15	8%
Natural gas ($ per mcf)	2.92	2.56	14%	3.53	2.37	49%
Realized loss on financial contracts ($ per boe)	(4.32)	(0.06)	nm	(2.47)	(0.44)	nm
Net back (excluding hedges) ($ per boe)
Oil, natural gas and NGL sales	78.60	56.70	39%	70.22	59.02	19%
Royalties	(14.55)	(9.96)	46%	(12.83)	(10.63)	21%
Operating expenses	(12.94)	(11.48)	13%	(12.54)	(11.25)	11%
Transportation expenses	(2.01)	(2.07)	(3%)	(2.22)	(2.15)	3%
Operating netback	49.10	33.19	48%	42.63	34.99	22%
G&A expenses	(2.56)	(3.12)	(18%)	(3.46)	(3.42)	1%
Interest expense	(2.04)	(2.23)	(9%)	(2.43)	(1.94)	25%
Corporate netback	44.50	27.84	60%	36.74	29.63	24%
Common shares (000s)
Common shares outstanding, end of period	121,864	71,143	71%	121,864	71,143	71%
Weighted average basic shares outstanding	119,878	71,117	69%	87,663	70,884	24%
Stock option dilution (treasury method)	248	-	100%	-	1,249	(100%)
Weighted average diluted shares outstanding	120,126	71,117	69%	87,663	72,133	22%

 

1	Management uses funds from operations (cash flow from operating activities before changes in non-cash working capital, legal settlement expenses, transaction costs and current tax on disposition) to analyze operating performance and leverage. Funds from operations as presented does not have any standardized meaning prescribed by IFRS and, therefore, may not be comparable with the calculation of similar measures for other entities.
2	Please see capital expenditures note.
3	The Corporation defines net debt as outstanding bank debt plus or minus working capital and dividends payable, and excluding the fair value of financial contracts, accrued share appreciation rights within accounts payable and other current obligations.
4	The Corporation views this change calculation as not meaningful, or "nm".

FINANCIAL ACHIEVEMENTS & HIGHLIGHTS:

Highlights for the quarter include:

• Increased production by 45 percent to 12,008 boe per day for the third quarter of 2013 as compared to 8,292 in the third quarter of 2012. This third quarter 2013 production level exceeded Surge's previously announced 2013 exit rate of 12,000 boe per day.
  
  
• Increased oil & NGL production by 72 percent in the third quarter of 2013 as compared to the third quarter of 2012.
  
  
• Revenue more than doubled in the third quarter of 2013 as compared to the third quarter of 2012.
  
  
• Increased operating netback by 48 percent to $49.10 per boe for the third quarter of 2013 as compared to $33.19 in the third quarter of 2012 (excluding risk management activity).
  
  
• Increased corporate netback by 60 percent to $44.50 per boe for the third quarter of 2013 as compared to $27.84 in the third quarter of 2012 (excluding risk management activity).
  
  
• Funds from operations increased 124 percent to $44.5 million during the third quarter of 2013 from $19.8 million during the same period of 2012.
  
  
• Funds from operations per fully diluted share increased 32 percent during the third quarter of 2013 to $0.37 compared to $0.28 the same period in 2012.
  
  
• Net income per fully diluted share increased to $0.08 compared to a loss of $0.01 the same period in 2012.
  
  
• Reduced general and administrative expenses per boe by 18 percent in the third quarter of 2013 as compared to the third quarter of 2012.
  
  
• Maintained an excellent balance sheet with debt to annualized third quarter funds from operations of less than 1.1 times.
  
  
• Achieved a 100 percent drilling success rate investing a total of $20.0 million of capital in the third quarter, $14.0 million of which was allocated to drilling 5 gross (5 net) oil wells.
  
  
• Surge realized an 81 percent oil and natural gas liquids production weighting in the third quarter of 2013.
  
  
• 96 percent of Surge's revenue resulted from oil and natural gas liquids production, in the third quarter of 2013 with four percent derived from natural gas production.
  
  
• Maintained consistent risk management program which protects Surge's balance sheet.  The Corporation has 52 percent of its third quarter average oil and NGL (after royalties) production hedged for the remainder of 2013, with an average WTI floor price of approximately $95.79 CAD per barrel and approximately 45 percent of its current oil and NGL (after royalties) production hedged for 2014, at an average WTI floor price of more than $95.37 CAD per barrel.

