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FOR: NUVISTA ENERGY LTD.

TSX SYMBOL: NVA - |  View Quote |  View Chart |  View Financials | 

NuVista Energy Ltd. Announces Results for the Period Ending September 30, 2003

Nov 19, 2003 - 19:05 ET

CALGARY, ALBERTA--NuVista Energy Ltd. ("NuVista") is pleased to 
provide the initial announcement today of its financial and 
operating results for the period ended September 30, 2003 as 
follows: 


/T/

-----------------------------------------------------------------------
Corporate Highlights
-----------------------------------------------------------------------
                                                           Period ended
                                                           September 30,
                                                                2003 (1)
-----------------------------------------------------------------------

Financial
($ thousands, except per share amounts)

Production revenue                                               12,399
Cash flow from operations                                         7,554
 Per share - basic                                                 0.21
 Per share - diluted                                               0.20
Net income                                                        2,768
 Per share - basic                                                 0.08
 Per share - diluted                                               0.07
Total assets                                                     78,935
Bank loan, net of working capital                                 7,586
Shareholders' equity                                             67,748
Net capital expenditures                                          7,523
Weighted average common shares outstanding 
 (thousands)
 Basic                                                           35,382
 Diluted                                                         37,846
-----------------------------------------------------------------------

Operating
(boe conversion - 6:1 basis)

Production:
 Natural gas (mmcf/day)                                           17.8
 Crude oil (bbls/day)                                              983
  Total oil equivalent (boe/day)                                 3,949
Product prices:
 Natural gas ($/mcf)                                              6.02
 Crude oil ($/bbl)                                               29.70
Operating expenses:
 Natural gas ($/mcf)                                              0.56
 Crude oil ($/bbl)                                                4.26
  Total oil equivalent ($/boe)                                    3.58

General and administrative expenses ($/boe)                       0.35
Cash costs ($/boe)                                                4.77
Cash flow netback ($/boe)                                        21.02
-----------------------------------------------------------------------

(1) Period is from July 2, 2003 to September 30, 2003

/T/

MESSAGE TO SHAREHOLDERS 

NuVista Energy Ltd. ("NuVista") is pleased to submit its initial 
report to shareholders and its financial and operating results 
for the period from July 2, 2003 to September 30, 2003. NuVista 
was formed as part of the Plan of Arrangement involving Bonavista 
Petroleum Ltd. ("Bonavista"). As part of the reorganization, 
Bonavista Energy Trust (the "Trust") retained approximately 90% 
of the oil and natural gas properties, with the remainder 
transferred to NuVista. The significant highlights from July 2 to 
November 19 include: 

- Increased production by 17% from the 3,500 boe per day 
consisting of 15 mmcf per day of natural gas and 1,000 bbls per 
day of crude oil on July 2 to the present level of 4,100 boe per 
day consisting of 18.7 mmcf per day of natural gas and 975 bbls 
per day of crude oil, maintaining focus on natural gas; 

- Increased undeveloped land to over 200,000 net acres in 
NuVista's Eastern Alberta Core Region from the 172,000 net acres 
on commencement of operations, further enhancing the drilling 
prospect inventory in this Core Region; 

- Participated in 29 (18.4 net) wells with an overall success 
rate of 84%; 

- Shot 10 miles of 2D and 28 square miles of 3D seismic to 
further enhance the prospectivity of NuVista's undeveloped land; 

- On completion of the Plan of Arrangement, NuVista commenced 
operations seamlessly and through the Technical Services 
Agreement with the Trust was able to average general and 
administrative costs of $0.35 per boe and overall cash costs 
(operating, general and administrative, interest expenses and 
capital taxes) of $4.77 per boe for the period, ranking in the 
top decile of its industry peers; and 

- Completed the issue of 2.5 million shares for gross proceeds of 
$18.4 million, providing NuVista significant flexibility to 
finance current and future capital programs. 

