Obsidian Energy Now Bigger and Better

The Obsidian Energy Company is a Canadian oil and Natural Gas Company located in Calgary, Alberta a region which is one of the largest petroleum reserves. It was formally known as the Penn West Exploration Ltd. The choice of the name got inspired by the nature of the obsidian. It’s a volcanic glass that typically forms and can be easily fashioned and honed. This choice got a ninety-two percent approval from the shareholders. The Pembina Cardium, Alberta Viking, and the Peace River Oil Sands are the primary production area, with an average of about thirty-one thousand barrels of oil per day, of the total production in 2017.

 

The name change that enforced on 26th of June 2017 from Penn West Exploration Ltd,  marked a new chapter in the annals of the corporation and the launch of the company’s guiding principles: excellence in industrial and financial decision making; innovation and pursuance of advancement; accountability and transparency with the bondholders, associates, and the immediate population. It has influenced every phase of the company’s business, redefining it and making it rise higher, leaner and more competent than ever.

 

The company is suitably positioned, endowed with the fitting assets, and proper accounts that make it possible for it to thrive even in the unproductive environments. Under the management of its new Chief Executive Officer, David French, Obsidian Energy has embarked on pursuing growth in the coming years and making the adjustment in the budgets where need be as well as regulating the oil and gas price. They aim at providing the right staging to deliver exceptional returns that will ensure not just the survival but also success as the industry keep of evolving.

 

Obsidian Energy has managed to reduce its net debt to three hundred and eighty-four million dollars compared to the three million dollars in 2013 by the selling assets, reducing the number of its employees and cutting on its production. The lawsuits against the company by the relevant investors got resolved as of last year. Additionally, Obsidian has also restructured to give intense focus to some four key production areas to ensure maximum production gets realized.

 

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Canada’s Obsidian Energy Upbeat About Strong Third Quarter Results

Top officials at Canada’s Obsidian Energy are reporting extremely positive results in its 2017 third quarter company report. Obsidian is an intermediate-sized gas and oil energy producer based in Calgary, Alberta.

 

Obsidian Energy CEO David French spoke in glowing terms about the production value of new wells sunk in an area known as the Deep Basin, a vast region comprising more than three million acres of land on the eastern side of the Rocky Mountains in Western Canada.

 

Obsidian only recently made its first foray into the Deep Basin — already the location of many other wells and assets owned by a variety of players in the energy industry. Obsidian Energy has worked hard to establish significant Deep Basin assets and is pleased with results so far.

 

Company officials say it has established three “Mannville Wells” which are currently producing a combined 2,000 barrels per day, and these have the added value of a robust liquid rate of 60 barrels of oil equivalent per million cubic feet. This value was far greater than predicted for the wells and will have a positive effect on cost-benefit ratios.

 

Other Obsidian Energy projects are also showing remarkable performance and promise. These include working sites in Cardium, Alberta Viking, and Peace River. With the help of these wells, Obsidian officials predict 2017 production will come in at the “high end’ of the 31,500 goal it set for the year.

 

Obsidian forecasts a 5% production growth rate for 2018 while limiting investment to 80% of “Fund Flow” operations. Of course, the better commodity prices play out, the more attractive the numbers get, but even if prices remain relatively stable at current levels, the outlook is excellent for 2018. Get More Information Here.

 

The Obsidian Board has established a $135 million budget for 2018 based on the assets of the company’s portfolio. Obsidian is determined to implement maximum efficiency in terms of production, methods and practices so that maximum gain is garnered from all operations.

 

The bottom line is that Obsidian Energy third quarter numbers has the remainder of 2017 and 2018 looking bright for this scrappy, highly competitive energy company.

