CALGARY, Alberta, Aug. 14, 2024 (GLOBE NEWSWIRE) -- Prairie Provident Resources Inc. ("Prairie Provident" or the "Company") (TSX:PPR) announces its operating and financial results for the three and six months ended June 30, 2024. The Company's interim consolidated financial statements and related Management's Discussion and Analysis (MD&A) for the second quarter are available on its website at www.ppr.ca and filed on SEDAR+ at www.sedarplus.ca. SECOND QUARTER 2024 FINANCIAL AND OPERATING HIGHLIGHTS Production averaged 2,045 boe/d (52% oil and liquids) in the second quarter of 2024, a 44% or 1,596 boe/d decrease from the same period in 2023, primarily due to the sale of the Evi CGU, production declines and wells requiring maintenance. Operating expenses of $39.36/boe for the three months ended June 30, 2024, an increase of $2.83/boe from the same period in 2023 principally due to costs associated with workovers that commenced in May and June. The majority of the anticipated production increases from the workover program are expected to be realized in Q3. Production Enhancements: PPR completed a total of 12 operations which included well optimization and workovers providing initial production rates of approximately 274 boe/d. Operating netback1 before the impact of realized gains on derivatives was $0.6 million or $3.47/boe for the second quarter of 2024, a decrease of $7.0 million or 92% from the same period in 2023. On a per boe basis, operating netback decreased by $19.55/boe from Q2 2023 driven by lower natural gas prices, a higher natural gas production weighting and higher operating costs from the workover program. Approximately $3.25/boe in operating costs related to the workover program. Net loss for the second quarter of 2024 was $6.5 million, compared to a net loss of $8.8 million in the same period of 2023. The $2.3 million decrease in the net loss was primarily due to a 2023 impairment of the Evi CGU of $14.5 million, offset by a 2023 $6.9 million gain on valuation of financial liabilities and a $10.1 million decrease in oil and natural gas revenue primarily due to the sale of the Evi CGU. In May 2024, the Company received additional funding of US$2.3 million through an issue of additional Second Lien Notes to its current lender, a portion of which was used for the Company's workover program. The Company remained active in its decommissioning program with $1.4 million spent during the first six months of 2024. The Company has significant tax pool coverage, including approximately $329 million of non-capital losses. Note: (1)  Operating netback is a non-GAAP financial measure and is defined below under "Non-GAAP and Other Financial Measures". BASAL QUARTZ DEVELOPMENT OPPORTUNITIES The Basal Quartz/Ellerslie fairway in south central Alberta has seen a rapid increase in horizontal drilling activity by area operators in response to the success of high intensity frac completions. This has resulted in prolific oil wells with disclosed initial production rates that are substantially higher than with conventional completions, generating attractive economics. The Company's large land position of 167,869 net acres in its Michichi core area has been internally evaluated for Basal Quartz potential. Prairie Provident is excited by the results being achieved by offsetting activity, with offset wells having disclosed initial production rates of approximately 800 boe/d. Prairie Provident has identified more than 40 Basal Quartz potential drilling opportunities targeting light/medium oil on its Michichi lands. Internal estimates forecast a payout period of approximately eight months and average estimated first year production of approximately 270 bbl/d of light/medium oil. These potential drilling opportunities are not booked locations to which any reserves have been attributed in the most recent independent evaluation of Prairie Provident's reserves data, effective December 31, 2023, by Sproule Associates Limited. The Company's existing proved undeveloped reserves bookings at Michichi, as reflected in the 2023 year-end evaluation, consist primarily of Banff formation oil reserves. Production from successful Basal Quartz drilling will be processed through existing Company-owned infrastructure in the Michichi area. Prairie Provident currently owns and operates two oil batteries (one with LACT connection to Inter Pipeline), two natural gas plants with a combined inlet capacity of approximately 10 MMscf/d, three field booster compressor stations, and an extensive pipeline network at Michichi. Owning and controlling key infrastructure within the Basal Quartz/Ellerslie fairway provides Prairie Provident with a competitive advantage for the future development of this play. FINANCIAL AND OPERATING SUMMARY     Three Months EndedJune 30, Six Months EndedJune 30, ($000s except per unit amounts)   2024 2023 2024 2023 Production Volumes           Crude oil and condensate (bbl/d)   993 2,292 1,244 2,279 Conventional natural gas (Mcf/d)   5,923 7,518 6,211 7,629 Natural gas liquids (bbl/d)   65 97 62 98 Total (boe/d)   2,045 3,641 2,341 3,648 % Liquids   52% 66% 56%