MANAGEMENT'S DISCUSSION AND ANALYSIS 

Management's discussion and analysis ("MD&A") of financial 
conditions and results of operations should be read in 
conjunction with the unaudited financial statements for the 
period from July 2, 2003 to September 30, 2003. Barrels of oil 
equivalent ("boe") have been calculated using a conversion rate 
of six thousand cubic feet of natural gas to one barrel of oil. 

Operating activities - NuVista's exploration and development 
program for the period ended September 30, 2003 led to the 
drilling of 19 (12.0 net) wells in its Eastern core region, with 
an overall success rate of 75%. This program resulted in 8.0 net 
natural gas wells, 1.0 net oil wells and 3.0 net dry holes. 
NuVista operated 12 of the 19 wells, with an average working 
interest of 91% in the operated wells. During the period, NuVista 
also participated in seven non-operated wells with an average 
working interest of 14.6% in these non-operated wells. NuVista 
continues to actively drill, with 19 operated and two 
non-operated wells, planned in the fourth quarter. 

Production - NuVista's production results for the period ended 
September 30, 2003 benefited from early success in NuVista's 
Eastern Core Region natural gas drilling program. Although 
natural gas volumes are ahead of forecast, crude oil volumes have 
remained flat due to the delay in the drilling program at Amisk, 
until the fourth quarter. NuVista has recently drilled two 
horizontal and two vertical wells at Amisk with an additional 
horizontal well and two vertical wells being drilled prior to 
year-end. All of these wells will be on-stream by year-end. 

NuVista's average production of 3,949 boe per day for the period 
represents an increase of 13% since July 2, 2003 when it 
commenced operations. At September 30, 2003, production in the 
Eastern Core Region has increased to 18.2 mmcf per day of natural 
gas and 970 bbls per day of crude oil as a result of a very 
successful drilling program. 

Revenues - Revenues for the period from July 2, 2003 to September 
30, 2003 were $12.4 million, comprised of $9.7 million of natural 
gas revenues and $2.7 million of crude oil revenues. The average 
natural gas price for the period was $6.02 per mcf and $29.70 per 
bbl for crude oil. 

Royalties - Royalties for the reporting period were $3.1 million, 
an average rate of 25.4%. Natural gas royalties were $2.7 
million, an average rate of 28% and crude oil royalties were 
$405,000 for an average rate of 15%. 

Operating expenses - Operating expenses for the period ended 
September 30, 2003 were $1.3 million. Natural gas operating 
expenses average $0.56 per mcf and crude oil expenses were $4.26 
per bbl. On a boe basis, operating costs were $3.58 leaving 
NuVista in the top decile for oil and natural gas companies in 
its peer group. 

General and administrative - General and administrative expenses, 
net of overhead recoveries were $127,000 or $0.35 per boe for the 
period from July 2, 2003 to September 30, 2003. Included in these 
expenses is an allocation of $175,000 from Bonavista, pursuant to 
the technical services agreement entered into as part of the Plan 
of Arrangement. The technical services agreement allowed NuVista 
to initiate and continue with successful and active programs, 
through the use of Bonavista's personnel in managing its 
operations and at the same time take advantage of Bonavista's low 
overhead cost structure. In addition, NuVista recorded a stock 
based non-cash compensation charge of $52,000 in connection with 
the issue of the Class B Performance shares. 

Interest expenses - Interest expenses for the reporting period 
were $244,000 or $0.68 per boe. Currently, NuVista's average 
borrowing rate is approximately 4%. 

Depreciation, depletion and site restoration expenses - 
Depreciation, depletion and site restoration expenses were $3.2 
million for the period. The average unit cost was $8.92 per boe 
and is based on the allocation of Bonavista's net book value to 
NuVista, in accordance with the Plan of Arrangement. 

Income and other taxes - The provision for income and other taxes 
was $1.6 million. Included in income taxes for the period is a 
provision of $58,000 for the Large Corporations Tax. 

