Canada’s fifth-largest natural gas producer, Peyto Exploration & Development, marked its 20th birthday on October 23, 2018.
It’s “been quite the ride,” wrote CEO Darren Gee in his November president’s report.
He recalled milestones both positive and negative, including reaching 10,000 boe/d in 2002, converting to an income trust in 2003 and switching back to a corporation in 2010, surviving the 2008-09 Great Recession, drilling its 1,000th Deep Basin well in 2014 and hitting 100,000 boe/d in 2015.
“All along the way, commodity prices were never static or stable, but then neither were we. Our stock price followed the ups and downs in the commodity price as well as our activities at the time (and any political interference!),” Gee wrote.
Over the last 20 years, he said Peyto has raised $1.65 billion in equity, borrowed around $1.2 billion in debt and combined it with close to $3 billion in cashflow to fund $5.8 billion in capital investment. The company also paid the Alberta government almost $850 million in royalties and distributed $2.36 billion to its shareholders.
Peyto voluntarily cut production in Q3/2018 to 85,241 boe/d, down from 101,951 boe/d in Q3/2017.
The company reported third quarter earnings of $29.50 million, down from $44.81 million in the same period last year.