InPlay Oil, a Canadian energy company, remains optimistic about its growth prospects for the year ahead, projecting a 7% increase in oil volumes despite a decrease in planned capital spending. The company’s board has approved a capital program ranging from 64 million to 67 million Canadian dollars for 2024, with the aim of achieving an annual average production of 9,000 to 9,500 barrels of oil equivalent per day.
Adjusted Spending Plans
To adapt to the changing market conditions, InPlay Oil has decided to reduce its capital spending by 20% to 25% compared to the previous year. This includes cutbacks in facilities and infrastructure investments. Instead, the company will prioritize oil-weighted drilling projects to maximize output and profitability.
Expectations for 2023 Production
Despite facing various challenges in the past year, including third-party capacity constraints, turnarounds, wildfires in Alberta, and delays in the startup of a natural gas facility, InPlay Oil achieved an annual average production of approximately 9,050 barrels of oil equivalent per day in 2023. The company is confident that it can build upon this performance and generate further growth in the coming years.
InPlay Oil anticipates a promising fourth quarter for 2023, projecting it to be the period with the highest production levels throughout the year. In the third quarter alone, the company recorded an average production of 9,003 barrels of oil equivalent per day.