Capital expenditures - Capital expenditures were $7.5 million 
during the period and consisted of only exploration and 
development spending. These expenditures were considerably lower 
than the planned amount of approximately $13 million for the 
quarter because of the consolidation of the Amisk area drilling 
program into November and December 2003. This however did not 
prevent NuVista from achieving its production and cash flow 
targets for the current reporting period. 

Cash flow and net income - For the period from July 2, 2003 to 
September 30, 2003, NuVista's cash flow was $7.6 million or $0.21 
per share. Net income during the period was $2.8 million or $0.08 
per share. This results in a strong net income to cash flow ratio 
of almost 37% for the reporting period. 

Liquidity and capital resources - As at September 30, 2003, total 
bank debt (net of working capital) was $7.5 million, resulting in 
a debt to cash flow ratio of approximately 0.3 to 1. This results 
in NuVista having approximately $24.5 million of unused bank 
borrowing capability and combined with the equity issue completed 
in the quarter, NuVista has significant financial flexibility to 
carry out the capital programs for the fourth quarter of 2003 and 
fiscal 2004. 

BUSINESS RISKS AND OUTLOOK 

Six years ago, the management team of Bonavista embarked on a 
program of growing a solid, profitable oil and natural gas 
company by implementing a disciplined and managed approach to its 
drilling and acquisition programs. NuVista's management remains 
committed to the continuous application of this disciplined 
growth strategy. 

Over the remainder of 2003, NuVista plans to drill an additional 
11 wells with an average working interest of almost 90%, 
resulting in approximately 28 net wells for the second half of 
2003. Our undeveloped land base has grown to over 200,000 net 
acres as a result of land purchases at crown land sales and 
farm-in opportunities. Our increased drilling inventory coupled 
with our strong balance sheet position NuVista to continue 
posting strong operational and financial results for the 
remainder of 2003 and beyond. 

The Board of Directors of NuVista has approved a base capital 
budget of $70 million for 2004, which will result in the drilling 
of 70 to 80 wells. NuVista will continue to focus on its core 
strategy of applying technical expertise to its operating regions 
in a prudent and disciplined manner, through both the drill bit 
and strategic acquisitions. The execution of these strategies 
will enable NuVista to continue to grow its production, cash flow 
and net income consistently and profitability. With current 
production levels at 4,100 boe per day and continued expectations 
of exploration, development and acquisition success, NuVista is 
in an excellent position to exit 2003 at 4,400 boe per day and 
average between 5,400 and 5,800 boe per day in 2004. 

Furthermore, our solid financial position with a 0.3:1 debt to 
cash flow ratio will enable us to execute our 2004 capital 
program and will remain positioned to pursue additional strategic 
opportunities as they arise. Regardless of price volatility, 
NuVista has positioned itself to deliver profitable growth now 
and into the future. We remain unwavering in our commitment to 
enhance shareholder value by utilizing the broad depth and 
expertise of our dedicated team in a diligent and cost-effective 
manner. 


/T/

Balance Sheet
(thousands)                                                September 30,
                                                                   2003
-----------------------------------------------------------------------
-----------------------------------------------------------------------
                                                             (unaudited)
Assets
Accounts receivable                                           $   2,488
Oil and natural gas properties and equipment                     66,273
Future tax asset                                                 10,174
-----------------------------------------------------------------------
                                                              $  78,935
-----------------------------------------------------------------------
-----------------------------------------------------------------------

Liabilities and Shareholders' Equity
Accounts payable and accrued liabilities                      $   6,087
Bank loan                                                         3,987
-----------------------------------------------------------------------

Total current liabilities                                        10,074

Site restoration provision                                        1,113

Shareholders' equity:
 Share capital                                                   64,980
 Retained earnings                                                2,768
-----------------------------------------------------------------------

                                                                 67,748
-----------------------------------------------------------------------

                                                              $  78,935
-----------------------------------------------------------------------
-----------------------------------------------------------------------

