Dejour Enterprises released highlights for year-end 2009 in a press release on March 31, 2010 after the market closed. Dejour had a very productive 2009 and has come out of the gate strongly for 2010 as evidenced by their last two press releases.
Among the list of milestones achieved in 2009 Dejour announced the following:
- Increased Net Proved Reserves by more than 3,100% from slightly more than 3 BCFE to more than 93 BCFE.
- Increased Net Proved and Probable Reserves by more than 3,500% from slightly more than 6 BCFE to more than 217 BCFE.
- Reduced debt from $18.3 million to $6.2 million and raised $5 million of equity under challenging market conditions
- Annual production for 2009 averaged 456 BOE/d, an increase of 78% from 256 BOE/d in 2008
And subsequent to year end 2009, Dejour drilled two new discoveries (1.5 net) at Woodrush Northeast British Columbia, Canada. One is a Gething gas discovery on-line at approximately 1MMcf/d. The second is a light oil discovery currently producing in excess of 400 BOE/d, raising Woodrush gross production to more than 1,000 BOE/d, 50%+ oil (75% net to Dejour). Dejour plans to drill one to two more wells at Woodrush in 2010.
Dejour looks to be solidly back in the game with materially increased reserve/production numbers and plenty of drilling planned for 2010 and beyond. We have seen the stock rebound somewhat from recent lows but see plenty of additional upside to the Dejour story from here as they prepare to build out several existing production areas and explore several new prospect areas over the next few quarters. When the energy markets strengthen (and we feel that is only a matter of time as many analysts are predicting a decline in overall worldwide oil production over the next few years – which we expect to have a big effect on energy pricing) Dejour should be well positioned to further increase shareholder value going forward.
To view Dejour’s full 2009 highlight release click here