PetroBakken plans smaller 2013 capital budget but higher average daily output

CALGARY – PetroBakken Energy Ltd. (TSX:PBN) says it plans $675 million in capital spending this year, about 30 per cent less than in 2012 or 2011 before adjusting for dispositions.

The company’s outlook, included with its fourth-quarter and annual results, calls for the Calgary-based oil and gas producer to produce the equivalent of between 46,000 and 48,000 barrels per day on average this year.

That would be up from 42,784 barrels per day last year and 40,998 boepd in 2011.

PetroBakken says it produced 47,192 boepd on average in the fourth quarter ended Dec. 31, down from 48,007 a year earlier.

“Our 2013 capital expenditure plan of $675 million is more balanced throughout the year, which will help us reduce production volatility and manage declines while delivering anticipated year-over-year average production growth of eight per cent to 12 per cent. “

The company also reports it had $106.9 million of adjusted net income, or 55 cents per share, in the fourth quarter and $262.7 million or $1.39 per share for the 12-months ended Dec. 31.

That compares with $76.8 million or 41 cents per share of adjusted net income for the fourth quarter and $215.8 million or $1.14 per share for the 12 months ended Dec. 31, 2011.

Revenue for the three-months ended Dec. 31 was $296.5 million and funds from operations was $168.3 million, or 88 cents per share. For the full year, 2012 revenue was $1.1 billion and funds from operations was $597 or $3.17 per share.

In the year earlier periods, PetroBakken had $366.9 million of revenue and $231.4 million or $1.13 of funds from operations in the fourth quarter of 2011 and $1.2 billion of revenue, $710.1 million of funds from operations or $3.49 per share.