CST: 01/07/2016 08:36:49   

DXI Energy Releases P&NG Reserves Data for 2015

104 Days ago

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Mar 18, 2016) - DXI Energy Inc. (TSX:DXI) (NYSE MKT:DXI) ("DXI Energy" or the "Company") announces today that it has released its P&NG reserves data for 2015.

Consolidated petroleum and natural gas ("P&NG") reserves in Canada and the USA were 13,992,000 BOE at December 31, 2015. Ninety-six percent (96%) of the Company's P&NG reserves at December 31, 2015 are located in the USA at the Company's "Kokopelli" project in Garfield County, Colorado.

Summary of Oil and Gas Reserves and Net Present Values of Future Net Revenue As at December 31, 2015 Forecast Prices and Costs
Light and Medium Oil Natural Gas Natural Gas Liquids Total
(Mbbl) (MMcf) (Mbbl) (Mboe)
Gross Net Gross Net Gross Net Gross Net
Proved Developed Producing
Canada 172 145 1,024 1,016 2 2 345 316
United States - - 2,273 1,641 72 58 450 331
Total 172 145 3,297 2,657 74 60 795 647
Proved Developed Non-Producing
Canada - - 324 307 1 1 55 52
United States - - 668 461 33 27 144 103
Total - - 992 768 34 28 199 155
Proved Undeveloped
Canada - - - - - - - -
United States - - 37,504 25,897 1,861 1,489 8,111 5,805
Total - - 37,504 25,897 1,861 1,489 8,111 5,805
Total Proved
Canada 172 145 1,348 1,323 3 3 400 368
United States - - 40,445 27,999 1,965 1,573 8,706 6,239
Total 172 145 41,793 29,322 1,968 1,576 9,106 6,607
Probable
Canada 34 29 495 479 1 1 118 110
United States - - 22,045 15,222 1,094 875 4,768 3,412
Total 34 29 22,540 15,701 1,095 876 4,886 3,522
Total Proved Plus Probable
Canada 206 174 1,843 1,802 4 4 518 478
United States - - 62,490 43,221 3,059 2,448 13,474 9,651
Total 206 174 64,333 45,023 3,063 2,452 13,992 10,129
Net Present Value of Future Net Revenue Discounted at (%/Year)
Before Income Taxes After Income Taxes Unit
Reserves Category 0% 5% 10% 15% 20% 0% 5% 10% 15% 20% Value
(in thousands of Canadian dollars) ($/BOE)
Proved Developed
Producing
Canada 2,534 2,629 2,654 2,640 2,602 2,534 2,629 2,654 2,640 2,602 8.40
United States 6,379 3,971 2,938 2,383 2,037 4,210 2,621 1,939 1,573 1,344 8.87
Total 8,913 6,600 5,592 5,023 4,639 6,744 5,250 4,593 4,213 3,946 8.64
Proved Developed
Non-Producing
Canada 226 245 253 254 252 226 245 253 254 252 4.90
United States 2,823 1,376 923 718 599 1,863 908 609 474 396 8.93
Total 3,049 1,621 1,176 972 851 2,089 1,153 862 728 648 7.57
Proved Undeveloped
Canada - - - - - - - - - - -
United States 87,984 31,220 10,336 395 (5,197 ) 60,789 22,043 7,339 107 (4,079 ) 1.78
Total 87,984 31,220 10,336 395 (5,197 ) 60,789 22,043 7,339 107 (4,079 ) 1.78
Total Proved
Canada 2,760 2,874 2,907 2,894 2,854 2,760 2,874 2,907 2,894 2,854 7.91
United States 97,186 36,567 14,197 3,496 (2,561 ) 66,862 25,572 9,887 2,154 (2,340 ) 2.28
Total 99,946 39,441 17,104 6,390 294 69,622 28,446 12,794 5,048 514 2.59
Probable
Canada 1,327 1,218 1,115 1,021 939 1,327 1,218 1,115 1,021 939 10.17
United States 61,610 22,726 9,403 3,565 603 42,261 15,799 6,509 2,347 200 2.76
Total 62,937 23,944 10,518 4,586 1,542 43,588 17,017 7,624 3,368 1,139 2.99
Total Proved Plus
Probable
Canada 4,087 4,092 4,022 3,915 3,793 4,087 4,092 4,022 3,915 3,793 8.43
United States 158,795 59,293 23,600 7,061 (1,958 ) 109,123 41,371 16,397 4,500 (2,140 ) 2.45
Total 162,882 63,385 27,622 10,976 1,835 113,210 45,463 20,419 8,415 1,653 2.73
Total Future Net Revenue (Undiscounted) as at December 31, 2015 Forecast Prices and Costs
(in thousands of Canadian dollars)




