Proactive Investors - I3 Energy PLC (TSX:ITE) has announced its capital budget and production guidance for 2024, earmarking US$50.9 million to spend drilling 15 gross wells across its operations in Canada.
The company, in a statement, told investors that his injection is expected to grow production to between 20,250 and 21,250 barrels of oil equivalent per day by year-end.
"Following very successful initiatives in the first half of the year to increase our balance sheet strength and liquidity, i3 is extremely pleased to announce a substantial US$51 million capital programme for the remainder of the year, which will drill a diverse group of oil and gas wells across our portfolio in Canada,” chief executive Majid Shafiq said.
“The majority of wells will be drilled in the second half of the year, with the high-volume Central Alberta gas wells producing into a forecast strong winter pricing environment and pad drilling of our exciting Montney acreage expected to commence early in the first quarter of 2025.
“The programme is designed to deliver production growth and support our dividend programme, whilst maintaining liquidity and a conservative leverage position to maximise flexibility to deal with volatile market conditions and opportunities as they arise."
The company projects it will generate between US$70 million and US$75 million in net operating income and US$55 to US$60 million in earnings (EBITDA) for the year.
It intends, subject to board approval, to return around US$15.7 million back to shareholders in dividends, which the company noted would translate to an 8.1% forward yield based on recent share prices.