http://www.proactiveinvestors.com Proactiveinvestors RSS feed en Tue, 22 May 2018 23:34:42 -0400 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - The dream team behind Canada’s Pulse Oil may have a potential 10-bagger ]]> http://www.proactiveinvestors.com/companies/news/196568/the-dream-team-behind-canadas-pulse-oil-may-have-a-potential-10-bagger-196568.html Calgary-based oil and natural gas producer Pulse Oil Corp. (CVE:PUL) is laser focused on unlocking a fount of oil from “a low-risk, high upside” oil patch using modern oil recovery methods that don’t require pricey drilling.

Started in late 2017, Pulse Oil’s most prized asset spans 10,000 acres of oil-rich land in the Bigoray area of West Central Alberta. Bigoray is home to at least four different geological formations, which are a wellspring of oil.

The company’s second oil producing asset is in the Queenstown area of Alberta, in Canada.

Pulse Oil has a special weapon in two TAG Oil alums —  finance wizard Garth Johnson and crack exploration geologist Drew Cadenhead.  

The Dream Team

The Pulse oil management team has strong street cred built over decades in the tough-as-nails oil industry. With Pulse Oil, the duo is hoping to repeat the success they had with TAG Oil, which they built to a near C$700mln market cap firm from a financially distressed C$2mln low point.

Maybe it’s hard-wiring but financially detail-oriented Pulse Oil CEO Garth Johnson is disciplined about unlocking shareholder value. It is reassuring for investors that Johnson has a well-laid out CEO track record for creating value, reducing costs and expanding into growth markets.   

After joining TAG Oil as CFO in 2001, Johnson became the CEO six years later, presiding over tumultuous change. He took over a stalled non-producing minority interest explorer, and over eight years put a plan in place to catapult TAG’s C$2mln market value by 300x.

“We are taking all the good stuff we learned from TAG. We are pretty determined to put our cash to work on the things with the largest potential for returns,” said 44-year-old Johnson.

“As a low-cost operator with no debt, we are implementing the same operational strategy at Pulse Oil that we employed at TAG. What we do is capture strategic assets, unlock the bigger picture upside and increase value for shareholders.”

Quintessential oil explorers, Johnson and Cadenhead are bitten by the “building bug.”

“Drew and I are both builders. We had lots of employees at TAG who had options, many of them cashed in their stock options, paid off their houses and built a nice life for themselves. That’s why we started to build again,” said Johnson. “We are going to work hard, have fun. Hopefully those that trust us with their investment dollars will be well rewarded for it.”

At Pulse, Johnson is sticking to his “numbers have to make sense” approach, while toggling the risks involved in operating in the energy industry. The other half of the duo is geologist Drew Cadenhead, who is president and chief operating officer at Pulse Oil. Cadenhead, has 37 years of experience in the oil and gas industry, and brings a utility belt of technology solutions, so together the partnership is tough to beat.

“Drew is technically diligent, while I’m financially diligent,” Johnson quipped. “We’ve worked together for over 15 years.”

Bigoray oil discovery windfall       

In late-2017, Pulse Oil acquired neglected assets at Bigoray in west central Alberta that consist of the Cardium oil pools, the Mannville gas pools, the Pekisko oil pool and the Nisku oil pools. Pulse brought back production that had been shut off during historical low commodity prices in 2014.

The Nisku pools alone are estimated to contain 26.51 million barrels of petroleum initially in place, of which 9.3 million barrels of oil have been recovered by employing secondary water-flood recovery techniques.

“Although the acquired lands include proven reserves from different geological formations, the main reason Pulse acquired these assets was to tap into the oil still trapped and easily recoverable from one of the zones: the Devonian-aged Nisku Pinnacle reefs,” said Cadenhead.

“The Nisku Pinnacle Reef trend is a series of over 50 small, but incredibly profuse oil pools centered on Pulse’s land at Bigoray. These reservoirs were formed over 400 million years ago, when Central Alberta was situated near the equator and the seas were warm,” explained the geologist.

According to the company, each of the 50 pinnacle reefs in the Bigoray oil fairway contain 10 million to 50 million barrels of sweet light crude. Pulse says 10% of that oil will gush out simply through drilling a well. But the real money lies in Pulse’s plan to employ enhanced oil recovery (EOR) techniques using what’s called a “miscible” flood to recover the remaining oil.

For the layman, sophisticated EOR techniques using “miscible flooding” involve pumping in a solvent followed by a gas, which loosens up all the remaining oil in the reefs, so it can be sucked out from the bottom of the reservoir.

Watch: Pulse Oil Corp kicking off 'exciting' phase 1 of Bigoray asset

Pulse’s EOR project relates only to the Nisku D and Nisku E reef pools.

“By bringing immediate cash flow from restarting existing behind pipe production, we are funding our EOR plan in the Nisku D and E pools, a low-risk operation with tremendous upside,” pointed out Johnson.

Mostly self-funded

Pulse Oil says the final phase of the EOR project at the two Nisku reefs will require nominal capital investment. Most of it will be self-funded, although a small part might be raised through debt.

“Modern techniques will ensure early cash flow once the floods are in place, but we still need capital to get things rolling. We hope to make that happen this year. It will cost 3 million to 5 million Canadian dollars in hardware and re-configuration per pool, and 5 million Canadian dollars to acquire the miscible product per pool to be injected into the reservoirs, and later recovered and re-sold,” said Cadenhead.

“If our pools achieve the average 80% recovery rate that the other pools surrounding us did, we should recover an additional 10 million to 12 million barrels of oil. We internally put an NPV10 on that much oil at about 200 million Canadian dollars,” he added.

Pulse Oil has roped in oil-field services giant Schlumberger Ltd (NYSE:SLB) to complete all three phases of the petrotechnical modelling of the two Nisku oil reefs ahead of the miscible flooding.

“We’re not waiting for funding. We are financing the initial stages with our own working capital and cash flows. Bigoray comes with some assets which we have activated, and they are generating cash,” said Johnson. 

READ: Pulse Oil awards modelling contracts to Schlumberger ahead of enhanced oil recovery from Bigoray oil reefs

He indicated that production would expand to 500 barrels of oil equivalent per day (boe), from 200 boe by the summer. 

“That will help us fund a chunk of the EOR program. We’ve awarded three projects to Schlumberger, so they are completing our petrotechnical modeling for the miscible flood, the geological model and reservoir simulation work,” said Johnson.

Adding value to gas

The company said it will tap its own gas supplies for the enhanced oil recovery program. The Bigoray oil patch comprises at least three gas producing wells.

“The EOR technique requires gas to push the miscible product through the reservoir so instead of producing gas when prices aren’t attractive, it may be more valuable for us to focus on oil right now. We can save our gas to utilize for injection into the top of the reservoirs,” said Johnson.

“As you push the gas through the reservoir it picks up liquids, so you might inject it at a value of a dollar. But when you produce it in a couple of years it has picked up oil, so you are selling gas at premium when you strip the oil from the gas.”

Undoubtedly, there are tremendous value-adding opportunities for Pulse.

