Hemisphere Energy – Recapping A Solid Year Of Oil Production Growth, Increasing Free Cash Flows, Paying Off Debt, Initiating A Dividend, And Share Buybacks
Don Simmons, President and CEO of Hemisphere Energy (TSX.V:HME – OTCQB:HMENF), joins us to review the key Company milestones and work programs in 2022, and the business strategy moving into 2023. Overall, 2022 was a year of production growth, increased free cash flows, paying off debt, implementing a dividend, and buying back shares of the stock using the NCIB facility.
One of the key transitions this year was the successful implementation of the polymer flood process at the Atlee Buffalo G Pool, leading to an increase in production output. This gave the Company confidence in implementing the same polymer flood process at the F Pool in August, and so the expectations are for the flow rates to gradually improve ramping up into mid 2023. There are still more wells to be drilled around both the G Pool and F Pool, and based on their seismic surveys the projections are for both zones to have both consistency and future growth potential.
In addition to the ways the company has been returning value to shareholders with the dividend, share buy backs, and paying down the debt, we move the discussion into the area of potential acquisitions that the company could make to build further value in the future. Don outlines the kind of projects that their team is reviewing that would make sense as acquisition targets and how they view making sure it would be an accretive transaction.
if you have any follow up questions for Don on Hemisphere Energy, then please email us at either Fleck@kereport.com or Shad@kereport.com.