Statements of Operations and Retained Earnings
(thousands, except per share amounts)                      Period ended
                                                           September 30,
                                                                2003 (1)
-----------------------------------------------------------------------
-----------------------------------------------------------------------
                                                             (unaudited)
Revenues:
 Production                                                    $ 12,399
 Royalties, net of Alberta Royalty Tax Credit                    (3,129)
-----------------------------------------------------------------------
                                                                  9,270
-----------------------------------------------------------------------

Expenses:
 Operating                                                        1,287
 General and administrative                                         127
 Financing charges                                                  244
 Stock based compensation expense                                    52
 Depreciation, depletion and site restoration                     3,206
-----------------------------------------------------------------------

                                                                  4,916
-----------------------------------------------------------------------
Income before income and other taxes                              4,354
 Income and other taxes                                           1,586
-----------------------------------------------------------------------

Net income                                                        2,768
Retained earnings, beginning of period                                -
-----------------------------------------------------------------------

Retained earnings, end of period                               $  2,768
-----------------------------------------------------------------------
-----------------------------------------------------------------------

Net income per share - basic                                   $   0.08
-----------------------------------------------------------------------
-----------------------------------------------------------------------

Net income per share - diluted                                 $   0.07
-----------------------------------------------------------------------
-----------------------------------------------------------------------

(1) Period from July 2, 2003 to September 30, 2003


Statement of Cash Flows
(thousands)                                                Period ended
                                                           September 30,
                                                                 2003(1)
-----------------------------------------------------------------------
-----------------------------------------------------------------------
(unaudited)
Cash provided by (used in):

Operating Activities:
 Net income                                                     $ 2,768
 Items not requiring cash from operations:
  Depreciation, depletion and site restoration                    3,206
  Stock based compensation expense                                   52
  Future income taxes                                             1,528
-----------------------------------------------------------------------

 Cash flow from operations                                        7,554
 Decrease in non-cash working capital items                       3,547
-----------------------------------------------------------------------

                                                                 11,101
-----------------------------------------------------------------------

Financing Activities:
 Issuance of share capital, net of share issue costs             17,526
 Decrease in bank loan                                          (21,103)
-----------------------------------------------------------------------

                                                                 (3,577)
-----------------------------------------------------------------------

Investing Activities:
 Oil and natural gas properties and equipment additions          (7,523)
 Site restoration expenditures                                       (1)
-----------------------------------------------------------------------

                                                                 (7,524)
-----------------------------------------------------------------------

Decrease in cash                                                      -
Cash, beginning of period                                             -
-----------------------------------------------------------------------

Cash, end of period                                             $     -
-----------------------------------------------------------------------
-----------------------------------------------------------------------

(1) Period from July 2, 2003 to September 30, 2003.


NOTES TO INTERIM FINANCIAL STATEMENTS
(unaudited)
Period from July 2, 2003 to September 30, 2003.

/T/



1. Significant accounting policies: 

As the determination of many assets, liabilities, revenues and 
expenses is dependent upon future events, the preparation of 
these financial statements requires the use of estimates and 
assumptions, which have been made using careful judgement. In the 
opinion of management, these financial statements have been 
properly prepared within reasonable limits of materiality and 
within the framework of the significant accounting policies 
summarized below. 

NuVista Energy Ltd., ("NuVista") was established with an 
effective date of July 2, 2003 under a Plan of Arrangement 
entered into by Bonavista Energy Trust (the "Trust"), Bonavista 
Petroleum Ltd. ("Bonavista") and NuVista. Under the Plan of 
Arrangement various assets of Bonavista, comprising certain 
producing and exploration assets were transferred to NuVista. As 
NuVista is a new entity, these financial statements reflect the 
results of operations for the period from July 2, 2003 to 
September 30, 2003. 

(a) Oil and natural gas operations: 

NuVista follows the full cost method of accounting, whereby all 
costs associated with the exploration for and development of oil 
and natural gas reserves are capitalized in cost centres on a 
country-by-country basis. Such costs include land acquisitions, 
drilling, well equipment and geological and geophysical 
activities. General and administrative costs are not capitalized. 
Gains or losses are not recognized upon disposition of oil and 
natural gas properties unless crediting the proceeds against 
accumulated costs would result in a change in the rate of 
depletion of 20 percent or more. 

