Daily News: July 29, 2015

ATB Financial Renews Hemisphere Energy Credit Facility


Hemisphere Energy announced the renewal of its credit facility with ATB Financial, which will remain at $15 million with no changes to covenants or applicable margins on borrowing costs. Funds available under the credit facility are $14.0 million, with access to the remaining $1.0 million based on additional approval of the lender. As at July 28, 2015, the company has approximately $10.0 million in net debt.

Hemisphere has received approval from the Alberta Energy Regulator for its first water-flood pilot scheme in the Atlee Buffalo Upper Mannville F pool and is anticipating first injection by the end of the third quarter.

The company expects approval on two additional water-flood pilot projects in Atlee Buffalo early in the fourth quarter. In Jenner, Hemisphere plans to add a disposal well by year-end, thereby increasing its water disposal capacity. These capital projects add production and reserves at low costs, and provide long-term stability and increased recovery to Hemisphere’s assets.

Vancouver, BC-based Hemisphere Energy is a producing oil and gas company focused on developing conventional oil assets with low risk drilling opportunities.