CORPORATE ACHIEVEMENTS AND HIGHLIGHTS

Acquisition of Elite, Large OOIP, Crude Oil Asset and $247.5 Million Equity Financing

On July 3, 2013, Surge closed the accretive acquisition of an operated, medium gravity crude oil producing asset in the Southwest area of Saskatchewan (the "Acquisition") with internally estimated original oil in place ("OOIP")⁵ of more than 250 million barrels and a recovery factor of less than 1.5 percent, for net consideration of $242.4 million.  In conjunction with the Acquisition, Surge entered into a $247.5 million bought deal equity financing.

At this time Surge's board of directors also announced an increase in the Company's anticipated dividend from $0.30 per share to $0.40 per share per year.

Operational Success Leads to Five percent Dividend Increase

On August 7, 2013 Surge's board of directors (the "Board") approved an increase in the Company's annual dividend by five percent from $0.40 per share ($0.0333 per share per month) to $0.42 per share ($0.035 per share per month).

This dividend increase was based upon: 1) better than anticipated drilling results at Valhalla, Silver and Nipisi South; 2) better than anticipated early waterflood response at Nipisi; 3) significantly better than forecasted North American crude oil prices; and 4) continued execution of Surge's ongoing hedging/risk management program.

First Dividend Payment

A milestone event for Surge shareholders occurred on September 16, 2013 when Surge paid the Company's first monthly dividend of $0.035 per share ($0.42 per share per year) in respect of August 2013 production.

Subsequent Event - Surge Announced Two High Quality, Light Oil Acquisitions, an Upward Revision to 2013/14 Guidance, and a 19 percent Increase in Dividend

Subsequent to the third quarter, on October 22, 2013 Surge announced two strategic, high quality light oil acquisitions. The first acquisition involved the $147 million purchase of all of the shares of a Calgary based private oil and  gas company (the "Privateco"), with high netback, operated, producing light oil assets focused in the Steelman area of SE Saskatchewan, and the Dodsland area of SW Saskatchewan (the "Privateco Assets"). The consideration to be paid to the shareholders of Privateco is comprised of between 15.7 and 20.7 million shares of Surge, subject to the cash consideration elected by Privateco shareholders to a maximum of $30 million, plus the assumption of $23 million of debt (the "Privateco Acquisition").

Additionally, Surge announced that it has entered into an agreement to acquire high quality, high netback, operated, producing light oil assets primarily located in the SW area of Manitoba. Total consideration of $135 million to be paid to the vendor of the Manitoba Assets is comprised of 14.2 million shares of Surge, and $50 million of cash (the "Asset Acquisition").

Based upon the Privateco Acquisition and the Asset Acquisition (collectively the "Acquisitions"), Surge again upwardly revised the Company's 2013 exit guidance, and its 2014 full year guidance ( Please see below under "Upward Revision to 2013/14 Guidance").

__________________________

⁵ Original Oil in Place (OOIP) is the equivalent to Discovered Petroleum Initially In Place (DPIIP) for the purposes of this
press release. DPIIP is defined as quantity of hydrocarbons that are estimated to be in place within a known accumulation,
plus those estimated quantities in accumulations yet to be discovered. There is no certainty that it will be commercially
viable to produce any portion of the resources. A recovery project cannot be defined for this volume of DPIIP at this time,
and as such it cannot be further sub-categorized.

Furthermore, as a result of these highly accretive Acquisitions, together with better than anticipated operational and drilling results, Surge announced that the Company will now be increasing the annual dividend 19 percent from $0.42 per year ($0.035 per share per month), to $0.50 per share per year ($0.04166 per share per month) commencing November 2013 .

The closing of the Acquisitions is expected to occur on or about November 13^th, 2013 (the "Closing").

As a result of the structure of the Acquisitions, post Closing Surge will maintain the Company's excellent balance sheet and debt to forward cash flow ratio, with over $120 million of credit availability on the Company's bank line. In addition, pro-forma the Acquisitions, there is no change in Surge's very low, "all-in" sustainability ratio of 93 percent.

The Acquisitions fit squarely within Surge's defined business strategy of investing growth capital to acquire elite, operated, light and medium gravity crude oil reservoirs, with large OOIP and low recovery factors.

The Privateco Acquisition provides a strategic entry point for Surge into the prolific Midale Marly, light oil play trend in SE Saskatchewan, and the Viking light oil play in SW Saskatchewan. The Manitoba Assets provide Surge shareholders with exposure to one of the highest quality, highest netback light oil plays in Canada, focused in the Bakken/Three Forks formation located in SW Manitoba.

The Acquisitions are highly accretive to Surge shareholders and provide Surge with exposure to three of the top light oil plays in Canada (collectively the "Assets"). They also provide an excellent operational platform for additional growth on these proven trends.

