Emerald Oil, Inc. ("Emerald" or the "Company") announces increased production guidance and capital spending budget in conjunction with its signed definitive agreement with White Deer Energy ("White Deer"). Emerald intends to use the proceeds from the $50 million investment by White Deer to purchase additional working interests in its operated drilling spacing units ("DSUs") in McKenzie County, North Dakota and increase the Company's 15-month capital expenditure budget.
Increased Production Guidance
Emerald has increased its production guidance to produce approximately 2,600 barrels of oil equivalent per day ("BOEPD") by year end 2013, which is up from the Company's previous guidance of approximately 2,000 BOEPD.
Increased Capital Expenditure Budget
Emerald has increased its 15-month budget from October 1, 2012 through December 31, 2013 to approximately $110 million, up from previous guidance of $72.5 million. The Company intends to spend approximately $10 million to acquire additional working interests in its operated DSUs in McKenzie County, North Dakota. Emerald intends to increase its average working interest on these operated wells to approximately 75%, up from previous guidance of 50%. As a result, the Company has now budgeted $82.5 million to drill and complete 10 gross (7.5 net) operated wells, up from previous guidance of $55.0 million for 10 gross (5.0 net) operated wells. Emerald maintains its previous guidance of spending $17.5 million to participate in the drilling and completion of 1.9 net non-operated wells over the 15-month period ending December 31, 2013.
Management Comments
McAndrew Rudisill, Emerald's President, stated, "We are excited to partner with White Deer. Their expertise and experience should prove a significant asset and the additional capital will allow us to increase our interest in our operated wells and accelerate our production growth in the Williston Basin."
For more information about related Opportunities and Key Players visit
Oil Shale Projects 
