Paramount Resources Ltd. Announces Reduced Capital Spending and Revised Production Guidance

March 19, 2020 CNW

CALGARY – Paramount Resources Ltd. (“Paramount” or the “Company”) (TSX:POU) announces that, in response to the recent significant decline in global energy prices, it has revised its 2020 capital guidance to a range of $185 million to $250 million, a reduction of approximately 46% at mid-point from the originally planned range of $350 million to $450 million.

Forecast average sales volumes for 2020 under the revised capital guidance are expected to range between 70,000 Boe/d to 75,000 Boe/d (41% liquids), a reduction of approximately 6% at mid-point from the originally forecast range of 75,000 Boe/d to 80,000 Boe/d.

	Revised Forecast	Original Forecast
Annual	70,000 Boe/d to 75,000 Boe/d	75,000 Boe/d to 80,000 Boe/d
First Half	70,000 Boe/d to 72,000 Boe/d	70,000 Boe/d to 74,000 Boe/d
Fourth Quarter	70,000 Boe/d to 82,000 Boe/d	84,000 Boe/d to 90,000 Boe/d

The revised capital plans remain focused on the Company’s liquids-rich Montney assets in the Grande Prairie Region. The Company will closely monitor commodity prices and market conditions as the capital program progresses and continue to aggressively pursue cost reduction opportunities. Paramount can further adjust its spending plans, if required, to prudently manage its capital resources.

ABOUT PARAMOUNT

Paramount is an independent, publicly traded, liquids-focused Canadian energy company that explores for and develops both conventional and unconventional petroleum and natural gas reserves and resources, including longer-term strategic exploration and pre-development plays, and holds a portfolio of investments in other entities. The Company’s principal properties are located in Alberta and British Columbia. Paramount’s Class A common shares are listed on the Toronto Stock Exchange under the symbol “POU”.