The Acquisitions comprise and possess large OOIP reservoirs, together with low recovery factors, operatorship and high working interests. They also possess significant upside from low risk development drilling and waterfloods. Furthermore, the Acquisitions include key producing infrastructure, including batteries, pipelines and waterflood facilities.

Corporately, the light oil Acquisitions significantly increase Surge's operating netback by over 11 percent, and increase the Company's oil weighting to over 84 percent.

Post Closing Surge will have over 1 Billion barrels of light and medium gravity OOIP under the Company's ownership and management - with a recovery factor of less than 3 percent, based on internal estimates.

OPERATIONS OVERVIEW

Surge delivered a 28 percent increase in production as compared to the second quarter of 2013. The Company also increased its oil and NGL weighting to 81 percent in the third quarter of 2013 from 74 percent in the previous quarter. This is the result of the successful integration of the Shaunavon asset in early July, and additional operational success across the Company's asset base.

Third quarter production exceeded Surge's previously announced 2013 exit rate of 12,000 boe per day. This execution creates a solid foundation for the operational activity planned in the fourth quarter, which includes the drilling of four Sparky wells at Silver, three wells at Shaunavon, one well at Valhalla, 2.5 net wells on the newly acquired SE Saskatchewan and Manitoba assets, and one well at Windfall.

Shaunavon

Surge took operatorship of the Shaunavon assets on July 3, 2013 and immediately initiated a 30 well pump optimization program. During the third quarter 20 optimizations were executed, adding approximately 385 barrels of oil per day of production for the quarter. To date Surge has executed 26 optimizations with similar results.

Surge has received water flood approvals for two sections and will commence pilots in the fourth quarter of 2013; one at 200 meter inter well spacing, and one at 400 meter inter well spacing (eight and four wells per section respectively). The pilots involve five injector conversions, which are complete, with water injection expected to commence in November. Surge expects waterflood response in three to six months and is encouraged by the success of other Lower Shaunavon water flood pilots in the area.

Surge plans to drill three Lower Shaunavon wells in the fourth quarter of 2013, with drilling commencing in November.

Silver Area

At Eye Hill, four Cretaceous horizontal wells were brought on production during the quarter. The wells have performed significantly above the type curve expectations. In addition, a fifth well has been drilled completed and brought on production subsequent to quarter end. A multi-well battery has been constructed which will significantly reduce the operating costs for these wells and conserve the solution gas.

Surge has negotiated a multi-section farm in agreement which captures another estimated 30 to 45 million barrels of OOIP within this significant oil accumulation. Surge has conducted a 16 section 3D seismic program over the pool and will drill two additional wells by year end.

In the Silver area, one Cretaceous horizontal well was brought on production during the quarter. It has performed above type curve expectation and is currently producing above 100 barrels of oil per day after three months on production.

Surge executed a 4.75 section farm in within the established pool, capturing an additional estimated 25 million barrels of OOIP. An earning well has been drilled and placed on production in October.

Nipisi

The water flood initiated in the second quarter of 2013 has responded after approximately eight weeks of injection into a single well, and added over 100 barrels of oil per day above budget expectations for the quarter. Surge commenced injection into a second well in September. Approval was received for an additional two injectors during the quarter and a third well has been converted with operations underway to commence injection in December.

Windfall

Surge is currently drilling a development well at Windfall which will add to fourth quarter production and continue multiple, prospective sections within the pool. The Company is also continuing waterflood operations on this 60 million OOIP light oil asset.

Valhalla

At Valhalla, Surge drilled and placed a 100 percent working interest Doig well on production in September (14-07-075-08 W6). The well result continued to expand and confirm the significant potential for new reserve adds in Surge's northernmost, 100 percent working interest lands. The well also established a record low total "on production" cost of under $4.0 million. Surge plans to drill one more Doig well in the fourth quarter of 2013.

Surges' first Montney horizontal oil well was drilled and successfully completed at 01-31-074-08 W6 (100 percent WI) during the quarter. The well encountered over 800 horizontal meters of Montney pay. The well flowed back at significant fluid rates with reasonable oil cuts. As a result of the high H2S content of the solution gas, the well will need to be tied in to facilities to evaluate further and optimize the artificial lift required. This will not likely occur prior to year end.

During September the solution gas production at Valhalla was restricted as a result of a gas plant turnaround at a third party facility, which turnaround has lasted longer than forecast (i.e. Surge had anticipated a two week restriction). This reduced the monthly gas production in September by two mmcfd and approximately 100 barrels of oil and NGLs per day for the month, which impacted third quarter production by approximately 135 boe per day. This gas plant turnaround has continued through October, with full Valhalla production expected to return to normal levels in early November. The impact to fourth quarter production is estimated to be approximately 800 boed (71 percent natural gas and NGL's), which is estimated to impact fourth quarter cash flow by only $2 million. This turnaround will not affect Surge's 2013 exit rate of 14,200 boe per day.

