November 11, 2014
Zargon uses hedges to help fund dividends and capital programs during periods of lower commodity prices. Our policies allow for the forward sale of:
- up to a 70 percent maximum of estimated oil production volumes for the next 12 months. Then 60 percent for the next 12 months and 50 percent for the final 6 month period.
- not to exceed a 30-month period.
Current Forward Oil Sales
- Q4 2014: 2,600 bbl/d at $90.92 US/bbl (WTI) and 400 bbl/d at $99.60 Cdn/bbl (WTI)
- Q1 2015: 1,600 bbl/d at $93.44 US/bbl (WTI)
- Q2 2015: 1,200 bbl/d at $94.01 US/bbl (WTI)
Current Forward Natural Gas Sales
- Q4 2014: 3,000 gj/d at $4.03/gj (AECO)
- Q1 2015: 3,000 gj/d at $4.18/gj (AECO)