Obsidian Energy company which was earlier on called Pen West Energy trust, Pen West Exploration company and Pen West Petroleum is a medium organization. It is located in Calgary, Alberta. It manufactures oil and natural gas. Obsidian energy is one of the sixty companies in the stock market index known as S&P/TSX 60. The Company was a Canadian Royalty Trust from the year 2005 to 2011.It made it to the peak in the year 2008 with approximate 9.5 billion dollars.
Obsidian energy encountered financial and operational challenges in the year 2004 when the oil prices went down. Due to this the organization went through a vital modification whereby many assets were sold for the two years that followed. This was done so that they could reduce the debt.
The company gas and oil zones are situated at Alberta which is along western Canadian Sedimentary basin. This place is one of the nationwide biggest petroleum resources. Alberta Viking, Peace River oil and Pembina Cardium are one of the important areas where production is done.
The company was named as Obsidian Energy in the year 2007.Ealier on it was being called Penn West Petroleum. It schedules to enable modern expansion in the next three years by putting in budgets which are fixedly tied to the cost of gas and oil. The chief executive officer of the company is called Dave French. He stated that the organization choose the Obsidian Energy because Obsidian is a naturally transpiring volcanic glass that can be modified.
Over the four previous years, the company has been having very high debts. An accounting incidence happened, and it led to class-action litigations by stakeholders. The debt was finally settled. The debts were settled by the company by allowing asset sales to minimize the net debt to 384 million dollars. This took place on March this year compared the year 2013 where the debt was almost 3 billion dollars. See This Page to Learn More.
The organization has cut down its workers count to three hundred from one thousand four hundred workers. It has also reduced manufacturing to about 28000 cylinders of oil per day from 135000 cylinders.
Read More: https://www.obsidianenergy.com/