“It’s sort of like storing our gas for now and producing it later at a higher price,” said Johnson. “It’s a money smart way of using our gas asset.”

Quick pay back in Queenstown  

Pulse Oil’s other asset is in Queenstown and requires shallow drilling. There are five producing wells with 75 barrels of oil equivalent per day.     

“Bigoray kind of dominates the conversation when you are talking about upside, but the Queenstown assets are fantastic, spanning 30,000 acres of land between a proven Canadian sedimentary basin,” said Johnson.

Queenstown has proved to be propitious, swinging into production from day one. “We’ve enjoyed quick payback on the costs. It’s a really good cash flow producer,” said Johnson.

Potential 10-bagger

Pulse will complete its first full fiscal year as a public company in 2018. It’s currently positioned with no debt, positive working capital and growing cash for reinvestment.

Mackie Research rated the stock a Speculative Buy and targets C$0.50 for the shares — a long way from where they are now at C$0.18. The brokerage said there was "massive, low risk upside" from the miscible flood.

The broker assumes an 80% oil recovery rate, which is the average oil recovery accomplished by oil producers in the area.

“With a recovery factor equal to the average of 80%, we see upside value potential of C$177 million (C$2.01 per share),” Mackie analyst Bill Newman wrote in a note to clients.

“As most of the infrastructure is in place, the miscible flood project requires a relatively small investment per Nisku Reef providing massive upside without the risk and significant cost of an extensive horizontal drilling program,” noted Newman.

With oil prices rallying after a prolonged slump and Pulse Oil’s production expanding to 500 boe/d by this summer, the analyst expects the company to generate significant cash flow that can be reinvested into the EOR program currently underway.

“The potential upside from a successful Nisku reef EOR project is so large that we expect substantial stock price appreciation (i.e., 10 times upside) even if the miscible flood achieves expectations at the low end of the range," wrote Newman.

Enough technical studies show that the scale of the oil discovery in Bigoray is large, and commercially recoverable. No wonder Cadenhead describes Bigoray as the “biggest find” of his nearly four-decade career: “It is without a doubt, the lowest-risk/highest upside opportunity we have ever come across and I’ve been in the oil business since 1979.”

 

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Tue, 08 May 2018 11:30:00 -0400 http://www.proactiveinvestors.com/companies/news/196568/the-dream-team-behind-canadas-pulse-oil-may-have-a-potential-10-bagger-196568.html
<![CDATA[News - Pulse Oil awards modelling contracts to Schlumberger ahead of enhanced oil recovery from Bigoray oil reefs ]]> http://www.proactiveinvestors.com/companies/news/196488/pulse-oil-awards-modelling-contracts-to-schlumberger-ahead-of-enhanced-oil-recovery-from-bigoray-oil-reefs-196488.html Canadian oil and natural gas producer Pulse Oil Corp. (CVE:PUL) awarded contracts on Monday to oil-field services giant Schlumberger Ltd (NYSE:SLB) to complete all three phases of Pulse Oil’s petrotechnical modelling of the two Nisku oil reefs at Bigoray, in West Central Alberta.

This is a key step before Pulse employs modern oil recovery methods to unlock crude from its oil patch in Bigoray. Schlumberger will complete a geological study, geophysical modelling and reservoir simulation work ahead of Pulse Oil’s ‘miscible flooding’ of Bigoray’s Nisku D and Nisku E oil reef pools.

For the layman, sophisticated enhanced oil recovery (EOR) techniques using “miscible flooding” involve pumping in a solvent followed by a gas, which loosens up all the remaining oil in the reefs, so it can be sucked out from the bottom of the reservoir. Pulse’s high upside EOR project relates only to the Nisku D and Nisku E reef pools.

Schlumberger will complete a geological study, geophysical modelling and reservoir simulation work ahead of Pulse Oil’s ‘miscible flooding’ of Bigoray’s Nisku D and Nisku E oil reef pools.

"Making the right parametric decisions regarding a chosen EOR program is critical to maximizing the value of this project for our shareholders,” said Pulse Oil President Drew Cadenhead.

“We are excited to award Schlumberger these three phases of the critical modelling work, as their unique multi-domain expertise, proprietary technologies and software gives Pulse confidence we have done all we can to ensure a successful long-term maximum recovery from these proven pools,” added the veteran exploration geologist.

In late-2017, Pulse Oil acquired neglected assets at Bigoray in west central Alberta that consist of the Cardium oil pools, the Mannville gas pools, the Pekisko oil pool and the Nisku oil pools. Pulse quickly brought back production that had been grounded during historical low commodity prices in 2014.

According to the company, each of the 50 pinnacle reefs in the Bigoray oil patch contain 10 million to 50 million barrels of sweet light crude. Pulse says 10% of that oil will gush out simply through drilling a well. But the real money lies in Pulse’s plan to employ EOR techniques using a miscible flood to recover the remaining oil from the Nisku D and Nisku E reef pools.

Pulse Oil shares were trading flat at C$0.17 on Monday.

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Mon, 07 May 2018 13:08:00 -0400 http://www.proactiveinvestors.com/companies/news/196488/pulse-oil-awards-modelling-contracts-to-schlumberger-ahead-of-enhanced-oil-recovery-from-bigoray-oil-reefs-196488.html
<![CDATA[Media files - Pulse Oil Corp kicking off 'exciting' phase 1 of Bigoray asset ]]> http://www.proactiveinvestors.com/companies/stocktube/9156/pulse-oil-corp-kicking-off-exciting-phase-1-of-bigoray-asset-9156.html Thu, 26 Apr 2018 14:36:00 -0400 http://www.proactiveinvestors.com/companies/stocktube/9156/pulse-oil-corp-kicking-off-exciting-phase-1-of-bigoray-asset-9156.html <![CDATA[News - Pulse Oil, Prairie Provident and Point Loma in the frame when valuations "revert to norm", reckons broker ]]> http://www.proactiveinvestors.com/companies/news/195297/pulse-oil-prairie-provident-and-point-loma-in-the-frame-when-valuations-revert-to-norm-reckons-broker-195297.html The downturn in the energy sector has pushed valuations of most Canadian E&P (exploration and production companies) to unprecedented lows but broker Mackie reckons when the tide turns there could be a bull-market for many years.

Microcap stocks have been hit even harder than larger peers and are trading at levels not seen since the dot.com boom in the early 2000s, despite the upturn in crude over the last six months.

Experienced oil analyst Bill Newman, writing in Streetwise Reports, sees this as an "opportunity" to buy highly undervalued firms that are positioned for when valuations "revert to the norm".

Prairie Provident..

One stock on the analyst's list is Prairie Provident (TSE:PPR), which is focused on conventional oil weighted assets in the Wheatland and Princess properties in Southern Alberta, and its Evi area in northern Alberta. It also has 240,000 net acres in Quebec.

Newman says he likes its "cash flow funded 2018 capital program that should grow production” to around 6,000 boe/day.

