Renaissance Reports Second Quarter 2018 Results

November 30, 2018, Vancouver, Canada – Renaissance Oil Corp. (“Renaissance” or the “Company”) (TSX-V:ROE / OTCQB: RNSFF) reports its third quarter 2018 results.  All dollar figures are Canadian dollars, unless otherwise noted.

THIRD QUARTER 2018 HIGHLIGHTS

  • Revenue and operating netback in the third quarter of 2018 reached Company records of $7.1 million and $0.8 million, respectively;
  • On the 60,000 acre Amatitlán block, Renaissance, with its partner LUKOIL, completed a 17 shallow well drilling program targeting the Chicontepec tight sand formations and additionally, spud a 3,550 meter well to evaluate important deeper zones, and;
  • Strong crude oil and natural gas prices continued into the third quarter as sales of crude oil averaged $84.27/bbl, compared to $80.68/bbl in the previous quarter and $54.09/bbl in the third quarter of 2017, while sales of natural gas averaged $5.03/Mcf compared to $4.51/Mcf in the previous quarter and $4.24/Mcf in the third quarter of 2017.
Three Months Ended
Sep 30, 2018 Jun 31, 2018 Sep 30, 2017
Production
  Crude oil (Bbl/d) 547 596 641
  Natural gas (Mcf/d) 6,010 6,360 5,957
Total (Boe/d) 1,548 1,656 1,634
Prices
  Crude oil ($/Bbl) 84.27 80.68 56.64
  Natural gas ($/Mcf) 5.03 4.51 4.24
Revenue 7,108,914 7,035,897 5,437,199
  Royalties (5,749,279) (5,675,160) (4,344,492)
  Operating Costs (561,836) (677,977) (407,367)
Operating netback 797,799 682,760 685,340
Net loss (136,928) (1,710,887) (500,824)
  Per share, basic & diluted (0.00) (0.01) 0.00

PRESIDENT’S MESSAGE

Operations during and subsequent to the third quarter of 2018 reached a milestone in the ongoing development of the Amatitlán block (Veracruz, Mexico) by Renaissance and LUKOIL.  A 17 well drilling program has been completed, intersecting the shallow Tertiary Chicontepec formations.  These wells have undergone completion operations and been brought onto production.  Renaissance has also completed work-overs and repair operations on eight existing Chicontepec wells. Further, the Renaissance Lukoil partnership has now drilled and cored a deep 3,550 meter well which, with the 17 Chicontepec wells and work-overs, completes the US$45.5 million work program commitment on Amatitlán.

Renaissance produced an average of 1,548 boe/d at the Mundo Nuevo, Topén and Malva blocks (the “Chiapas Blocks”).  Third quarter production on the Chiapas blocks was reduced from the previous quarter due to a temporary shut in of the Topén-3 well while the Company conducts a work-over on this well and negotiates land access for the upcoming new drilling and work-over operations.

Strong prices for crude oil and natural gas continued into the third quarter of 2018 resulting in a record high quarterly revenue of $7.1 million and record operating netbacks of $0.8 million.

Renaissance continues to make progress on its journey to become a major Mexican energy producer.

RENAISSANCE OIL CORP.
Per:
Craig Steinke
Chief Executive Officer

For further information contact:
Craig Steinke, Chief Executive Officer  |  Tel: 1.604.536.3637
Kevin J. Smith, Vice President, Business Development  |  Tel: 1.403.200.9047

Abbreviations

bbl or bbls barrel or barrels Mcf thousand cubic feet
bbls/d barrels per day Mcf/d thousand cubic feet per day
boe barrels of oil equivalent MMcf million cubic feet
boe/d barrels of oil equivalent per day MMcf/d million cubic feet per day