Alvopetro Energy Ltd. Continues Strong Financial Results
Alvopetro Energy Ltd. under the leadership of President and CEO, Corey C. Ruttan, is pleased to announce its impressive Q2 2024 financial performance. With an operating netback of $64.30 /boe and funds flow from operations totaling $7.9 million, Alvopetro has seen a 49% increase in production at the start of the third quarter. The company follows a disciplined capital allocation model where half of the funds flow from operations are reinvested in organic growth, while the other half is returned to stakeholders.
Key Financial Highlights:
- Stakeholder Returns: Alvopetro has already returned $43.8 million ($1.22/share) to shareholders through dividends and plans to enhance stakeholder returns with a share repurchase program.
- Production Increase: July sales volumes surged by 49% over Q2 2024, averaging 2,432 boepd, including natural gas, NGLs, and oil sales.
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Capital Program: Ongoing development activities include chemical injection programs in wells and a productive capital program intensification.
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Pricing Update: Effective August 1, 2024, natural gas prices under long-term gas sales agreements were adjusted to BRL1.945/m3 or $10.83/Mcf.
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Corporate Update: The Board has approved an application for a Normal Course Issuer Bid (NCIB) to enhance stakeholder returns through share repurchases.
Operational Update:
- Q2 2024 sales volumes saw a significant increase, with robust performance across key areas.
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Development activities are progressing as planned, with multiple wells undergoing recompletion and enhancements.
Financial Highlights:
- Operating netback per boe remains strong at $64.30, showcasing operational efficiency.
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Fund flows from operations totaled $7.9 million, reflecting resilient financial performance despite market fluctuations.
Conclusion:
Alvopetro Energy Ltd. remains committed to delivering strong financial results and operational excellence. With a clear focus on long-term growth and stakeholder value, the company continues to navigate the ever-changing energy landscape with confidence and resilience.