"Also, in Q2/18 the company may receive a favorable ruling from an arbitration tribunal that could award substantial damages, which could be a major near-term catalyst for the stock, significantly adding to the company's balance sheet and initiating a re-rate in the marketplace," he says.

Pulse Oil Corp..

Mackie also points to Pulse Oil Corp (CVE:PUL), which, it says, has massive upside from a miscible flood enhanced oil recovery (EOR) programme of its two, 100%-owned Nisku Pinnacle reefs.

The EOR project has the potential to add between 2,000 and 3,000 barrels a day of light oil production, which would throw off substantial cash flows and unlock over 25mln barrels of oil equivalent of in-place volumes with potential value of C$177mln (C$1.39 per fully diluted share), he says.

The firm has a market cap of just C$14mln today. "This value could be unlocked for very little investment," says Newman.

Point Loma Resources

Thirdly, Point Loma Resources Ltd (CVE:PLX) is highlighted by the analyst.

It has a large, concentrated land base in Alberta, with a large low-cost Manville and Cardium well development inventory for expected rapid production expansion as the energy market recovers, says the broker.

"The company also has a sizeable stake in the Duvernay Shale oil play with the likes of Crescent Point and Raging River drilling offset horizontals near Point Loma's acreage. Point Loma also has additional financial security with no bank debt and the backing of a large strategic Chinese investor that owns nearly 20% of the company."

Summing up Newman says:  "The energy sector has been out of favor for so long now that the lack of investment combined with OPEC production cuts are pushing down global oil inventories while world economies continue to grow.

"This could set up the energy sector for a multiyear bull market and we believe our forgotten micro caps could easily have a 100% to 200% return for investors."

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Wed, 18 Apr 2018 15:13:00 -0400 http://www.proactiveinvestors.com/companies/news/195297/pulse-oil-prairie-provident-and-point-loma-in-the-frame-when-valuations-revert-to-norm-reckons-broker-195297.html
<![CDATA[News - Pulse Oil shares tick higher as it outlines increased reserves at Bigoray and Queenstown assets ]]> http://www.proactiveinvestors.com/companies/news/195070/pulse-oil-shares-tick-higher-as-it-outlines-increased-reserves-at-bigoray-and-queenstown-assets-195070.html Shares in junior oiler Pulse Oil Corp (CVE: PUL) ticked higher Monday as it outlined increased reserves at its Bigoray and Queenstown assets in Alberta, Canada.

As at the end of December, it had increased proven (1P) reserves by 287% compared to 2016 worth C$15.4mln.

READ THE BIG PIC - Pulse Oil kicks off first phase at Bigoray EOR project; eyeing 23mln barrel prize

The pre-tax net present value of the 2P (proven and probable) reserves were C$24.37mln, compared to C$0 in 2016 - an increase of 328%.

"Since going public in 2017, Pulse Oil has established two core areas at Bigoray and Queenstown," Pulse chief executive Garth Johnson told investors.

Johnson noted how the firm now had 100% ownership of the exciting 'enhanced oil recovery' project (EOR) focused on two Nisku light oil pools with an estimated resource classified as discovered petroleum initially in-place (DPIIP) of around 26.51 million boe's (barrels of oil equivalent).

The proved plus probable reserves value of C$24.37 million doesn't include the significant upside coming from the EOR, he noted.

"FY2018 will be Pulse's first full fiscal year as a public company and Pulse is positioned with no debt, positive working capital and growing cashflows for reinvestment," he said.

"We are excited to have started phase one of our Bigoray EOR project currently underway in the field and we are also beginning to lay out a plan for our producing assets at Queenstown (100% Working Interest) to begin drilling later this year with over twenty, low-cost infill development drilling opportunities already identified.

READ - Pulse Oil Corp moving to reactivate shut-in wells in Alberta; achieves C$66 a barrel in January

"After making a number of strategic moves in 2017 to capture a significant asset base and by executing a low risk capital investment plan to grow production to 500 BOE/d between now and this summer, we are looking forward to seeing what the Pulse team can do with a full year of effort!"

Pulse’s Bigoray operations include two Nisku oil Pinnacle Reefs and the company controls around 65 net sections of land across the Mannville, Cardium, Pekisko/Shunda and Nisku trends in Western Canada.

Broker Mackie rates stock 'speculative buy'

Broker Mackie notes that the firm's market price ascribes no value for the large potential reserves and production additions with the EOR program currently underway.

"We reiterate our $0.50 target price on the potential for low risk production growth through the reactivation and recompletion program and the massive upside potential from the miscible flood EOR project at Bigoray which provides Pulse with a significant cash flow ramp and low risk reserves adds," said analyst Bill Newman.

"With improving oil prices and production growing to be 500 boe/d by this summer, we expect the company to generate significant cash flow that can be reinvested into the next phase of the EOR project, putting the company on the road to unlocking massive upside without having to drill a well."

Mackie rates shares 'speculative buy'.

The stock rose 9.38% to C$0.18 in Toronto on Monday..

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Mon, 16 Apr 2018 10:27:00 -0400 http://www.proactiveinvestors.com/companies/news/195070/pulse-oil-shares-tick-higher-as-it-outlines-increased-reserves-at-bigoray-and-queenstown-assets-195070.html
<![CDATA[News - Pulse Oil kicks off first phase at Bigoray EOR project; eyeing 23mln barrel prize ]]> http://www.proactiveinvestors.com/companies/news/193814/pulse-oil-kicks-off-first-phase-at-bigoray-eor-project-eyeing-23mln-barrel-prize-193814.html Shares in junior oiler Pulse Oil Corp (CVE:PUL) went higher on Monday as the group took another stride in Alberta - the start of operations at its potentially game-changing Nisku enhanced oil recovery (EOR) project.

The group's Bigoray assets consists of the Cardium oil pools, the Mannville gas pools, the Pekisko oil pool and the Nisku oil pools, and the EOR project relates only to the Nisku D and Nisku E reef pools.

A previous assessment showed the project could host as much as 23.3mln barrels initially in place.

It involves using what's called 'miscible' flood technique used rather than waterflood to recover the oil.

For the layman, this involves pumping in a solvent followed by a gas which reduces the viscosity of the oil, making it easier to get out.

First phase of enhanced recovery..

The first phase of the EOR includes reactivating existing injection facilities, allowing the firm to cost-effectively reactivate up to three current shut-in oil producers to add around 400 barrels of oil equivalent per day (100-per-cent working interest) of new light oil and gas production prior to the EOR project taking place.

"We are eagerly awaiting the Bigoray EOR project to be fully under way later this year and the start of phase 1 is a very low-cost starting point," said Drew Cadenhead, president and chief operating officer at Pulse.

"....it's really exciting for everyone involved. This critical facility work not only marks the start of the EOR project for us, it allows us to get additional shut-in production reactivated in the near-term while we prepare for the water injection phase of the project in 2018.

"This interim production boost will provide additional revenues which will be reinvested in the Bigoray EOR program later this year as planned."

Pulse also today announced the appointment of a project manager -  Bill Sawchuk - a professional petroleum engineer and an EOR expert to oversee all technical and planning aspects of the program.

