Daily Archives: May 1, 2017

Sundance Energy Australia Limited Quarterly Activities Report

DENVER, May 01, 2017 (GLOBE NEWSWIRE) — Sundance Energy Australia Limited (ASX:SEA) (NASDAQ:SNDE) (“Sundance” or the “Company”), a U.S. onshore oil and gas exploration and production company focused in the Eagle Ford in South Texas, reported its first quarter 2017 operating results.

During the quarter Sundance resolved the majority of its field related operational issues and is now focused on production optimization from its producing wells in the second quarter.  Production for the quarter was approximately 6,700 boe/d, in line with its expectations for the quarter, and capital expenditures for the quarter were $25.8 million.

The Company drilled 5 wells during the quarter, including 3 wells in its McMullen area and 2 wells in Dimmit County.  The Company commenced completion on 3 wells during the quarter, including 2 wells in its McMullen area and 1 well in Dimmit County.  The Woodward EFS 4HB was production tested during the quarter and will begin production in the second quarter.  The Peeler EFS 11HD and Shook EFS 11HU will begin production in the second quarter of 2017.

The frac crew that mobilized in mid-March is scheduled to complete 7 wells in Q2 and 5 wells in Q3.  We anticipate 7 total wells will begin production in the second quarter with initial production dates weighted towards the end of the quarter, inclusive of the 3 wells that were completed during the first quarter and will begin production in the second quarter.

Recent initial production rates achieved are as follows:

Well  

 

County

  Oil Rate  
bod
  Gas Rate  
mcfd
GOR
 scf/bbl 
 

 

 Boe/d 

 Choke 
1/64″
 Comments 
 Woodward EFS 4H

McMullen

325 1,427 4,390

610

12 24 hours
 Peeler Ranch 11 HD

Atascosa

1,010 420 415

1,080

16 24 hours

Grace Ford, COO, commented, “Our team continues to work diligently to reduce downtime and has made significant progress in improving day to day production management.  Our focus continues to be on improving well performance from producing wells through artificial-lift optimization and a new chemical program.  We are very excited about the performance of our new frac design which emphasizes perforation proficiency increasing near-wellbore conductivity with the reservoir.”

Eric McCrady, CEO, commented, “During the quarter, overall Company production declined by approximately 15% compared to the fourth quarter of 2016.  This expected decline was driven by initial decline rates from new wells brought online in the second half of 2016 coupled with no production from new wells.  In the second quarter, our decline rate slows but we are selling approximately 600 boe/d with our Oklahoma asset sale.  As new wells begin producing in the late second and third quarters we anticipate production rates to build in line with our guidance of 7,700-8,500 boe/d for the full year.  We are finalizing due diligence on the Oklahoma asset sale towards a scheduled closing in the second quarter of 2017.”

Sundance plans to report first quarter 2017 financial results on Tuesday, May 16, 2017, before market open and will host a conference call to review the results that same day.  A separate announcement will provide additional details regarding the conference call.

About Sundance Energy Australia Limited
Sundance Energy Australia Limited (“Sundance” or the “Company”) is an Australian-based, independent energy exploration company, with a wholly owned US subsidiary, Sundance Energy Inc., located in Denver, Colorado, USA.

The Company is focused on the acquisition and development of large, repeatable oil and natural gas resource plays in North America. Current activities are focused in the Eagle Ford.  A comprehensive overview of the Company can be found on Sundance’s website at www.sundanceenergy.net.

Summary Information

The following disclaimer applies to this document and any information contained in it. The information in this release is of general background and does not purport to be complete. It should be read in conjunction with Sundance’s periodic and continuous disclosure announcements lodged with ASX Limited that are available at www.asx.com.au and Sundance’s filings with the Securities and Exchange Commission available at www.sec.gov.  

Forward Looking Statements

This release may contain forward-looking statements. These statements relate to the Company’s expectations, beliefs, intentions or strategies regarding the future. These statements can be identified by the use of words like “anticipate”, “believe”, “intend”, “estimate”, “expect”, “may”, “plan”, “project”, “will”, “should”, “seek” and similar words or expressions containing same.

These forward-looking statements reflect the Company’s views and assumptions with respect to future events as of the date of this release and are subject to a variety of unpredictable risks, uncertainties, and other unknowns. Actual and future results and trends could differ materially from those set forth in such statements due to various factors, many of which are beyond our ability to control or predict. These include, but are not limited to, risks or uncertainties associated with the discovery and development of oil and natural gas reserves, cash flows and liquidity, business and financial strategy, budget, projections and operating results, oil and natural gas prices, amount, nature and timing of capital expenditures, including future development costs, availability and terms of capital and general economic and business conditions. Given these uncertainties, no one should place undue reliance on any forward looking statements attributable to Sundance, or any of its affiliates or persons acting on its behalf.  Although every effort has been made to ensure this release sets forth a fair and accurate view, we do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

For more information, please contact:

United States
Eric McCrady, Managing Director 
Tel: +1 (303) 543 5703

Australia
Mike Hannell, Chairman
Tel: +61 8 8363 0388

Myanmar Labor Minister Commits to Working Toward Elimination of Child Labor

Half of Myanmar child laborers work in dangerous conditions for very low minimum wages as the Southeast Asian country strives to eliminate the ubiquitous practice of employing young people, the country’s labor minister said Monday.

Half of Myanmar child laborers are working in dangerous conditions, but we can’t ask them to stop immediately, Thein Swe, the minister of labor, employment and social security, said in reply to questions by reporters at a Labor Day ceremony in the commercial capital Yangon.

We now have been working on collecting data about child laborers, providing them with an education, and checking the safety of their work environments, he said.

Thein Swe also said his ministry is working with other ministries to pay current workers a minimum wage of 3,600 kyats (U.S. $2.60) per day and eventually eliminating child labor in the country.

President Htin Kyaw sent a message to the ceremony saying that the government has been working on the elimination of forced and child labor as well as workers’ rights according to the law.

Phyo Min Thein, chief minister of Yangon region along with lawmakers and representatives from labor organizations attended the ceremony on May 1, which is a public holiday in Myanmar to commemorate of the achievements of the labor movement.

Trade unions that represent the interests of workers in Southeast Asia frequently hold rallies on Labor Day to push for improved treatment and labor conditions from their employers and their governments.

The International Labour Organisation�the Geneva, Switzerland-based United Nations agency that deals with global labor problems and standards�defines child laborers as those who are either below the legal age for employment or are engaged in work requiring longer working hours than prescribed by law for their age group.

Through its four-year U.S. $5 million project, the Myanmar Programme on the Elimination of Child Labour, the ILO is working to increase awareness of child labor in Myanmar, reduce child poverty in certain areas of the country, and improve the legal and institutional environment contributing to the elimination of child labor.

An October 2015 report issued by ILO on child labor in Hlaing Thar Yar Industrial Zone, Myanmar’s largest industrial zone, situated about 10 kilometers (six miles) outside Yangon, found that half those interviewed were under the legal working age of 13 and tended to drop out of school after the fourth or fifth grade to work.

One of five children in Myanmar aged 10-17 go to work instead of school, according to figures from a Myanmar census report on employment published in March 2016, according to a report.

The children who worked in the industrial zone’s formal sector, and performed jobs such as delivering water and sewing garments, did so mainly to contribute to the incomes of their impoverished families, but also because of the lack of coherent legislation to prevent and eliminate child labor.

Those who worked informally performing physically laborious tasks in the heat and dust for long periods such as pushing and carrying heavy loads were more likely to be exposed to hazards with greater risks of illness and injuries, the report said.

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