Brief: Surge Energy Inc. Announces $58 Million Southeast Saskatchewan Core Area Light Oil Acquisition And An Upward Revision To 2021 Exit Rate And 2022 Production Guidance

SURGE ENERGY

04/10/2021 11:29

Oct 4 (Reuters) - Surge Energy Inc  SGY.TO :
    * SURGE ENERGY INC. ANNOUNCES $58 MILLION SOUTHEAST
SASKATCHEWAN
CORE AREA LIGHT OIL ACQUISITION; AND AN UPWARD REVISION TO 2021
EXIT RATE AND 2022 PRODUCTION GUIDANCE
    * SURGE ENERGY INC - TRANSACTION IS TO BE FUNDED BY ISSUANCE
OF
APPROXIMATELY 11.2 MILLION SURGE COMMON SHARES
    * SURGE ENERGY INC - TRANSACTION IS TO BE FUNDED BY
ASSUMPTION OF
APPROXIMATELY $3 MILLION OF NET DEBT
    * SURGE ENERGY - FOLLOWING DEAL, NOW FORECASTS AVERAGE
PRODUCTION
IN 2022 OF 21,500 BOEPD (86% LIQUIDS) OF MAINLY LIGHT AND MEDIUM
GRAVITY CRUDE OIL
    * SURGE ENERGY INC - TRANSACTION IS ACCRETIVE TO SURGE'S
2022 FREE
CASH FLOW PER SHARE, AND DEBT ADJUSTED CASH FLOW PER SHARE
    * SURGE ENERGY INC - NOW ESTIMATES THAT ITS EXIT 2022 NET
DEBT TO
ANNUALIZED Q4 2022 ADJUSTED FUNDS FLOW RATIO WILL BE ABOUT 0.7
TIMES AT US$70 WTI

Source text for Eikon:  ID:nCNW00Tzca 
Further company coverage:  SGY.TO 

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