Painted Pony Energy Ltd. announced production results for the fourth quarter of 2017 and year to date January 2018. Daily production volumes for the fourth quarter of 2017 averaged approximately 315 MMcfe/d (52,500 boe/d), based on preliminary results, and included approximately 9% liquids or approximately 4,500 Bbls/d. These production volumes are consistent with previous guidance range of 306 MMcfe/d (51,000 boe/d) to 318 MMcfe/d (53,000 boe/d) provided in the December 14, 2017 press release. Production volumes during the fourth quarter of 2017 were impacted by approximately 48 MMcfe/d (8,000 boe/d) of voluntary pricing-related production shut-ins.  

Daily production volumes to-date during January 2018 averaged more than 360 MMcfe/d (60,000 boe/d), based on field estimates and included approximately 5,200 Bbls/d of liquids or approximately 9% of production volumes. 

The company provided production guidance for the first quarter and full year of 2018. First quarter 2018 daily production volumes are expected to average between 360 MMcfe/d (60,000 boe/d) and 370 MMcfe/d (62,000 boe/d). First quarter 2018 activity is expected to result in a total of 14 wells drilled. Four wells are expected in the liquids-rich area of Townsend of which one has been rig released. Nine wells are expected in the Blair area of which two have been rig released. One well was planned in the liquids-rich area of Beg and it has already been rig released. Completions during the first quarter of 2018 are anticipated to total 13. In the Blair area, seven completions are expected with three already finished to-date. A total of six completions at Townsend are expected during the first quarter with four already finished to-date. Capital costs during the first quarter of 2018 remain consistent with 2017 historical averages, with drill costs averaging approximately $1.9 million per well and completions costs averaging approximately $2.1 million per well.

Full-year 2018 annual average daily production guidance remains unchanged with volumes expected to average between 366 MMcfe/d (61,000 boe/d) and 378 MMcfe/d (63,000 boe/d).  Liquids volumes for 2018 are expected to average approximately 9% and deliver between 5,200 Bbls/d and 5,500 Bbls/d, with approximately half of those expected liquids volumes to be high-netback condensate.