Sproule report..

In January this year, Sproule's resource assessment for the two pools had contingent resources (those quantities thought to be potentially recoverable) put at 8.07mln barrels of oil equivalent (boe) as an unrisked high estimate.

The best estimate was 6.136mln  boe and the low estimate was 3.668mln boe.

Sproule also deemed there was a "high probability" of the Bigoray EOR project becoming a commercial development.

"Although this assessment used a more conservative approach to Petroleum Initially in-Place (PIIP) compared with the PIIP estimates of the Alberta Energy Regulator, we are excited to see that even this more conservative approach resulted in a strong endorsement for the project,"  Cadenhead had said, chief operating officer at Pulse.

"With an independent un-risked high case upside estimated at over 8 million boe's of contingent resources (92% oil), the opportunity to move forward with our EOR project to bring on stream substantial cashflow while targeting to recover those types of oil volumes without drilling a well, creates a substantial opportunity to enhance value for Pulse and our shareholders."

The estimate covered juts the two Nisku pools only , namely just 2,720 acres of Pulse's 44,720 acre core holdings, which includes 14,000 acres at Bigoray alone.

What the broker said..

Broker Mackie said that after full implementation of the EOR project, each of the two Nisku Pinnacles reefs were expected to add around 1,000 bbl/d (barrels a day) plus of light oil production providing significant cash flow and low risk reserve additions.

Analyst Bill Newman said there was "massive, low risk upside" from the miscible flood.

Assuming a recovery factor at the bottom end of the range of 55%, and a modest $15/boe (barrel of oil equivalent) cash flow netback, the potential NPV10 (net present value) is $78 million or $0.61 per fully diluted  share, he said.

"With a recovery factor equal to the average of 80% and a $15/boe netback, the NPV10 increases to $177mln ($1.39/fd share)."

The analyst noted: "As most of the required infrastructure is in place (100% owned by Pulse), the miscible flood project requires a relatively small investment per Nisku Reef providing massive upside without the risk and significant cost of an extensive horizontal drilling programme."

Mackie rated the stock a 'speculative buy' and targets C$0.50 for the shares - a long way from where they are now at C$0.16 - up 6.45%.

More to come.?

Future evaluations may be carried out on Pulse's Mannville, Cardium and Pekisko formations as well as additional Nisku assets/pools held within Pulse's existing holdings

The resource assessment is based on the results from seventeen wells and, where available, core data. Where that was not available, log data was used.

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Mon, 26 Mar 2018 14:23:00 -0400 http://www.proactiveinvestors.com/companies/news/193814/pulse-oil-kicks-off-first-phase-at-bigoray-eor-project-eyeing-23mln-barrel-prize-193814.html
<![CDATA[News - Pulse Oil Corp moving to reactivate shut-in wells in Alberta; achieves C$66 a barrel in January ]]> http://www.proactiveinvestors.com/companies/news/192877/pulse-oil-corp-moving-to-reactivate-shut-in-wells-in-alberta-achieves-c66-a-barrel-in-january-192877.html Alberta-focused junior Pulse Oil Corp (CVE:PUL) revealed that output of crude in the past couple of months has averaged around 200 boe/d (barrels of oil equivalent), despite the cold weather.

Pulse’s Bigoray operations include two Nisku oil Pinnacle Reefs and the company controls around 65 net sections of land across the Mannville, Cardium, Pekisko/Shunda and Nisku trends in Western Canada.

READ: Pulse Oil says resource estimate at Bigoray underlines potential of its enhanced oil recovery project

Pulse chief executive Garth Johnson says the oiler is advancing quickly to reactivate wells that were shut in when oil was under US$30 a barrel.

Happily, Pulse's crude oil was sold at an average January oil price of C$$66 per barrel, he noted, despite talk of discounted oil prices in Alberta, not least due to increased oilsands output.

These same wells are creating significant positive cash flow,  he added.

Cash flow from these reactivations will help the firm focus on initiating Pulse’s ultimate plan, which is the implementation of the Bigoray Enhanced Oil Recovery Project.

Opex (operating expenditure) and royalty costs in January were just US$15 per BOE (barrel of oil equivalent), so Pulse’s plan to reactivate the “low-hanging fruit” is paying off,  the firm added.

As an example of recent activity, Pulse has highlighted one well (14-4), which had been "shut in" and was looked at again by the technical team, who suggested there may be something mechanically wrong with the equipment. 

The downhole equipment was completely clogged and the firm  cleaned out the “goopy” blockage, replaced a few of the worn downhole tubing and rod joints, and fired the well back up

In December last year, 3300 barrels of oil produced from this “nothing left” well, the firm said.

Read about it here..

In January this year, Pulse welcomed an independent resource assessment of its Nisku enhanced oil recovery (EOR) project, which shows it could be sitting  on as much as 23.3mln barrels initially in place.

WATCH - Pulse Oil dramatically ups daily production after strong start to Bigoray workover

The project consists of 100% controlled Nisku D and Nisku E reef pools at Bigoray and Pulse reckons this figure from consultant Sproule is conservative

Contingent resources (those quantities thought to be potentially recoverable) were put at 8.07mln barrels of oil equivalent (boe) as an unrisked high estimate.

The best estimate was 6.136mln boe and the low estimate was 3.668mln boe.

Sproule also deemed there was a "high probability" of the Bigoray EOR project becoming a commercial development.

The estimate covered just the two Nisku pools only, namely just 2,720 acres of Pulse's 44,720 acre core holdings, which includes 14,000 acres at Bigoray alone.

The firm had said: "Our goal is to make this project happen in 2018 and with the oil price market appreciating heading into 2018, the economics of this EOR project and return for shareholders continue to look more and more attractive alongside improving oil prices."

Following the news, broker Mackie repeated a 'speculative buy' and C$0.50 share price target.

Pulse Oil Corp shares on Tuesday (March 13) added 3.13% to C$0.16..

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Thu, 08 Mar 2018 14:10:00 -0500 http://www.proactiveinvestors.com/companies/news/192877/pulse-oil-corp-moving-to-reactivate-shut-in-wells-in-alberta-achieves-c66-a-barrel-in-january-192877.html
<![CDATA[News - Pulse Oil says resource estimate at Bigoray underlines potential of its enhanced oil recovery project ]]> http://www.proactiveinvestors.com/companies/news/189754/pulse-oil-says-resource-estimate-at-bigoray-underlines-potential-of-its-enhanced-oil-recovery-project-189754.html Junior oiler Pulse Oil Corp (CVE:PUL) has welcomed an independent resource assessment of its Nisku enhanced oil recovery (EOR) project in the Bigoray area of Alberta, which shows it could be sitting  on as much as 23.3mln barrels initially in place.

The project consists of 100% controlled Nisku D and Nisku E reef pools at Bigoray and Pulse reckons this figure from consultant Sproule is conservative.

READ - Pulse Oil Corp on the road to 4,600 boe/d, says broker Mackie

Contingent resources (those quantities thought to be potentially recoverable) were put at 8.07mln barrels of oil equivalent (boe) as an unrisked high estimate.

