Calima Energy Ltd (ASX:CE1) has appointed professional services firm Pricewaterhouse Coopers (PwC) as its new auditor.
The multinational company will provide statutory audit services to the oil and gas stock after a competitive tendering process and former auditor BDO Australia’s resignation.
This auditor changeover comes after Calima merged with private company Blackspur Oil Corp earlier this year, acquiring its producing oil and natural gas assets within Alberta, Canada.
Owing to its expanded operations, Calima appointed PwC to its accounts because of the firm’s ability to coordinate audits in Canada and Australia.
Calima's assets.
Blackspur merger
In late February, CE1 acquired Blackspur’s Alberta oil and gas assets in a C$17 million deal.
The energy stock maintained the acquisition would position its business as a high-margin oil & gas producer leveraged to West Texas Intermediate (WTI) pricing.
The company is aiming to produce more than 5,500 barrels of oil equivalent per day by December 2022.
Alongside the asset takeover, Calima retains exposure to rising natural gas prices via its strategic holdings in the Montney Formation.
At the time, Calima chairman Glenn Whiddon said: “The merger with Blackspur creates an emerging oil and gas producer with production and current operating cashflow of around C$1.8million/month in addition to a substantial reserve and resource base for future growth.
“At US$50 WTI the growth model is self-funding (including debt repayments) on the path to 5,500 barrels of oil equivalent/day and operating cashflow of around C$3.5 million/month.
“The Montney acreage offers material upside exposure to rising gas prices from the growth of the LNG industry in Canada and North American demand.
“We look forward to combining with the Blackspur team and growing the company for all shareholders going forward.”