CALGARY, AB, April 30, 2024 /CNW/ - Yangarra Resources Ltd. ("Yangarra" or the "Company") (TSX:YGR) announces its financial and operating results for the three months ended March 31, 2024. During the quarter, Yangarra successfully executed a high-graded capital program resulting in promising results at West Ferrier and Chambers. The initial Belly River well was followed up with two additional Belly River wells. As a result of the high-grade capital program, the liquids weighting increased from 39% in Q4 2023 to 43% in Q1 2024, which was all driven by oil volumes. Yangarra completed eleven stimulations during the quarter with continued positive results, the chemical mix continues to evolve, and the Company expects to continue to conduct ten stimulations a quarter. Yangarra remains committed to its primary goal of reducing its bank debt to $80 million and reaffirms its capital program of $20 – $25 million for the first half of 2024. Yangarra is not currently drilling and expects to re-commence the drilling program in June. The Company has completed its annual borrowing base review, and the syndicated senior credit facility has been confirmed at $130 million. The term out date has been extended to May 30, 2025, and the maturity date has been extended to May 30, 2026.  The mandatory quarterly repayments of $5 million have been removed. First Quarter Highlights Funds flow from operations of $24.3 million ($0.24 per share – fully diluted), a decrease of 19% from the same period in 2023 $9.5 million of adjusted net debt was repaid during the first quarter Oil and gas sales were $40.4 million, a decrease of 18% from the same period in 2023 Adjusted EBITDA was $26.3 million ($0.26 per share - fully diluted) Net income of $9.0 million ($0.09 per share – fully diluted, $12.1 million before tax), a decrease of 39% from the same period in 2023   Average production of 11,183 boe/d (43% liquids) during the quarter, a 10% decrease from the same period in 2023 Operating costs were $7.95/boe (including $1.70/boe of transportation costs) Field operating netbacks were $29.18/boe Operating netbacks, which include the impact of commodity contracts, were $28.53/boe Operating margins were 72% and funds flow from operations margins were 60%  G&A costs of $1.85/boe Royalties were 7% of oil and gas revenue All in cash costs were $15.97/boe Capital expenditures were $16.0 million Adjusted net debt was $109.1 million Adjusted net debt to first quarter annualized funds flow from operations was 1.1 : 1 Retained earnings of $320.8 million Decommissioning liabilities of $16.1 million (discounted) Annual General Meeting of Shareholders The Company's Annual General Meeting of Shareholders is scheduled for 10:00 AM on Wednesday May 1, 2024 in the Tillyard Management Conference Centre, Main Floor, 715 5th Avenue SW, Calgary, AB.  Financial Summary 2024 2023 Q1 Q4 Q1 Statements of Income and Comprehensive Income Petroleum & natural gas sales $        40,425 $        33,651 $        49,055 Income before tax $        12,092 $        16,106 $        19,459 Net income $          9,030 $        12,435 $        14,909 Net income per share - basic $            0.09 $            0.13 $            0.17 Net income per share - diluted $            0.09 $            0.12 $            0.16 Statements of Cash Flow Funds flow from operations $         24,260 $        17,552 $        30,068 Funds flow from operations per share - basic $             0.25 $            0.19 $            0.34 Funds flow from operations per share - diluted $             0.24 $            0.18 $            0.32 Cash flow from operating activities $         22,124 $        16,798 $        33,948 Weighted average number of shares - basic 96,169 94,801 88,287 Weighted average number of shares - diluted 102,720 99,534 94,110 March 31, 2024 December 31, 2023 Statements of Financial Position Property and equipment $          766,605 $             759,967 Total assets $          846,617 $             835,217 Working capital surplus (deficit) $              5,204 $                  (735) Adjusted net debt $          109,148 $             118,646 Shareholders equity $          548,954 $             536,598 Company Netbacks ($/boe) 2024 2023 Q1 Q4 Q1 Sales price $           39.72 $          32.85 $           43.91    Royalty expense (2.59) (2.47) (4.68)    Production costs (6.25) (6.70) (7.00)    Transportation costs (1.70) (1.70) (1.35) Field operating netback 29.18 21.99 30.88   Realized gain (loss) on commodity contract settlement (0.65) (0.45) (0.04) Operating netback 28.53 21.54 30.84    G&A (1.85) (1.55) (1.41)    Cash finance expenses (2.93) (2.90) (2.56)    Depletion and depreciation (9.53) (9.16) (8.85)    Non Cash - finance expenses (0.59) (0.31) (0.16)    Gain on Settlement of Lawsuit                     - 6.79 -    Stock-based compensation