The best estimate was 6.136mln  boe and the low estimate was 3.668mln boe.

Sproule also deemed there was a "high probability" of the Bigoray EOR project becoming a commercial development.

"Although this assessment used a more conservative approach to Petroleum Initially in-Place (PIIP) compared with the PIIP estimates of the Alberta Energy Regulator, we are excited to see that even this more conservative approach resulted in a strong endorsement for the project," said Drew Cadenhead, chief operating officer at Pulse.

"With an independent un-risked high case upside estimated at over 8 million boe's of contingent resources (92% oil), the opportunity to move forward with our EOR project to bring on stream substantial cashflow while targeting to recover those types of oil volumes without drilling a well, creates a substantial opportunity to enhance value for Pulse and our shareholders."

The enhanced oil project will see miscible flood technique used rather than waterflood to recover oil.

WATCH - Pulse Oil dramatically ups daily production after strong start to Bigoray workover

This estimate covers juts the two Nisku pools only , namely just 2,720 acres of Pulse's 44,720 acre core holdings, which includes 14,000 acres at Bigoray alone.

Cadenhead added: "Our goal is to make this project happen in 2018 and with the oil price market appreciating heading into 2018, the economics of this EOR project and return for shareholders continue to look more and more attractive alongside improving oil prices."

The Sproule report was  based on the results from 17 wells and, where available, core data

The Resource Assessment is based on the results from seventeen wells and, where available, core data.

Where that was not available, log data was used.

Mackie repeats 'speculative buy'..

Following the news, broker Mackie repeated a 'speculative buy' and C$0.50 share price target.

"We expect that with the successful implementation of the miscible flood, the Sproule resource estimates could prove conservative and the upside case of 8.1 million boe is more likely," said analyst Bill Newman.

"The potential upside from a successful Nisku Reef EOR project is so large that we expect substantial stock price appreciation, even if the miscible flood achieves expectations at the low end of the range."

Pulse shares added 4.55% to C$0.23.

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Tue, 09 Jan 2018 11:58:00 -0500 http://www.proactiveinvestors.com/companies/news/189754/pulse-oil-says-resource-estimate-at-bigoray-underlines-potential-of-its-enhanced-oil-recovery-project-189754.html
<![CDATA[News - Pulse Oil Corp on the road to 4,600 boe/d, says broker Mackie ]]> http://www.proactiveinvestors.com/companies/news/189113/pulse-oil-corp-on-the-road-to-4600-boed-says-broker-mackie-189113.html Broker Mackie repeated a 'speculative buy' stance on junior producer firm Pulse Oil Corp (CVE:PUL) on the back of its ambitious operational plans.

"Over the next two years, Pulse plans to build a substantial production base through additional well reactivations, a Mannville development drilling program and through the implementation of the EOR (enhanced oil recovery) project at Bigoray which could increase corporate production to 4,600 boe/d (barrels of oil equivalent per day)," notes analyst Bill Newman.

Last week, the firm revealed it had upped output from around 70 barrels of oil equivalent per day to more than 300 Boe/d (84-per-cent oil) with the start of Pulse's planned reactivation program in its core Bigoray area.

In coming weeks, Pulse plans to reactivate another five to seven wells at Bigoray, and one at its Queenstown asset.

The massive resource upside, however, comes from the miscible flood (rather than just waterflood) EOR project at two Nisku reefs at Bigoray, and, with the completion of the well reactivations, infill drilling and initial response from this EOR program, output is targeted to increase to around 1,680 boe/d in 2018, reckons Pulse.

With the full impact of the EOR work, this is earmarked to grow to 4,600 boe/d in 2019.

At Bigoray, two Nisku reefs have produced an average of 35% of the 26 million barrels (mmboe) of petroleum initially in place (PIIP) under waterflood, but the average recovery factor of nearby reefs developed with a miscible flood is around 80%.

Assuming Pulse achieves a similar recovery factor, a miscible flood has the potential to add up to 12 mln barrels, says Newman.

"Assuming a recovery factor at the bottom end of the range of 55%, and a modest $15/boe cash flow netback, the potential NPV10 is $78 million ($0.61/fd share).

"With a recovery factor equal to the average of 80% and a $15/boe netback, the NPV10 increases to $177 million ($1.39/fd share)," says the analyst.

"The potential upside from a successful Nisku Reef EOR project is so large that we expect substantial stock price appreciation, even if the miscible flood achieves expectations at the low end of the range," adds the analyst.

Pulse shares stand at C$0.18 at the time of writing. Mackie's target is C$0.50 each.

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Wed, 20 Dec 2017 14:49:00 -0500 http://www.proactiveinvestors.com/companies/news/189113/pulse-oil-corp-on-the-road-to-4600-boed-says-broker-mackie-189113.html
<![CDATA[Media files - Pulse Oil dramatically ups daily production after strong start to Bigoray workover ]]> http://www.proactiveinvestors.com/companies/stocktube/8548/pulse-oil-dramatically-ups-daily-production-after-strong-start-to-bigoray-workover-8548.html Fri, 15 Dec 2017 21:11:00 -0500 http://www.proactiveinvestors.com/companies/stocktube/8548/pulse-oil-dramatically-ups-daily-production-after-strong-start-to-bigoray-workover-8548.html <![CDATA[News - Pulse Oil executing on strategy, says Mackie, which repeats a 'speculative buy' ]]> http://www.proactiveinvestors.com/companies/news/188680/pulse-oil-executing-on-strategy-says-mackie-which-repeats-a-speculative-buy--188680.html Broker Mackie repeated a 'speculative buy' stance on junior firm Pulse Oil Corp (CVE:PUL) following news the firm had lifted daily output through well reactivations in its Bigoray area assets in Alberta.

The oiler also announced the acquisition of petroleum and natural gas rights in 160 acres of Bigoray land immediately next to its Bigoray Nisku D Enhanced Oil Recovery (EOR) project.

Mackie targets $0.50 for the Pulse shares, which is more than double where they are now at C$0.20 each.

Pulse revealed it had upped production to about 300 boe/d (barrels of oil equivalent per day) at 84% oil, from around 70 boe/d, through the completion of the first phase of well reactivations where it has 100% working interest (WI).

"After flush production, these wells are expected to add around 250 boe/d of long life production.

"In the coming weeks, Pulse plans to reactivate another five to seven wells at Bigoray and Queenstown," noted analyst Bill Newman.

"We estimate potential production additions of another 250 boe/d taking corporate production to 500 boe/d," he said.

Pulse's Bigoray assets include a 100% interest in two Nisku Pinnacle reefs that have produced an average of 35% of the 26mln barrels (mmboe) of oil initially in place (PIIP) with waterflood techniques.

The average recovery factor of 52 nearby analogous reefs from another technique called miscible flood is around  80%.

Newman notes that assuming Pulse achieves a similar recovery, a miscible flood has the potential to add up to 12 mln barrels of reserves with production additions of over 2,000 boe/d.

