Bonanza reports 2018 growth, anticipates 2019 increases too

DENVER — Bonanza Creek Energy Inc. (NYSE: BCEI), which produces oil in the Wattenberg Field in the Denver-Julesburg Basin of Northern Colorado, released its preliminary 2018 results and projected 2019 numbers.

Highlights include:

• Bonanza anticipates Wattenberg production growth in excess of 30 percent in 2019 and approximately 20 percent in 2020.
• Wattenberg sales volumes increased approximately 48 percent year-over-year to 17.75 Mboe/d (million barrels of oil equivalent per day) in the fourth quarter 2018.
• For the year ended 2018, Bonanza estimated total capital expenditures equaled approximately $275 million.
• The company exited 2018 with more than $300 million in liquidity.

“2018 was a solid year for our company,” Eric Greager, CEO of Bonanza Creek, said in the statement. “The sale of our Mid-Continent assets allowed us to accelerate value creation in Wattenberg. We continue to see improvement in well performance through higher-intensity stimulations and thoughtful reservoir pressure management.”

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Greager continued, “Looking to 2019, we remain focused on capital discipline, operational and technical excellence, and maintaining financial flexibility. Despite a lower price environment, our improved cost structure and more effective risk management is fueling an expansion of our cash-flow margin. We remain prepared to respond prudently to market conditions with the objectives of maintaining a healthy balance sheet and maximizing shareholder returns.”