Pyramid Petroleum Announces Debt Payoffadmin
Monday, August 11th 2008
Pyramid Petroleum Inc. announces that the debt of $9.1 million taken to acquire Gulf of Mexico properties in April and May 2007 has been paid in full. Accomplishing this in merely 15 months, the only debt remaining is a long term promissory note of $1.0 million to be paid in 2011.
Pyramid Petroleum CEO Ilyas Chaudhary stated that, “Pyramid, in its tradition for conservative forecasting, had projected to shareholders to retire this debt by year end 2008. Due to a combination of factors such as lower decline rates and increased commodity prices, the said debt was paid down five months earlier. While Pyramid plans to raise funds from convertible debentures, as announced earlier, the free cash flow from operations will positively facilitate the ongoing well rework and drilling programs.”
Pyramid Petroleum Inc., with its headquarters located in Houston, Texas, is an oil and gas exploration and production company with substantial upside through its strategically located operations in the Gulf of Mexico Offshore (“GOM”). Pyramid Operates 16 platforms and 51 wells with three facilities in the Green Canyon block (52,184, and CPP) having the potential capacity of up to 55,000 BOPD and 125 MMcfd (current utility of 2250 BOPD and 6.4 MMcfd). Pyramid’s net production is about 1200 boepd. Shares of the Company are listed for trading on the TSX Venture Exchange under the symbol ‘PYR’.