Costs capitalized in the cost centres, including well equipment, 
together with estimated future capital costs associated with 
proven reserves, are depreciated and depleted using the 
unit-of-production method which is based on gross production and 
estimated proven oil and natural gas reserves as determined by 
independent engineers. The cost of significant unproven 
properties is excluded from the depreciation and depletion base. 
For purposes of the depreciation and depletion calculations, oil 
and natural gas reserves are converted to a common unit of 
measure on the basis of their relative energy content. Facilities 
are depreciated using the declining balance method over their 
useful lives, which range from 12 to 15 years. 

The provision for future site restoration costs are calculated 
using the unit-of-production method and is included within the 
provision for depreciation, depletion and site restoration. Costs 
are estimated each year by management based upon current 
regulations, costs, technology and industry standards. Actual 
costs as incurred are charged against the accumulated liability. 

In applying the full cost method, NuVista calculates a ceiling 
test which restricts the capitalized costs less accumulated 
depreciation and depletion from exceeding an amount equal to the 
estimated undiscounted value of future net revenues from proven 
oil and natural gas reserves, based on year end prices and costs, 
plus the cost, net of impairments, of unproved properties and 
after deducting estimated future site restoration costs, general 
and administrative expenses, financing costs and income taxes. 

(b) Joint venture accounting: 

A portion of NuVista's oil and natural gas operations is 
conducted jointly with others. Accordingly, the financial 
statements reflect only NuVista's proportionate interest in such 
activities. 

(c) Financial instruments: 

From time to time, NuVista may use swap agreements or other 
financial instruments to hedge its exposure to fluctuations in 
oil and natural gas prices. Gains and losses arising from these 
swap arrangements are reported as adjustments to the related 
revenue account over the term of the financial instrument. 
Financial instruments are not used for speculative purposes. The 
carrying values of NuVista's monetary assets and liabilities 
approximate their fair values. 

(d) Income taxes: 

NuVista follows the liability method of accounting for future 
income taxes. 



(e) Per share amounts: 

Diluted per share amounts reflect the potential dilution that 
could occur if securities or other contracts to issue common 
shares were exercised or converted to common shares. The treasury 
stock method is used to determine the dilutive effect of stock 
options and other dilutive instruments. 

2. Transfer of assets and commencement of operations: 

Under the Plan of Arrangement, Bonavista transferred to NuVista 
certain assets, being certain producing and exploratory oil and 
natural gas properties in Bonavista's Eastern Core Region, and an 
allocation of bank loan. As this was a related party transaction, 
assets and liabilities were transferred at book value. Details 
are as follows: 


/T/

-----------------------------------------------------------------------
                                                                 Amount
-----------------------------------------------------------------------
(thousands)
Oil and natural gas assets and equipment                       $ 61,825
Future income tax asset                                          11,408
-----------------------------------------------------------------------
Total assets transferred                                         73,233
Bank loan                                                       (29,103)
Provision for site restoration and abandonment                     (983)
-----------------------------------------------------------------------
Net assets received and common shares issued                   $ 43,147
-----------------------------------------------------------------------
-----------------------------------------------------------------------

/T/

The above amounts are estimates, which were made by management at 
the time of the Plan of Arrangement based on information 
available at the time. Amendments may be made to these amounts as 
values subject to estimates are finalized. Under the Plan of 
Arrangement, NuVista entered into a Technical Services Agreement 
with the Trust. Under this agreement, the Trust receives payment 
for certain technical and administrative services provided to 
NuVista on a cost recovery basis. 