 "With a recovery factor equal to the average of 80%, we see upside value potential of $177 million ($2.01 per share)," says the analyst.

"As most of the required infrastructure is in place (100% owned by Pulse), the miscible flood project requires a relatively small investment per Nisku Reef providing massive upside without the risk and significant cost of an extensive horizontal drilling program."

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Tue, 12 Dec 2017 12:40:00 -0500 http://www.proactiveinvestors.com/companies/news/188680/pulse-oil-executing-on-strategy-says-mackie-which-repeats-a-speculative-buy--188680.html
<![CDATA[News - Pulse Oil surges 25% as it lifts daily output with reactivation program; makes strategic acquisition ]]> http://www.proactiveinvestors.com/companies/news/188605/pulse-oil-surges-25-as-it-lifts-daily-output-with-reactivation-program-makes-strategic-acquisition-188605.html Pulse Oil Corp (CVE:PUL) shares shot up 25% on Monday as the group lifted its daily production dramatically as it kicked off the process of re-establishing output from its recently acquired Bigoray-area assets, where it has a 100% working interest (WI).

"The first phase of re-establishing shut-in production from our Bigoray assets has started strongly," said Drew Cadenhead, Pulse's president and chief operating officer.

"A relatively simple workover of a poorly performing NGL-rich gas well, followed by a re-activation of another pumping oil well that has been shut in for over 3 years, has provided Pulse with additional BOE's/d and cash-flow."

READ THE BIG PIC  - Producer Pulse Oil's Bigoray project in Alberta could be a game-changer READ - Pulse Oil eyeing massive upside potential at Bigoray, broker says

Output has increased from around 70 barrels of oil equivalent per day to more than 300 Boe/d (84-per-cent oil) with the start of Pulse's planned reactivation program.

Pulse expects these wells to further stabilize and settle in after initial flush production at rates of around 250 Boe/d (barrels of oil equivalent per day).

He added: "For a start-up like Pulse, this early success creates growing cash-flow, and in a company with zero debt, cash flow provides Pulse the means to bring further production on from our ongoing well reactivation program in the field.

"Our business plan has well and truly started, and we look forward to further growth and unlocking value for our shareholders."

Notably, today's release also contained news that it has completed,  subject to the Alberta regulator's approval, the acquisition of petroleum and natural gas rights in 160 acres of Bigoray land immediately next to its Bigoray Nisku D Enhanced Oil Recovery (EOR) project.

The acquisition, from a private Alberta company, was funded using working capital provided by Pulse's growing operational cash flow, it added.

Pulse Oil as big plans to grow its company exponentially through the strategic acquisition of low cost but high potential assets in western Canada.

Chief among its plans involves the Bigoray assets, whose development should mark an absolute game- changer for the firm in terms of scale.

"We have an opportunity in front of us, without drilling a well, to increase our NPV10 of reserves to, on a low case, about $170mln and on a high case $215mln," the firm said in September this year.

Bigoray consists of the Cardium oil pools, the Mannville gas pools, the Pekisko oil pool and the Nisku oil pools.

Shares added 25% to stand at C$0.20 each.

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Mon, 11 Dec 2017 11:08:00 -0500 http://www.proactiveinvestors.com/companies/news/188605/pulse-oil-surges-25-as-it-lifts-daily-output-with-reactivation-program-makes-strategic-acquisition-188605.html
<![CDATA[News - Pulse Oil eyeing massive upside potential at Bigoray, broker says ]]> http://www.proactiveinvestors.com/companies/news/186744/pulse-oil-eyeing-massive-upside-potential-at-bigoray-broker-says-186744.html Pulse Oil Corp (CVE:PUL) completed on Thursday its previously announced transactions that consolidate its interests in the Bigoray area of Alberta.

The transactions secure Pulse's interest in two strategic Nisku oil pools.

The company said the assets acquired provide substantial upside to Pulse through the addition of new reserves and the restarting of existing behind-pipe production.

Pulse will now have the opportunity to implement a low-risk enhanced oil recovery (EOR) project to increase recovery factors of the petroleum initially in place (PIIP) from roughly 35% presently and potentially up to 80%.

READ Pulse Oil shares up as it consolidates position at exciting Bigoray assets

In addition, the production history of these discoveries and some 50 others in the near vicinity have provided Pulse's technical team with an insight into how enhanced oil recovery procedures have resulted in an average recovery factor of 80%.

"Operationally speaking, we are excited to take control of these neglected assets at Bigoray. Our first step will be to immediately bring back on production that was shut in three years ago during historical low commodity prices,” revealed Drew Cadenhead, Pulse's president and chief operating officer.

“ As a proven low-cost operator with no debt, Pulse's team is ready to implement the same operational acumen we demonstrated in our previous successes; this is what we do: capture strategic assets, unlock the bigger picture upside and increase value for shareholders,” Cadenhead declared.

“By bringing on immediate cash flow from the restarting of existing behind-pipe production, we can begin to fund our EOR plan in the Nisku D and E pools, a low-risk operation with tremendous upside for a company our size," he added.

Mackie Research reiterated its 'speculative buy' rating and 50 cent target price on the news.

Mackie's valuation model assumed a recovery factor of 60%, which translates into about 6.5mln barrels of oil equivalent, which on a conservative basis it values at C$65mln, or 74 cents a share.

If Pulse cranks the recovery rate up to 80%, Mackie sees upside value potential of C$177mln, equivalent to C$2.01 a share.

“As most of the required infrastructure is in place (now 100% owned by Pulse), the miscible flood project requires an estimated $3.0 million of investment per Nisku Reef providing massive upside without the risk and significant cost of an extensive horizontal drilling program,” the broker said.

Shares in Pulse currently trade at C$0.17.  

--- adds broker comment ---

 

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Fri, 03 Nov 2017 11:55:00 -0400 http://www.proactiveinvestors.com/companies/news/186744/pulse-oil-eyeing-massive-upside-potential-at-bigoray-broker-says-186744.html
<![CDATA[Media files - Pulse Oil moves to acquire 100% of Bigoray assets in Alberta ]]> http://www.proactiveinvestors.com/companies/stocktube/8294/pulse-oil-moves-to-acquire-100-of-bigoray-assets-in-alberta-8294.html Thu, 26 Oct 2017 16:12:00 -0400 http://www.proactiveinvestors.com/companies/stocktube/8294/pulse-oil-moves-to-acquire-100-of-bigoray-assets-in-alberta-8294.html <![CDATA[News - Pulse Oil not your 'typical junior', says broker Mackie, which starts coverage ]]> http://www.proactiveinvestors.com/companies/news/186299/pulse-oil-not-your-typical-junior-says-broker-mackie-which-starts-coverage-186299.html Broker Mackie has begun covering Pulse Oil Corp (CVE:PUL) with a 'speculative buy' rating and C$0.50 target, saying it is not your 'typical junior' oiler.

That's because huge upside could be achieved by the company with very little capital, reckons analyst Bill Newman.

