CALGARY - Parex Resources Inc. ('Parex' or the 'Company') (TSX: PXT), a company headquartered in Calgary, Alberta that focuses on sustainable, conventional oil and gas production, is pleased to announce its unaudited financial and operating results for the three months ended September 30, 2021.
All amounts herein are in United States Dollars ('USD') unless otherwise stated.
Key Highlights
Parex' board of directors ('Board') approves a dividend for the fourth quarter of 2021 in the amount of CAD$0.125 per common share, to be payable on December 31, 2021 to shareholders of record as of December 15, 2021.
The Board also approves a special cash dividend in the amount of CAD$0.25 per common share, to be payable on November 22, 2021 to shareholders of record as of November 16, 2021.
Funds flow provided by operations ('FFO')(1) of $1.24 per share in the third quarter, results in year-to-date total FFO of $3.23 per share.
Free funds flow(1) of $78.4 million in the third quarter, results in year-to-date total free funds flow of $250.6 million.
Drilled a three leg multilateral well, Cayena-1 on the Fortuna block (Parex 100% WI). The third leg of the Cayena-1 multilateral well was drilled to a lateral length of approximately 7,200 feet which is the longest horizontal well in Colombia to date. This well is currently awaiting completion work.
Contact:
Mike Kruchten
Tel: (403) 517-1733
Email: Investor.relations@parexresources.com
Forward Looking Statements
Certain information regarding Parex set forth in this document contains forward-looking statements that involve substantial known and unknown risks and uncertainties. The use of any of the words 'plan', 'expect', 'prospective', 'project', 'intend', 'believe', 'should', 'anticipate', 'estimate', 'forecast', 'guidance', 'budget' or other similar words, or statements that certain events or conditions 'may' or 'will' occur are intended to identify forward-looking statements. Such statements represent Parex' internal projections, estimates or beliefs concerning, among other things, future growth, results of operations, production, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, plans for and results of drilling activity, environmental matters, business prospects and opportunities. These statements are only predictions and actual events or results may differ materially. Although the Company's management believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, levels of activity, performance or achievement since such expectations are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause Parex' actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, Parex.
In particular, forward-looking statements contained in this document include, but are not limited to, statements with respect to the Company's focus, plans, priorities and strategies; statements with respect to operational activities including the target lateral lengths to be achieved, the anticipated timing of drilling programs and targeted formations, expected timing to commence the use of synthetic drilling mud and its importance in the 2022 Arauca and other projects, timing to have wells on production and the benefits to be derived therefrom and timing of certain drilling and completion activities; targeted hydrocarbon bearing formations and the ability to maximize recovery; new drilling opportunities; timing of upcoming planned drilling operations; terms of the dividends payable on November 22, 2021 and December 31, 2021; Parex' dividend; expectation that Parex will purchase the maximum allowable shares under its NCIB and anticipated timing for quarterly conference call and webcast.
These forward-looking statements are subject to numerous risks and uncertainties, including but not limited to, the impact of general economic conditions in Canada and Colombia; prolonged volatility in commodity prices; industry conditions including changes in laws and regulations including adoption of new environmental laws and regulations, and changes in how they are interpreted and enforced in Canada and Colombia; impact of the COVID-19 pandemic and the ability of the Company to carry on its operations as currently contemplated in light of the COVID-19 pandemic; determinations by OPEC and other countries as to production levels; competition; lack of availability of qualified personnel; the results of exploration and development drilling and related activities; obtaining required approvals of regulatory authorities in Canada and Colombia; risks associated with negotiating with foreign governments as well as country risk associated with conducting international activities; volatility in market prices for oil; fluctuations in foreign exchange or interest rates; environmental risks; changes in income tax laws or changes in tax laws and incentive programs relating to the oil industry; changes to pipeline capacity; ability to access sufficient capital from internal and external sources; failure of counterparties to perform under contracts; risk that Brent oil prices are lower than anticipated; risk that Parex' evaluation of its existing portfolio of development and exploration opportunities is not consistent with its expectations; risk that initial test results are not indicative of future performance; risk that other formations do not contain the expected oil bearing sands; risk that Parex does not have sufficient financial resources in the future to pay a dividend; risk that the Board does not declare dividends in the future or that Parex' dividend policy changes and other factors, many of which are beyond the control of the Company.
PAREX RESOURCES INC. 