UPWARD REVSION TO 2013/14 GUIDANCE

The following sets forth Surge's upwardly revised guidance for exit 2013 estimates, and for full year 2014 estimates.

Operational:

	Surge 2014E Guidance (prior to new Acquisitions)^6	Surge 2014E Guidance (after the new Acquisitions)^6
2013E Exit Production (boe/d)	12,000 (78 percent Oil/NGLs)	14,200 (82 percent Oil/NGLs)
2014E Average Production (boe/d)	12,100 (78 percent Oil/NGLs)	14,450 (82 percent Oil/NGLs)
2014E Exit Production (boe/d)	12,500 (78 percent Oil/NGLs)	14,750 (82 percent Oil/NGLs)
2P Reserves^7	54.6 mmboe	64.3 mmboe
RLI (based on 2013E exit production)	> 12 years	> 12.4 years
2014E Capital Spending	$85 million	$109 million
2014E Wells Drilled	30 wells	46.5 wells
2014 Decline	24 percent	25 percent

Financial:

	Surge 2014E Guidance (prior to new Acquisitions)^6	Surge 2014E Guidance (after the new Acquisitions)^6
2014E Funds from Operations ("FFO")^8,9	$146 million ($1.20 per share)	$203 million ($1.30 per share)
2014E Operational Netback	$38.33/boe	$42.88/boe
2014E Cash Flow Netback	$33.94/boe	$38.56/boe
Shares Outstanding^9	121 million	157 million
Annual Dividend^9	$51 million	$78 million
Yield^10	6.3 percent	7.5 percent
Basic Payout Ratio 2014E	35 percent	39 percent
"All-in" Payout Ratio	93 percent	93 percent
2014E Exit Net Debt^9	$205 million	$268 million
2014E Net debt / 2014 FFO^9	1.4x	1.3x
Bank Line	$350 million	Estimated at $430 million

__________________________

⁶ Based on 2014 Edmonton Par $90.45/bbl; 2014 AECO gas $3.69/mcf and a 2014 CAD/USD exchange rate of $0.985.

⁷ Based on independent engineering reports as of December 31, 2012 or later.

⁸ Management uses funds from operations (cash flow from operations before changes in non-cash working capital, legal
settlement expenses, transaction costs and current tax on disposition) to analyze operating performance and leverage. Funds
from operations as presented does not have any standardized meaning prescribed by IFRS and, therefore, may not be
comparable with the calculation of similar measures for other entities.

⁹ Assumes that 20.7 million shares of Surge are issued pursuant to the privateco acquisition announced on October 22, 2013.

¹⁰ Based on a Surge share price of $6.70.

FINANCIAL STATEMENTS AND ACCOMPANYING MDA:

Surge will be filed with Canadian securities regulatory authorities its financial statements and accompanying MD&A for the three and nine month periods ended September 30, 2013. These filings are available for review at www.sedar.com or www.surgeenergy.ca.

Non-IFRS Measures

The terms "funds from operations", "funds from operations per share", and "netback" used in this discussion are not recognized measures under International Financial Reporting Standards (IFRS).  Management believes that in addition to net income, funds from operations and netback are useful supplemental measures as they provide an indication of the results generated by the Corporation's principal business activities before the consideration of how those activities are financed or how the results are taxed.  Investors are cautioned, however, that these measures should not be construed as alternatives to net income determined in accordance with IFRS, as an indication of Surge's performance.

Surge's method of calculating funds from operations may differ from that of other companies, and, accordingly, may not be comparable to measures used by other companies.  Surge determines funds from operations as cash flow from operating activities before changes in non-cash working capital, legal settlement expense, transaction costs, and current tax on disposition as follows:

Funds from Operations
($000s)		Q3 2013				Q2 2013				Q1 2013				Q4 2012				Q3 2012
Cash flow from operating activities		$	17,106			$	24,703			$	24,987			$	23,116			$	24,483
Change in non-cash working capital		22,597				(3,019		)		250				945				(4,634		)
Legal settlement expense		—				3,550				—				—				—
Transaction costs		4,751				139				—				—				—
Current tax on disposition		—				1,439				—				—				—
Funds from operations		$	44,454			$	26,812			$	25,237			$	24,061			$	19,849

Funds from operations per share are calculated using the same weighted average basic and diluted shares used in calculating income per share.  Operating and corporate netbacks are also presented.  Operating netbacks excluding hedging activity represent Surge's revenue, excluding realized and unrealized gains or losses on financial contracts, less royalties and operating and transportation expenses.  Operating netbacks including hedging activity represent Surge's operating netback adjusted for realized gains or losses on financial contracts.  Corporate netbacks represent Surge's operating netback, less general and administrative and interest expenses, in order to determine the amount of funds generated by production.  Operating and corporate netbacks have been presented on a per barrels of oil equivalent ("boe") basis.  This reconciliation is shown within the MD&A.