Revenue




Royalties



Operating
Costs



Development
Costs



Abandonment
Costs
Future Net
Revenue
Before
Income
Taxes



Income
Taxes


Future Net
Revenue After
Income Taxes
Reserves Category $ $ $ $ $ $ $ $
Proved Reserves
Canada 13,326 1,545 8,042 15 963 2,760 - 2,760
United States 356,027 71,134 132,589 54,391 727 97,185 30,323 66,862
Total 369,353 72,679 140,631 54,406 1,690 99,945 30,323 69,622
Proved plus Probable
Reserves
Canada 17,331 1,937 10,313 15 978 4,087 - 4,087
United States 564,966 112,922 205,761 86,362 1,127 158,795 49,672 109,123
Total 582,297 114,859 216,074 86,377 2,105 162,882 49,672 113,210
Summary of Pricing and Inflation Rate Assumptions Forecast Prices and Costs
Canada - Crude Oil and Natural Gas Liquids Price Forecast
Bank of
Canada
Average
Noon
NYMEX
WTI
Near
Month
Futures
Contract
Crude
Oil
at
Cushing
Oklahoma
ICE
BRENT
Near
Month
Futures
Contract
Crude
Oil
FOB
North
Sea
Light,
Sweet
Crude
Oil
at
Edmonton
Bow
River
Crude
Oil
Stream
Quality
at
Hardisty




WCS
Crude
Oil
Stream
Quality
at
Hardisty





Heavy
Crude
Oil
Proxy
at
Hardisty






Light
Crude
Oil
at
Cromer






Medium
Crude
Oil
at
Cromer








Alberta Natural Gas Liquids (Then Current Dollars)
Year Inflation
%
Exchange
Rate
$US/$Cdn
Constant
2016$
$US/bbl
Then
Current
$US/bbl
Then
Current
$US/bbl
Then
Current
$Cdn/bbl
Then
Current
$Cdn/bbl
Then
Current
$Cdn/bbl

Then
Current
$Cdn/bbl

Then
Current
$Cdn/bbl



Then
Current
$Cdn/bbl



Spec
Ethane
$Cdn/bbl



Edmonton
Propane
$Cdn/bbl



Edmonton
Butane
$Cdn/bbl


Edmonton
Pentanes
Plus
$Cdn/bbl
2016 2.0 0.725 44.00 44.00 45.00 55.86 42.82 42.26 35.70 53.59 50.80 8.82 9.58 41.90 60.79
2017 2.0 0.750 50.98 52.00 54.00 64.00 51.84 51.20 45.02 62.72 59.52 10.55 16.00 48.00 68.48
2018 2.0 0.775 55.75 58.00 61.00 68.39 56.08 55.39 49.06 67.02 63.60 11.19 20.52 51.29 73.17
2019 2.0 0.800 60.31 64.00 67.00 73.75 61.58 60.84 54.42 72.28 68.59 11.81 25.81 55.31 78.91
2020 2.0 0.825 64.67 70.00 73.00 78.79 66.97 66.18 59.75 77.21 73.27 12.44 27.58 59.09 84.30
2021 2.0 0.850 67.93 75.00 78.00 82.35 70.82 70.00 63.56 80.71 76.59 12.74 28.82 61.76 88.12
2022 2.0 0.850 71.04 80.00 83.00 88.24 76.76 75.88 69.32 86.47 82.06 13.43 30.88 66.18 94.41
2023 2.0 0.850 74.00 85.00 88.00 94.12 82.35 81.41 74.62 92.24 87.53 14.12 32.94 70.59 100.71
2024 2.0 0.850 75.00 87.88 91.39 96.48 85.87 84.90 78.40 94.55 89.73 14.81 33.77 72.36 103.24
2025 2.0 0.850 75.00 89.63 93.22 98.41 87.59 86.60 79.99 96.44 91.52 15.15 34.44 73.81 105.30
2026+ 2.0 0.850 75.00 +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr Escalate at 2% per year
Canada - Natural Gas and Sulphur Price Forecast
NYMEX
Near Month
Contract
Midwest
Price @
Chicago

