Abraxas Petroleum Corporation Announces First Quarter Results Conference Call and $27 Million Profit for First Quarter, Including Gain On Sale of Wyoming Assets.Business Editors and Energy Writers SAN ANTONIO--(BUSINESS WIRE)--May 12, 2000
ABRAXAS PETROLEUM CORPORATION (OTCBB:AXAS)
500 North Loop 1604 East, Suite 100, San Antonio, TX 78232
210/490-4788 210/490-8816 Fax
TO: PRESS RELEASE RECIPIENTS
FROM: CHRIS WILLIFORD - CFO/EVP
DATE: MAY 12, 2000
SUBJ: FIRST QUARTER RESULTS CONFERENCE CALL -
Monday, May 15, 2000, 1:00 p.m. CDT
Our first quarter results conference call will be held Monday, May
15, 2000, at 1:00 p.m. CDT. The call will be led by Robert L. G.
Watson, President and CEO of Abraxas, who will discuss our first
quarter results as well as current drilling activity. A question and
answer session will follow Mr. Watson's presentation.
Please call the toll free number listed below five minutes before
the appointed time to participate in this conference call:
800/967-7184
Confirmation Code 338343
Thank you for your participation and for your interest in Abraxas.
RECALL PROGRAM
If you miss the conference call Monday, please use our Recall
Service. Details are:
Recall of the call is available beginning at 4:00 p.m. CDT on
Monday, May 15th.
Recall service ends 5:00 p.m. CDT on Friday, May 19th.
The recall number is 888/203-1112; confirmation code
is 338343.
If you have any questions regarding this service, please call
Chris Williford or Janice Herndon.
NEWS RELEASE Abraxas A`brax´as n. 1. A mystical word used as a charm and engraved on gems among the ancients; also, a gem stone thus engraved. Petroleum Corporation Announces $27 Million Profit for First Quarter, Including Gain On Sale of Wyoming Wyoming, city, United States Wyoming, city (1990 pop. 63,891), Kent co., W Mich., in the greater Grand Rapids metropolitan area, on the Grand River; settled 1832, inc. 1959. Assets Abraxas Petroleum Corporation (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :AXAS) today released financial results for the first quarter of 2000, which included net earnings of $27.1 million. Bob Watson
See also Opportunism. Barnum, P. T. (1810–1891) circus impressario famous for his saying, “Never give a sucker an even break.” [Am. Hist. strategy, sale of properties, continued efficient operations and improved product prices, the first quarter of 2000 was very successful. Improved liquidity has allowed us to level out production and as we continue our exploitation strategy, production growth will accelerate. Building on our horizontal drilling a drilling machine having a horizontal drill spindle. See also: Horizontal success in South Texas, this expertise is being extended to other core areas of operations. Additionally, it is very important to note that under the Company's Contingent Fortuitous; dependent upon the possible occurrence of a future event, the existence of which is not assured. The word contingent denotes that there is no present interest or right but only a conditional one which will become effective upon the happening of the Value Rights agreement, the increase in the trading value of the Company's shares has reduced the potential dilution potential dilution The decrease in the proportional equity position of a share of stock that will occur eventually if additional authorized shares are actually issued. to approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. 26 million shares, down from a maximum of 105 million shares previously. Further stock price improvement over the next year would reduce potential dilution further and perhaps eliminate it entirely." In the first quarter of 2000, earnings were $1.20 per share based on primary shares outstanding at quarter end versus a loss of $.99 per share for the first quarter of 1999 on fewer shares. Cash flow before changes in working capital for the first quarter was $36.1 million ($2.7 million recurring re·cur intr.v. re·curred, re·cur·ring, re·curs 1. To happen, come up, or show up again or repeatedly. 2. To return to one's attention or memory. 