Forward looking statements:
This press release contains forward-looking statements. More particularly, it contains forward-looking statements concerning: (i) timing and completion of the Acquisitions, expectations and assumptions concerning timing of receipt of required regulatory approvals and the satisfaction of other conditions to the completion of the Acquisitions, (ii) potential development opportunities and drilling locations associated with the Acquisitions, expectations and assumptions concerning the success of future drilling and development activities, the performance of existing wells, the performance of new wells, the successful application of technology and the geological characteristics of the Acquisitions, (iii) the timing and amount of future dividend payments and the sustainability of dividends, (iv) oil & natural gas production growth during 2013 and 2014, (v) debt and bank facilities, (vi) capital expenditures, (vii) primary and secondary recovery potentials and implementation thereof, (viii) estimated 2013 exit rate of production, (ix) estimated 2014 average and exit rates of production, * estimated 2014 capital expenditures, wells drilled, decline rates, funds from operations, operating netback, cash flow netback, payout ratio, bank facility, year-end net debt and net debt to funds from operations ratio; and (xi) the anticipated exceeding by Surge of the previously estimated 2013 exit rate of production.

The forward-looking statements contained in this press release are based on certain key expectations and assumptions made by Surge, including expectations and assumptions concerning the success of future drilling, development and completion activities, the performance of existing wells, the performance of new wells, the viability of waterflood projects, the availability and performance of facilities and pipelines, the geological characteristics of Surge's properties, the successful application of drilling, completion and seismic technology, prevailing weather conditions, commodity prices, royalty regimes and exchange rates, the application of regulatory and licensing requirements and the availability of capital, labour and services.

Although Surge believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Surge can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), commodity price and exchange rate fluctuations and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Certain of these risks are set out in more detail in Surge's Annual Information Form which has been filed on SEDAR and can be accessed at www.sedar.com.

The forward-looking statements contained in this press release are made as of the date hereof and Surge undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Financial Outlooks:

The estimates of 2014 year end net debt, 2014 funds from operations and 2014 operating netback and cash flow netback contained in this press release are financial outlooks within the meaning of applicable securities laws. These financial outlooks have been prepared by management of Surge to provide an outlook of Surge's anticipated funds from operations and netbacks for a full year of operations with its current assets and based on management's expectations and assumptions as to a number of factors, including commodity pricing, production, operating expenses and royalties. Readers are cautioned that this information may not be appropriate for any other purpose. Management does not have firm commitments for all of the costs, expenditures, prices or other financial assumptions used to prepare the financial outlooks or assurance that such results will be achieved. The actual results of Surge will likely vary from the amounts set forth in the financial outlooks and such variation may be material.

Surge and its management believe that the financial outlooks have been prepared on a reasonable basis, reflecting the best estimates and judgments, and represent, to the best of management's knowledge and opinion, Surge's expected expenditures and results of operations following completion of the Acquisitions. However, because this information is highly subjective and subject to numerous risks, including the risks discussed under the note regarding Forward Looking Statements, it should not be relied on as necessarily indicative of future results. Except as required by applicable securities laws, Surge undertakes no obligation to update this information.

Note: Boe means barrel of oil equivalent on the basis of 1 boe to 6,000 cubic feet of natural gas. Boe may be misleading, particularly if used in isolation. A boe conversion ratio of 1 boe for 6,000 cubic feet of natural gas is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Boe/d means barrel of oil equivalent per day.

In this press release: (i) mcf means thousand cubic feet; (ii) mcf/d means thousand cubic feet per day (iii) mmcf means million cubic feet; (iv) mmcf/d means million cubic feet per day; (v) bbls means barrels; (vi) mbbls means thousand barrels; (vii) million barrels means million barrels; (viii) bbls/d means barrels per day; (ix) bcf means billion cubic feet; * mboe means thousand barrels of oil equivalent; and (xi) mmboe means million barrels of oil equivalent

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

 

SOURCE: Surge Energy Inc.

Paul Colborne, President & CEO
Surge Energy Inc.
Phone: [phone] 
Fax: [phone] 
Email: [email protected] 

Max Lof, CFO
Surge Energy Inc.
Phone: [phone]
Fax: [phone]
Email: [email protected]