AECO/NIT
Spot


Alberta Plant Gate


Saskatchewan Plant Gate


British Columbia



Year

Then
Current
$US/mmbtu

Then
Current
$US/mmbtu

Then
Current
$Cdn/mmbtu
Spot
Constant
2016 $
$/mmbtu

Spot
Then
Current
$/mmbtu


ARP
$/mmbtu


Alliance
$/mmbtu

Sask
Energy
$/mmbtu


Spot
$/mmbtu


Sumas
Spot
$US/mmbtu

Westcoast
Station
2
$/mmbtu

Spot
Plant
Gate
$/mmbtu
Sulphur
FOB
Vancouver
$US/LT
Alberta
Sulphur
at
Plant
Gate
$Cdn/LT
2016 2.60 2.70 2.76 2.53 2.53 2.53 2.23 2.63 2.67 2.40 2.01 1.83 125.00 122.41
2017 3.10 3.20 3.27 2.97 3.03 3.03 2.72 3.13 3.18 2.90 2.77 2.58 125.00 116.67
2018 3.30 3.40 3.45 3.09 3.21 3.21 2.87 3.31 3.36 3.10 3.05 2.86 127.50 114.52
2019 3.50 3.60 3.63 3.20 3.39 3.39 3.02 3.49 3.54 3.30 3.38 3.19 130.05 112.56
2020 3.70 3.80 3.81 3.30 3.57 3.57 3.15 3.67 3.72 3.50 3.56 3.37 132.65 110.79
2021 3.90 4.00 3.90 3.32 3.66 3.66 3.29 3.76 3.81 3.70 3.65 3.46 135.30 109.18
2022 4.10 4.20 4.10 3.43 3.86 3.86 3.51 3.96 4.01 3.90 3.85 3.66 138.01 112.36
2023 4.30 4.40 4.30 3.53 4.06 4.06 3.74 4.16 4.21 4.10 4.05 3.86 140.77 115.61
2024 4.50 4.60 4.50 3.63 4.26 4.26 3.96 4.35 4.41 4.30 4.25 4.06 143.59 118.93
2025 4.60 4.70 4.60 3.64 4.35 4.35 4.08 4.45 4.51 4.40 4.35 4.16 146.46 122.31
2026+ +2.0%/yr +2.0%/yr +2.0%/yr 3.64 +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr
United States - Oil, Natural Gas Liquids and Natural Gas Price Forecast
Year Oil
$US/bbl
Natural Gas
Liquids
$US/bbl
Natural Gas
$US/bbl
2016 35.06 22.51 2.69
2017 41.43 26.84 3.21
2018 46.21 28.57 3.41
2019 51.00 30.30 3.62
2020 55.78 32.03 3.83
2021 59.76 33.77 4.03
2022 63.74 35.50 4.24
2023 67.73 37.23 4.45
2024 70.02 38.96 4.65
2025 71.42 39.83 4.76
2026+ +2%/yr +2%/yr +2%/yr

Pursuant to NYSE MKT Company Guide Section 610(b) the Company discloses that its audited consolidated financial statements for the fiscal year ended December 31, 2015, included in the Company's Form 6-K, which was filed on March 10, 2016 with the Securities and Exchange Commission, contained an audit opinion from its independent registered public accounting firm that included a going concern qualification.

About DXI ENERGY INC.

DXI Energy Inc. is an upstream oil and natural gas exploration and production company operating projects in Colorado's Piceance Basin (39,352 net acres) and the Peace River Arch region in British Columbia (14,444 net acres). DXI Energy Inc. maintains offices in Calgary and Vancouver, Canada. The company is publicly traded on the New York Stock Exchange (NYSE MKT:DXI) and Toronto Stock Exchange (DXI.TO).

Statements Regarding Forward-Looking Information: This news release contains statements about oil and gas production and operating activities that may constitute "forward-looking statements" or "forward- looking information" within the meaning of applicable securities legislation as they involve the implied assessment that the resources described can be profitably produced in the future, based on certain estimates and assumptions. Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those anticipated by DXI Energy and described in the forward-looking statements. These risks, uncertainties and other factors include, but are not limited to, adverse general economic conditions, operating hazards, drilling risks, inherent uncertainties in interpreting engineering and geologic data, competition, reduced availability of drilling and other well services, fluctuations in oil and gas prices and prices for drilling and other well services, government regulation and foreign political risks, fluctuations in the exchange rate between Canadian and US dollars and other currencies, as well as other risks commonly associated with the exploration and development of oil and gas properties. Additional information on these and other factors, which could affect DXI Energy Inc.'s operations or financial results, are included in DXI Energy Inc.'s reports on file with Canadian and United States securities regulatory authorities. Other risks include the Company's ongoing review by NYSE MKT ("the Exchange") to ensure the Company continues to regain compliance with Section 1003(a)(iv) of the Company Guide which addresses a Company's ability to operate as a going concern. We assume no obligation to update forward-looking statements should circumstances or management's estimates or opinions change unless otherwise required under securities law.

The TSX does not accept responsibility for the adequacy or accuracy of this news release.

Follow DXI Energy's latest developments on: Facebook http://facebook.com/dxienergy and Twitter @dxienergy.

DXI Energy Inc.
Robert L. Hodgkinson
Chairman & CEO
604-638-5055
investor@dxienergy.com
DXI Energy Inc.
Craig Allison
Investor Releations- New York
914-882-0960
callison@dxienergy.com