Pieridae cuts net loss in Q3 on higher prices
Canadian natural gas producer Pieridae Energy said November 10 it cut its net loss in Q3 2022 to C$1.6mn (US$1.2mn) from C$14.8mn in Q3 2021.
Net operating income rose to C$30mn from C$17.92mn.
Although production was down 5%, as price volatility in western Canada prompted temporary shut-ins during the quarter, Pieridae’s average realised natural gas price rose 34%, to C$3.62/’000 ft3 from C$2.70/’000 ft3.
Natural gas production averaged 181mn ft3/day in Q3 2022, down from 191.4mn ft3/day in Q3 2021 as ethane re-injection to its sales gas stream reduced volumes but increased the heat content and value of the gas stream, with no material impact on revenues. Ethane re-injections are expected to continue for the rest of this year and into 2023.
Pieridae hedged about 54% of its natural gas production in August, but price volatility at the AECO hub – including negative pricing on a few days – prompted the company to shut in about 750 barrels of oil equivalent (boe)/day of unhedged volumes for several days.