WATCH: Pulse Oil moves to acquire 100% of Bigoray assets in Alberta

The development of the firm's exciting Bigoray assets in Alberta should mark a game-changer for the firm.

Bigoray consists of the Cardium oil pools, the Mannville gas pools, the Pekisko oil pool and the Nisku oil pools.

And recently the firm took 100% of the Nisku-D and E pool acreages via two transactions.

Together these two oil pools are estimated to contain an impressive 26mln barrels of oil initially in place (PIIP), of which around 9.3mln boe (barrels of oil equivalent) has already been recovered using water-flood techniques.

But Pulse plans a miscible flood project to target up to a further 12mln barrels of estimated remaining reserves which would represent an impressive 80% recovery factor.

"...what differentiates this small cap company from others in the current market, is its miscible flood enhanced oil recovery (EOR) project of two Nisku Pinnacle Reefs at Bigoray (100% W.I.)," says Mackie's Newman.

The EOR play has the potential to add between 6.5mln and 12mln barrels of light oil reserves, he says.

This is valued at C$65mln (C$0.74 a share) on the low end with upside to over C$177mln ($2.01 per share), he adds.

That's against a current market capitalisation of the group of around C$4mln, notes the broker.

"As most of the required infrastructure is in place the miscible flood project requires only C$3.0mln of investment per Nisku Reef providing massive upside without the risk and significant cost of an extensive horizontal drilling program," it adds.

Mackie also notes that Pulse's management have 'skin in the game' with Garth Johnson, the chief executive and Drew Cadenhead, president and chief operating officer, having a combined investment of C$1.3mln in Pulse at an average cost of around $0.11 per share holding, around 14% of the outstanding shares, while taking no salary for the last two years.

"The significant level of ownership aligns the interest of management with shareholders."

The analyst notes that at the current market price , Pulse currently trades at a steep discount to the broker's core NAV (net asset value) estimate of C$0.23per fully diluted share, excluding the Nisku miscible flood.

That net asset value rises to C$0.75 per fully diluted share when the broker includes its conservative valuation for the flood.

Pulse Oil shares added 20% on Thursday to C$0.12.

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Thu, 26 Oct 2017 14:45:00 -0400 http://www.proactiveinvestors.com/companies/news/186299/pulse-oil-not-your-typical-junior-says-broker-mackie-which-starts-coverage-186299.html
<![CDATA[News - Pulse Oil shares up as it consolidates position at exciting Bigoray assets ]]> http://www.proactiveinvestors.com/companies/news/185668/pulse-oil-shares-up-as-it-consolidates-position-at-exciting-bigoray-assets-185668.html Pulse Oil Corp (CVE:PUL) shares advanced on Monday as it strengthened its hand at the exciting Bigoray assets in Alberta, by taking 100% of the Nisku-D and E Pool acreages via two transactions.

Together these two oil Pools are estimated to contain an impressive 26 million barrels of oil initially in place (PIIP), of which around 9.3 million boe (barrels of oil equivalent) has already been recovered using water-flood techniques.

READ THE BIG PIC - Producer Pulse Oil's Bigoray project in Alberta could be a game-changer WATCH - New kids on the block Pulse Oil Corp get ready to raid Canada

Pulse now plans what's called a miscible flood project to target the recovery of up to a further 12mln barrels of estimated remaining reserves which would represent an impressive 80% recovery factor.

The detail of the transactions is complex, but put simply, the first agreement is an asset swap with a public oil and gas producer, which sees Pulse increase its interest in the  Nisku D Pool to 100%.

Then, Pulse has signed a binding agreement to acquire, for C$4.1mln, 100% of the remaining working interest in the Bigoray assets from its joint venture partner, which is an arm's-length Alberta incorporated private company.

"With control of these assets, we are positioned to add substantial value to our reserves, without having to drill a well or assume unacceptable amounts of risk often associated with projects in our industry," said Pulse chief executive Garth Johnson.

"The Nisku-D and E-Pools have already been under water flood for years and include most of the necessary infrastructure we need to execute our miscible flood program.

"We began Pulse as a low-cost, low-risk oil and gas company and we are focused on offering our investors, projects that can provide substantial upside as we execute on our plan. Our progress to consolidate these Bigoray assets is a significant growth opportunity for Pulse going forward."

Drew Cadenhead, Pulse's president and chief operating officer,  added: "With nearly 50 analogue Pools surrounding the Pulse Bigoray Pools, we are confident in the demonstrated effectiveness of the miscible floods on recovery factors within these Nisku pools, and are excited to now have the opportunity to proceed with the operations necessary for Pulse and our shareholders to achieve the benefits of this low-risk, high-reward project."

Shares in Toronto added 10% to C$0.11 each.

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Mon, 16 Oct 2017 11:35:00 -0400 http://www.proactiveinvestors.com/companies/news/185668/pulse-oil-shares-up-as-it-consolidates-position-at-exciting-bigoray-assets-185668.html
<![CDATA[News - Producer Pulse Oil's Bigoray project in Alberta could be a game-changer ]]> http://www.proactiveinvestors.com/companies/news/184323/producer-pulse-oil-s-bigoray-project-in-alberta-could-be-a-game-changer-184323.html Producer Pulse Oil Corp (CVE:PUL) has big plans to grow a small company exponentially through the strategic acquisition of low cost but high potential assets in western Canada.

The management team, headed up by money man Garth Johnson and geologist Drew Cadenhead, undoubtedly have form.

Looking to repeat success..

With this venture, they are looking to repeat the success they had with TAG Oil, which they took to a $660mln market cap firm from a financially stressed one worth about $2mln.

Chief among their plans at Pulse involves their newly acquired Bigoray assets, whose development should mark an absolute game- changer for the firm in terms of scale.

Chief executive Johnson said excitedly of Bigoray "Drew and I have been partners for 15 years. We looked all over and I've never come across an opportunity where we can make such a big value-add to reserves, cash flow and NPV10 without taking on a lot of risk - without drilling an exploration well."

This is one of two assets the firm has bought, the other being located in Queenstown in southern Alberta, which already generates around 70 boe/d (barrels of oil equivalent per day).

So lets drill down a bit more at Bigoray and see why it's sparked such excitement.

Johnson explained how the firm originally looked at the project as a conventional oil play, but after some further research, realised it could yield much more, by employing an enhanced oil recovery program - in this case via miscible flooding.

Current reserves of 1.67mln boe..

Pulse's current reserve base stands at around 1.67mln boe with a net present value of $11.6mln.

"We have an opportunity in front of us, without drilling a well, to increase our NPV10 of reserves to, on a low case, about $170mln and on a high case $215mln," he told Proactive.

Bigoray consists of the Cardium oil pools, the Mannville gas pools, the Pekisko oil pool and the Nisku oil pools. It is the latter, which is key to the growth story here.

There are around 50 of these Devonian age reefs - 1 to 2km across -  discovered in the late 1970s and Pulse has interests in two of them. Most have been subjected to enhanced oil recovery techniques, which saw average recovery of about 80% of the oil in place.

