Parallel Energy Trust provided a production update and increased its 2013 exit rate production guidance.
During the third quarter of 2013, the Trust's daily production averaged approximately 7,100 boe/day based on field data, which results in a record nine month daily production rate of approximately 7,100 boe/day. Parallel's production in the third quarter was negatively impacted by a severe electrical storm which interrupted power to the Trust's operations, as well as a short-term outage at one of the third-party facilities which processes a significant portion of the Trust's production. Absent these interruptions, Parallel estimates its production for the third quarter would have been consistent with its second quarter production rate of 7,459 boe/day.
Parallel's current production volumes indicate that the Trust's annual corporate decline rate is lower than previously expected. The lower decline rate is mainly due to operational efficiencies and the positive impact of the Trust's workover program which aims to restore lost production by performing cleanouts on Parallel's existing wells.