3. Oil and natural gas properties and equipment: 


/T/

-----------------------------------------------------------------------
                                               Accumulated
                                          depreciation and     Net book 
September 30, 2003                 Cost          depletion        value
-----------------------------------------------------------------------
(thousands)                                                   

Oil and natural gas
 properties                    $ 52,937            $ 2,823     $ 50,114

Facilities and well
 equipment                       16,411                252       16,159
-----------------------------------------------------------------------
                               $ 69,348            $ 3,075     $ 66,273
-----------------------------------------------------------------------
-----------------------------------------------------------------------

/T/

Unproved property costs of $9,837,000 as at September 30, 2003 
were excluded from the depreciation and depletion calculation. 
During the period ended September 30, 2003, NuVista recorded a 
provision of $131,000 for site restoration in the financial 
statements. 

4. Bank loan: 

NuVista has a $32 million revolving production loan facility with 
a syndicate of Canadian chartered banks, which provides that 
borrowings may be made by way of prime loans, bankers' 
acceptances and/or US dollar LIBOR advances. These advances bear 
interest at the banks' prime rate and/or at money market rates 
plus a stamping fee. The bank loan facility is secured by a first 
floating charge debenture, general assignment of book debts and 
NuVista's oil and natural gas properties and equipment. The 
facility is subject to an annual review by the lenders. 

5.    Share capital: 

(a) Authorized: 

Unlimited number of voting Common Shares, Preferred Shares and 
1,200,000 Class B Performance Shares. 

(b) Issued: 

(i) Common Shares 


/T/

-----------------------------------------------------------------------   
                                                    Number       Amount
-----------------------------------------------------------------------
(thousands)   

Outstanding as at July 2, 2003                       2,000     $  4,000
 Issued pursuant to the Plan of Arrangement         32,839       43,147
 Issued for cash                                     2,500       18,375
 Costs associated with shares issued, net of
  future tax benefit                                     -         (554)
-----------------------------------------------------------------------

Outstanding as at September 30, 2003                37,339     $ 64,968
-----------------------------------------------------------------------
-----------------------------------------------------------------------

/T/

(ii) Class B Performance Shares 

Each Class B Performance Share was sold for a price of $0.01 per 
share and is convertible into the fraction of a Common Share 
equal to the closing trading price of the Common Shares on the 
Toronto Stock Exchange on the day prior to such conversion less 
$2.00, if positive, divided by the Common Share closing price. 
The Class B Performance Shares will automatically convert into 
Common Shares as to 25% of the Class B Performance Shares 
outstanding on a pro-rata basis from holders on each of July 1, 
2004, 2005, 2006 and 2007. If the NuVista Closing Price less 
$2.00 is not positive on any conversion date, NuVista will, 
subject to applicable law, redeem the Class B Performance Shares 
that would have otherwise been converted at the redemption price 
of $0.01 per share. The fair value of each Class B Performance 
Share was determined, at date of issuance, using the 
Black-Scholes model with the variables described in Note 5(e). 
This amount is amortized over the life of the Class B Performance 
Share and included in stock based compensation expense. 


/T/

-----------------------------------------------------------------------
                                                       Number    Amount
-----------------------------------------------------------------------
(thousands)

Outstanding as at July 2, 2003                          1,200       $12
 Redeemed                                                  (4)        -
-----------------------------------------------------------------------
Outstanding as at September 30, 2003                    1,196       $12
-----------------------------------------------------------------------
-----------------------------------------------------------------------

/T/

(c)    Per share amounts: 

During the period from July 2, 2003 to September 30, 2003, there 
were 35,382,395 weighted average shares outstanding. On a diluted 
basis, there were 37,846,319 weighted average shares outstanding 
after giving effect for dilutive stock options. 

(d) Stock Options: 

NuVista has established a stock option plan whereby officers, 
directors, employees and service providers may be granted options 
to purchase Common Shares. Options granted vest at the rate of 25 
percent per year and expire two years after the date of vesting 
to a maximum term of six years. The total stock options 
outstanding plus the Class B Performance Shares cannot exceed 10% 
of the outstanding Common Shares. 

