- Qualified dividend income.
- Subjected to a non-resident withholding tax of 15%.
The fund has 154 Million Barrels Of Oil Equivalents (boe) in Proved and Probable reserves with a reserve life span of 11.8 years. The natural gas weighting of the fund based on reserves is at 58% and by production that number is 65%. The higher weighting in gas classifies the fund as gassy as the prospects are tied more to natural gas prices than to oil prices. As of the 3rd quarter of 2007, daily production stands at 29,236 boe/day. 2008 production is expected to reach between 32000 and 34000 boe/day as volumes from the July 2007 Sound Trust Acquisition get factored in.
Advantage's production and reserves are concentrated within three areas located in Alberta, northeast British Columbia, and southeast Saskatchewan. Advantage operates approximately 85% of its production base. Below is their properties map and details of their key drilling activity:
|Martin Creek||2755 boe per day||Liquid Rich Natural Gas||W.I. 75%, 100% operated||10.2 years||less than $15000 per boe per day||4-year drilling inventory|
|Sunset||743 boe per day||Light Oil||W.I. 75% 100% operated||17.6 years||$14000 per boe per day||3-4 year inventory possible|
|Westerose||681 boe per day||Oil||W.I. 52%, 100% operated||17.5 years||$19000 per boe per day||23 future drilling locations|
|Nevis||2450 boe per day||Light Oil||W.I. 93% 100% operated||11.8 years||$21000 per boe per day||3-4 year drilling inventory|
1. Advantage Energy Income Fund (AAV) Analysis - Part 1 - Introduction.
2. Advantage Energy Income Fund (AAV) Analysis - Part 2- Business Issues.
3. Advantage Energy Income Fund (AAV) Analysis - Part 3 - Outlook.