Pulse's Nisku D and E pools have about 27mln barrels in place, 9mln of which have been recovered from simple waterflood, and the firm reckons there are about 12mln barrels it can still recover.

Johnson explained how a nearby pool was originally producing around 2,000 boe a day, but after the miscible flood, that increased to 3,000 boe, which then flat-lined at that level for the next seven to eight years.

"We reckon we can grow production from about 100 gross boe per day to well over 4,000 barrels with the implementation of the miscible flood..," said the company boss, adding that at level Pulse could likely be seen as a takeover target.

In simple terms, the process involves pumping in a solvent and then a gas, which reduces the viscosity of the oil, making it easier to get out.

It's low cost too, says Johnson, costing about $3mln for initial infrastructure for each reef.

Bigoray also has opportunities to reactivate conventional wells at low cost and Johnson says with just some Nisku wells being reactivated that have been on waterflood and bringing the Mannville wells on stream Pulse could add around 700 boe/d of gross output for a cost of approximately $2mln.

Getting it's house in order...

But before all that, Pulse is keen to get it's house in order and wants to have full control of its assets. To that end, it's keen to buy out two partners it has on the Bigoray play so that’s where Johnson and Cadenhead are currently focussed.

It is an opportune moment to make such deals at reasonable cost as the oil market is under pressure and firms are looking for exits completely or to free up limited capital to focus on core areas of their operations.

It's worth mentioning here that Pulse also has the Queenstown assets in southern Alberta, which, it says,  represent a fantastic longer term (5-6) year play opportunity.

Here, Pulse owns a 100% interest in over 30,000 acres and 70 boe/d of current production and 20 development drilling locations already earmarked.

Last month, the firm said a new geophysical study means Pulse knows where to focus on the highest productivity areas within  the prolific Mannville lithic channels, and it reckons it can generate initial output of 200boe/d for the first 60 days of each new well and then producing on predictable, low decline rates for years to come.

So it's all looking quite exciting for the group, which only went public in March this year. It is already profitable at the operational level, and management has certainly put its money where its mouth is.

Cadenhead and Johnson combined have put in around $1.3mln of their own money in the venture, and are convinced it will grow.

The market cap is about $7mln yet the book value of the assets alone are worth $14mln, explains Johnson, which would support a share price of double where they are now at 10 Canadian cents.

"We don't want to put the company at risk. We want to make profits," said Johnson.

Pulse raised C$4.8mln in June and has no plans to raise any money, at least in the next three to six months, while it focuses on consolidating its exciting assets.

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Wed, 20 Sep 2017 14:01:00 -0400 http://www.proactiveinvestors.com/companies/news/184323/producer-pulse-oil-s-bigoray-project-in-alberta-could-be-a-game-changer-184323.html
<![CDATA[Media files - New kids on the block Pulse Oil Corp get ready to raid Canada ]]> http://www.proactiveinvestors.com/companies/stocktube/7996/new-kids-on-the-block-pulse-oil-corp-get-ready-to-raid-canada-7996.html Thu, 24 Aug 2017 16:24:00 -0400 http://www.proactiveinvestors.com/companies/stocktube/7996/new-kids-on-the-block-pulse-oil-corp-get-ready-to-raid-canada-7996.html <![CDATA[News - Pulse Oil cashed-up and ready to roll in Alberta ]]> http://www.proactiveinvestors.com/companies/news/179411/pulse-oil-cashed-up-and-ready-to-roll-in-alberta-179411.html Alberta-focused energy firm Pulse Oil Corp (CVE:PUL) has closed the first tranche of its private placement as it embarks on a new era of operations.

The company has also formally completed the acquisition of certain oil and gas assets in the Queenstown area of the Province of Alberta, and signed a definitive agreement to purchase certain Whiskey Creek light oil and gas assets, as announced last month.

Pulse raised C$3.11mln in the first tranche of the private placement, issuing 25.96mln units at a price of 12 cents each.

Each basic unit comprised one common share of Pulse plus an attached warrant that entitles the holder to purchase one Pulse share, within 24 months of the issue, at an exercise price of 17 cents.

Pulse also raised C$1.70mln through the issue of 13.06mln “flow-through” units at a price of 13 cents each.

"Our financing is proceeding positively with solid interest and support from a variety of investors who, we believe, recognize that it is an opportune time to start-up a high growth, new oil and gas business with a clean balance sheet at the bottom of an energy cycle,” said Garth Johnson, chief executive officer of Pulse.

“Our team feels this first tranche of the private placement, which is Pulse's first financing under the current management team, not only allows us to complete the strategic Mannville acquisition, but also allows us to get to work re-starting shut-in production, and increasing cash flow as soon as possible" he added.

"We are now positioned to conduct our operational plan, move to close the second tranche of the private placement in the coming weeks and implement our plan to optimize the value of Pulse's increasing asset base,” Johnson said.

Drew Cadenhead, Pulse’s president and chief operating officer, said the funds, along with expected cash-flow from operations, would allow the company to start drilling at its Mannville property.

“With 20 development in-fills already identified from extensive well control in the area and on 3-D seismic [data], we believe the low-risk nature of these producing assets, when combined with the upside potential of low-cost horizontal drilling operations, should allow Pulse to grow in strength and size quickly to create value for our shareholders," Cadenhead said.

Pulse intends to use its 3D seismic database to expand its horizontal drilling inventory in the Mannville area, as well as further delineate identified opportunities in the Ellerslie, Pekisko/Shunda and Nisku formations.

The proceeds of the share issue will also enable Pulse to reactivate production at its Bigoray assets, where it is targeting output of around 250 barrels of oil equivalent per day (net to Pulse).

At that rate, Bigoray would be cash flow positive, Cadenhead predicted.

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Fri, 16 Jun 2017 11:29:00 -0400 http://www.proactiveinvestors.com/companies/news/179411/pulse-oil-cashed-up-and-ready-to-roll-in-alberta-179411.html
<![CDATA[News - Pulse Oil Corp extends closing of second tranche of placing ]]> http://www.proactiveinvestors.com/companies/news/181728/pulse-oil-corp-extends-closing-of-second-tranche-of-placing-181728.html Alberta-focused energy firm Pulse Oil Corp (CVE:PUL) said the closing of its second tranche of its placing had been extended to August 2 this year.

The TSX Venture Exchange has approved the request to extend the date, it said.

It is so that Pulse can continue to work and evaluate certain potential strategic partnership opportunities which have recently come to its attention, the oiler said.

Earlier this month, the group closed the first tranche of its private placement as it embarks on a new era of operations.

The company formally completed the acquisition of certain oil and gas assets in the Queenstown area of the Province of Alberta, and signed a definitive agreement to purchase certain Whiskey Creek light oil and gas assets, as announced last month.

Pulse raised C$3.11mln in the first tranche of the private placement, issuing 25.96mln units at a price of 12 cents each.

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Wed, 30 Nov -001 00:00:00 -0500 http://www.proactiveinvestors.com/companies/news/181728/pulse-oil-corp-extends-closing-of-second-tranche-of-placing-181728.html