Marion Energy Limited (ASX:MAE) Quarterly Activities Report For June 2009
Melbourne, Aug 4, 2009 AEST (ABN Newswire) - The Directors of Marion Energy Limited (ASX:MAE)(PINK:MAEJF) present their Activities Report for the June 2009 Quarter.
The June 2009 quarter saw a focus on the following strategic activities:
1. The Goldman Sachs managed process of seeking buyers for the Company and/or its assets either in whole or in part;
2. Negotiation of extension of banking facilities; and
3. Conducting a complete review of both Utah field operations with a view to establishing a forward development plan to maximise value to shareholders.
Low gas prices - for a time below US$1.50 per mcf in the Rocky Mountains - meant minimal revenue generation during the quarter.
The pricing environment made the wells marginal in terms of cash flow contribution on an operating basis. The majority of wells were therefore shut in for the quarter. However, in order to generate meaningful information for the Goldman Sachs sales data room, some production from wells was undertaken with most of the gas being flared.
Given the recent resurgence in gas prices to over US$3.00 per mcf, the Company now plans to bring a number of the wells back on stream with associated field operations to commence in the near term.
In the first instance, these operations will focus on the potentially most productive wells, in line with the formulation of the development plan for both Utah projects, which is now nearing completion.
It is anticipated that details of the development plan and operational strategies will be advised to shareholders in the near future and will support the on-going sale process.
For the complete Marion Energy Quarterly Activities Report for June 2009, please click the link below:
http://www.abnnewswire.net/media/en/docs/61192-ASX-MAE-455316.pdf
Contact
North American Contact: Mr Jeff Clarke
Managing Director & CEO
Ph: +00111-214-244-7690
Email: jclarke@marionenergy.com
Australian Contact: Mr Peter Collery
Executive Director and Company Secretary
Ph: +61-3-8862-6466
Email: peter@marionenergy.com.au
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