Calgary, Alberta – February 24, 2009 - Yoho Resources Inc. (“Yoho” or the “Company”) filed today
the interim unaudited consolidated financial statements for the three months ended December 31, 2008
and related Management’s Discussion and Analysis on www.sedar.com.
- Increased production 24% to 2,285 boe per day for the three months ended December 31,
2008 from 1,850 boe per day for the three months ended December 31, 2007.
- Funds from operations for the first quarter of fiscal 2009 increased 35% to $4.4 million from
$3.3 million during the first quarter of fiscal 2008. On a per share basis, funds from operations
for the three months ended December 31, 2008 increased 11% to $0.21 per share diluted from
$0.19 per share diluted for the same period last year.
- Maintained a strong balance sheet at December 31, 2008 with total net debt of 1.2 times
annualized Q1 funds from operations.
- Drilled 10 (4.9 net) wells during the first quarter of fiscal 2009, resulting in 9 (4.5 net) wells
cased as gas wells or potential gas wells and 1 (0.4 net) well which was abandoned.
Successful drilling activities have increased Yoho’s production 24% for the three months ended
December 31, 2008 to average 2,285 boe per day (85% natural gas), from 1,850 boe per day for the
three months ended December 31, 2007. In the period from December 31, 2008 to February 24, 2009
Yoho has drilled an additional 4 (4.0 net) wells resulting in 3 (3.0 net) gas wells and 1 (1.0 net) well
which was abandoned. Current production is estimated at 2,500 boe per day, which includes 200 boe
per day recently tied in as the result of drilling success this winter at Mike, B.C. An additional 200 boe
per day is awaiting pipeline and tie in operations and is expected to be on production by April 2009.
As a result of increased production and stronger commodity prices, funds from operations for the first
quarter of fiscal 2009 increased 35% to $4.4 million from $3.3 million during the first quarter of fiscal
2008. On a per share basis, funds from operations for three months ended December 31, 2008
increased 11% to $0.21 per share diluted from $0.19 per share diluted for the same period last year.
Yoho has also maintained the strength of its balance sheet at December 31, 2008. Yoho currently has
$17.2 million drawn on a bank credit facility of $32 million.
In the three months ended December 31, 2008, the Company purchased 414,100 common shares
under its normal course issuer bid for total consideration of $661,543. To date Yoho has purchased a
total of 507,400 common shares under the normal course issuer bid at an average cost of $1.54 per
With reduced natural gas prices, Yoho is currently planning a capital program for fiscal 2009 of between
$14 and $17 million that includes plans to drill between 15 (9.4 net) and 19 (11.4 net) wells for the
period from October 1, 2008 to September 30, 2009. The current capital budget has been reduced
from the previous capital budget of between $20 and $24 million.
Yoho has continued the development program at Mike, B.C. with 200 boe per day recently placed onstream
as the result of successful drilling. Initial field work also began this winter on two
“unconventional” prospects in British Columbia that Yoho’s technical team has been working on over
the last year, the drilling of which will take place subject to natural gas prices. Yoho currently has plans
for a 5 to 6 well summer drilling program, which will proceed in June 2009 subject to natural gas prices.
Yoho Resources Inc. is a Calgary based junior oil and natural gas company with operations focusing in
the northwest Peace River Arch of Alberta and northeast British Columbia. The common shares of
Yoho are listed on the TSX Venture Exchange under the symbol “YO”.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy the securities in
any jurisdiction. The common shares of Yoho will not be and have not been registered under the
United States Securities Act of 1933, as amended, and may not be offered or sold in the United States,
or to a U.S. person, absent registration or applicable exemption therefrom.
For more information please contact:
Wendy S. Woolsey
Vice President, Finance and CFO
Yoho Resources Inc.
Phone: (403) 537-1771
The TSX Venture Exchange has neither approved nor disapproved the contents of this press
Certain statements regarding Yoho Resources Inc. including management’s assessments of future plans and
operations, may constitute forward-looking statements under applicable securities laws and necessarily involve
known and unknown risks and uncertainties, most of which are beyond Yoho's control. These risks may cause
actual financial and operating results, performance, levels of activity and achievements to differ materially from
those expressed in, or implied by, such forward-looking statements.
Such factors include, but are not limited to: the impact of general economic conditions in Canada and the United
States; industry conditions including changes in laws and regulations including adoption of new environmental laws
and regulations, and changes in how they are interpreted and enforced; competition; the lack of availability of
qualified personnel; fluctuations in commodity prices; the results of exploration and development drilling and related
activities; imprecision in reserve estimates; the production and growth potential of Yoho's various assets;
fluctuations in foreign exchange or interest rates; the ability to access sufficient capital from internal and external
sources; and obtaining required approvals of regulatory authorities.
Accordingly, Yoho gives no assurance nor makes any representations or warranty that the expectations conveyed
by the forward-looking statements will prove to be correct and actual results may differ materially from those
anticipated in the forward looking statements. Yoho undertakes no obligation to publicly update or revise any
Disclosure provided herein in respect of barrels of oil equivalent (boe) may be misleading, particularly if used in
isolation. A boe conversion ratio of 6 mcf to 1 bbl is based on an energy equivalency conversion method primarily
at the burner tip and does not represent a value equivalency at the wellhead.