 

See Also: https://globalnews.ca/news/3481168/penn-west-proposes-name-change-to-obsidian-energy/

Penn West Petroleum Ltd. Renamed Obsidian Energy

Obsidian Energy is a Canadian oil and natural gas producer with a daily production capacity of about 30,000 BOE. The company’s head offices are in Calgary, Alberta. The company was previously known as Penn West Petroleum Ltd. until June 2017 when the shareholders agreed on the change of name to Obsidian Energy.

 

Management

 

The company is headed by David L. French who acts as the president and CEO. French previously worked at Bankers Petroleum Ltd. as the president and CEO. David Hendry is the company’s chief financial officer while Tony Berthelet serves as the vice president, development and operations. Andrew Sweertsis the firm’s vice president, production and technical services, while Mark Hodgson serves as the vice president, business development and commercial respectively.

 

Penn West Shareholders Agree on Change of Name to Obsidian Energy

 

On June 25, 2017, 92 percent of Penn West shareholders voted for the adoption of Obsidian Energy as the new company name. According to the company’s CEO Dave French, the name obsidian was considered because of the volcanic glass’s capacity to be “sharpened and honed.”

 

Obsidian’s growth strategy in the next three years will be based on adjusting spending to reflect the changes in oil and gas prices. In the midst of hard economic times, the company has relied on asset sales to cover huge debts. The company also plans to concentrate on four important production areas, down from 30.

 

Besides, there are plans to reduce the wage bill. This will be achieved by reducing the number of employees from 1,400 to around 300. Furthermore, the amount of oil produced in a day will be reduced from 135,000 barrels to approximately 28,000 barrels.

 

Over the years, the company has undergone various important changes. These changes have touched almost every aspect of the company. The company has been redefined regarding its future. As a result of these changes, the Obsidian Energy has become stronger and more productive than ever before. Get More Info Here.

 

Environment and Giving Back to the Society

 

Obsidian Energy is sensitive and concerned about the surrounding communities and the environment. The company’s Community Matters program provides an opportunity for its employees and contractors to interact and communicate freely with the people around. The company also ensures it has met all the required environmental regulations.

 

 

See Also: https://beta.theglobeandmail.com/report-on-business/industry-news/energy-and-resources/penn-west-shareholders-approve-name-change-to-obsidian-energy/article35463586/?ref=http://www.theglobeandmail.com&

Regaining Lost Glory: Obsidian Energy

Obsidian Energy Ltd. is a middle-sized Canadian-based oil and natural gas production firm. It is based in Calgary, Alberta, and was previously known as Penn West Energy Trust, Penn West Petroleum, and Penn West Exploration Ltd. The name change took place in June 2017 as the last step in their transformation.

 

Obsidian Energy officially began a new chapter in their long and illustrious history where they will guide the company on three principals:

Disciplined, commercial, and technical decision making. This will help build and protect the enterprise value.

 

A relentless pursuit of innovation and progress.

Transparent and accountable efforts with partners, shareholders, and communities in which they operate.

 

David French, the President and Chief Executive Officer, stated that due to Obsidian Energy’s strategic positioning with the right assets, a prudent hedging strategy and a healthy balance sheet, the company is well within its means to set a standard for performance even in environments that are lower priced.

 

Obsidian Energy wants to be nothing like the old “Penn West.” Having survived high debt levels as well as an accounting scandal, coming out from of the four-year rollercoaster deserved a fresh start. The lawsuits that were brought about by the accounting scandal were all settled last year, and the net debt was reduced to $384-millioin as of March 31, 2017, compared to the outstanding $3-billion that would have crippled the company in 2013. The asset sales allowed for the debt reduction as well as sharpening its focus to four key production areas, down from 30. Employee count reduced from 1400 to 300. In that same period, the production received a huge cut from 135000 barrels to 28000 barrels.  Get More Info Here to learn more about the company.

 

The future is bright for Obsidian Energy. Tough decisions had to be made. Obsidian Energy is set to regain its former glory without the scandals that graced Penn.

 

Related: https://globalnews.ca/news/3481168/penn-west-proposes-name-change-to-obsidian-energy/