Stock option summary of transactions for the period from July 2, 
2003 to September 30, 2003 are as follows: 


/T/

-----------------------------------------------------------------------
                                                       Weighted average
                                           Number        exercise price
-----------------------------------------------------------------------

Outstanding as at July 2, 2003   
 Granted                                1,354,000                $ 6.34
 Exercised                                      -                     -
 Cancelled                                 (4,500)                 6.30
-------------------------------------------------

Outstanding, September 30, 2003         1,349,500                $ 6.34
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Exercisable, September 30, 2003                 -                     -
-----------------------------------------------------------------------
-----------------------------------------------------------------------
 
/T/

(e) Stock-based compensation: 

NuVista uses the intrinsic value method to account for 
stock-based compensation costs. Under this method, no 
compensation costs are recorded in the financial statements for 
stock options granted. If the fair value based method had been 
used, the stock-based compensation costs, pro forma net income 
and pro forma net income per share would be as follows: 


/T/

-----------------------------------------------------------------------
Period from July 2, 2003 to September 30, 2003                   Amount
-----------------------------------------------------------------------
($ thousands, except per share amounts)

Net income
  As reported                                                     2,768
  Pro forma                                                       2,607
Net income per common share
 Basic
  As reported                                                      0.08
  Pro forma                                                        0.07
 Diluted
  As reported                                                      0.07
  Pro forma                                                        0.07
-----------------------------------------------------------------------
-----------------------------------------------------------------------

/T/

The pro forma amounts include the compensation costs associated 
with stock options granted subsequent to July 2, 2003. The fair 
value of each option granted was estimated on the date of grant 
using the Modified Black-Scholes option pricing model. In the 
pricing model the fair value of stock options granted was $2.41 
per share; risk free interest rate was 3.5%; volatility of 40%; 
and an expected life of 4.5 years. 

6. Income taxes: 

The provision for income tax differs from the result of which 
would have been obtained by applying the combined Federal and 
Provincial income tax rate to the income before taxes. This 
difference results from the following items: 


/T/

-----------------------------------------------------------------------
Period from July 2, 2003 to September 30, 2003                   Amount
-----------------------------------------------------------------------
(thousands)
Expected tax expense at 34.6%                                   $ 1,506

Other                                                                22
Capital taxes                                                        58
-----------------------------------------------------------------------
Provision for income taxes                                      $ 1,586
-----------------------------------------------------------------------
-----------------------------------------------------------------------
The provision for income taxes consists of:
 Current                                                        $    58
 Future                                                           1,528
-----------------------------------------------------------------------
 Provision for income taxes                                     $ 1,586
-----------------------------------------------------------------------
-----------------------------------------------------------------------

The significant components of future tax assets as at September 30,
2003 are:

-----------------------------------------------------------------------
                                                                 Amount
-----------------------------------------------------------------------
(thousands)

Oil and natural gas properties                                 $  9,495
Facilities and well equipment                                       386
Share issue costs                                                   293
-----------------------------------------------------------------------
Future tax asset                                               $ 10,174
-----------------------------------------------------------------------
-----------------------------------------------------------------------

/T/

INVESTOR INFORMATION 

NuVista is an independent Canadian oil and natural gas 
exploration, development and production company with its common 
shares trading on the Toronto Stock Exchange under the symbol 
"NVA". 

Corporate information provided herein contains forward-looking 
information. The reader is cautioned that assumptions used in the 
preparation of such information, which are considered reasonable 
by NuVista at the time of preparation, may be proven to be 
incorrect. Actual results achieved during the forecast period 
will vary from the information provided herein and the variations 
may be material. There is no representation by NuVista that 
actual results achieved during the forecast period will be the 
same in whole or in part as those forecast. 

-30-


FOR FURTHER INFORMATION PLEASE CONTACT:

NuVista Energy Ltd.
Keith A. MacPhail
Chairman
(403) 213-4315

or

NuVista Energy Ltd.
Alex G. Verge
President and Chief Executive Officer
(403) 213-4306

or

NuVista Energy Ltd.
Glenn A. Hamilton
Vice President and Chief Financial Officer
(403) 213-4302