HOUSTON--()--Swift Energy Company (NYSE: SFY) announced today the status of initial physical assessments of its Lake Washington Field in Plaquemines Parish and Bay de Chene Field in Jefferson and Lafourche Parishes.
According to the National Hurricane Center, Hurricane Isaac made landfall Tuesday morning, August 28, 2012, as a Category 1 Hurricane, approximately 38 miles south/southeast of our Lake Washington Field in Plaquemines Parish.
According to plan, after all of Swift Energy’s employees, contractors and their families were accounted for and determined to be safe, inspection crews mobilized to these fields as soon as it was safe to do so and conducted preliminary assessments of individual facilities and infrastructure. Minimal damage to Swift Energy property in both fields was observed during these inspections. The Company has separate engineering teams making further assessments of electrical systems, instrumentation, integrity of flow lines, substructure of platforms and navigation hazards in both of its South Louisiana fields.
The Company currently anticipates that it will take approximately one week to restore its South Louisiana production operations. Once production has been restored, an accurate assessment of what impact Hurricane Isaac will have on third quarter production levels and Swift Energy’s full year production guidance estimates will be available. Drilling, completion, re-completion, and well intervention activity levels are expected to resume as soon as it is deemed safe to do so.
Swift Energy is also assessing the availability of market outlets for its products once production is resumed. The crude oil pipeline Swift Energy accesses in Lake Washington may be able to take crude oil production by the time that Lake Washington production is restored, but this cannot be confirmed at present. Coastal shipping lanes have been reestablished and cleared for commercial activities, but barge transportation of crude oil may be limited by the operational status of onshore terminals or barge availability.
Swift Energy Company, founded in 1979 and headquartered in Houston, engages in developing, exploring, acquiring and operating oil and gas properties, with a focus on oil and natural gas reserves onshore in Texas and Louisiana and in the inland waters of Louisiana.
This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The opinions, forecasts, projections, guidance or other statements contained herein, other than statements of historical fact, are forward-looking statements, including targets for 2012 production and reserves growth, estimates of 2012 capital expenditures and guidance estimates for the second quarter of 2012 and full-year 2012. These statements are based upon assumptions that are subject to change and to risks, especially the uncertainty and costs of finding, replacing, developing and acquiring reserves, availability and cost of capital, labor, services, supplies and facility capacity, availability of transportation, hurricanes or tropical storms disrupting operations, and, volatility in oil or gas prices, uncertainty and costs of finding, replacing, developing or acquiring reserves, and disruption of operations Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Certain risks and uncertainties inherent in the Company’s business are set forth in the filings of the Company with the Securities and Exchange Commission. Estimates of future financial or operating performance provided by the Company are based on existing market conditions and engineering and geologic information available at this time. Actual financial and operating performance may be higher or lower. Future performance is dependent upon oil and gas prices, exploratory and development drilling results, engineering and geologic information and changes in market conditions.