3. To return in thought or discourse. ), as compared to $1.2 million in the first quarter of 1999. EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become was $43.8 million ($10.4 million recurring) for the first quarter of 2000 as compared to $9.8 million in 1999. Included in the 2000 results is the previously announced sale of certain Wyoming assets which resulted in a non-recurring gain to the company of $33.4 million. Production for the first quarter of 2000 totaled 6.9 billion cubic feet of equivalents (BCFE BCFE Boundary Committee for England BCFE Ballyfermot College of Further Education (Dublin, Ireland) BCFE Board Certified Forensic Examiner Bcfe Billions of Cubic Feet Equivalent (Per Day; Gas Exploration) ), compared to 8.9 BCFE in 1999. The 1999 production included certain non-core areas that were sold during the last three-quarters Noun 1. three-quarters - three of four equal parts; "three-fourths of a pound" three-fourths common fraction, simple fraction - the quotient of two integers three-quarters npl → of 1999. Natural gas comprised 78% of the Company's production in the first quarter with 61% of the gas component coming from Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of . Despite the decline in production, oil and gas production sales increased 13%, from $13.8 million to $15.6 million, due to increased price realization (specification) realization - A UML semantic relationship between a classifier that specifies a contract and another classifier that guarantees to carry it out. [Handout by Mr. David Gillibrand]. of $2.25 per MCFE MCFE MATLAB Central File Exchange , compared to $1.55 in the first quarter of 1999, an increase of 45%. As a result of the Company's restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). late in 1999, interest costs declined to $7.7 million in 2000, compared to $8.5 million in the first quarter of 1999. Partially driven by gas plant turnaround Turnaround A situation where a company that has had poor performance for an extended period of time experiences a positive reversal. Notes: A speculator may profit from a turnaround if he or she accurately anticipates the improvement of a poorly performing company. costs incurred in the first quarter (historically summer projects but done in the first quarter to benefit from anticipated higher gas prices in the summer) lease operating costs operating costs npl → gastos mpl operacionales were $.67 per MCFE in 2000, compared to $.53 in 1999. General and Administrative costs administrative costs, n.pl the overhead expenses incurred in the operation of a dental benefits program, excluding costs of dental services provided. were $.21 per MCFE, compared to $.15 in 1999. LOE LOE Ley Orgánica de Educación (Spanish) LOE Level Of Effort LOE Limited Objective Experiment LOE Letter of Explanation LOE Language Other than English. and G&A per unit increases were partially a function of constant dollar costs spread over a smaller production base. Focused on exploitation, the Company had capital expenditures of $11.7 million in the first quarter, compared to $13.3 million in 1999, which was more heavily weighted on an exploration effort. Highlights of the drilling activity in the first quarter of 2000 included a horizontal horizontal /hor·i·zon·tal/ (hor?i-zon´t'l) 1. parallel to the plane of the horizon. 2. occupying or confined to a single level in a hierarchy. horizontal parallel to the plane of the horizon. gas well completion in a new area of the Edwards Trend in South Texas, two successful gas development wells in existing properties in Canada and three new gas wells on a new discovery area in Canada. Abraxas Petroleum Corporation is a San Antonio-based natural gas and crude oil exploration and production company that also processes natural gas. It operates in Texas, Kansas Kansas, state, United States Kansas (kăn`zəs), midwestern state occupying the center of the coterminous United States. It is bordered by Missouri (E), Oklahoma (S), Colorado (W), and Nebraska (N). , Wyoming and Western Canada
Western Canada, commonly referred to as the West .
ABRAXAS PETROLEUM CORPORATION
QUARTER END RESULTS
(UNAUDITED)
(In Thousands, Except Per Share and Production Data)
3 Months Ended
March 31
------------------------------
2000 1999
------------------------------
Revenues $ 16,717 $ 15,970
Cash Flow (Before working
capital changes) 36,170 1,152
Net Income (Loss) 27,156 (6,294)
Net Income (Loss) Per Share(a) 1.20 (.99)
Net Income (Loss) Per Share -
Assuming Dilution .52 (.99)
Weighted Avg. Shares Outstanding 22,627 6,334
Production:
Crude Oil (BPD) 1,851 2,500
NGL (BPD) 907 814
Natural Gas (MCFPD) 59,779 79,439
MMCFEPD 76.3 99.3
Prices:
Crude Oil ($/BBL) 15.73 12.14
NGL's ($/BBL) 21.51 7.53
Natural Gas ($/MCF) 2.06 1.48
Price per MCFE 2.25 1.55
Expenses:
Lease Operating ($/MCFE) .67 .53
Gen. & Adm. ($/MCFE) .21 .15
Interest ($/MCFE) 1.11 .97
D/D/A ($/MCFE) 1.29 1.02
(a) Based on current primary outstanding
Abraxas Petroleum Corporation and Subsidiaries
Consolidated Statements of Operations
(Unaudited)
Three Months Ended
March 31,
----------------------
2000 1999
----------------------
(In thousands except
per share data)
Revenue:
Oil & gas production sales $ 15,626 $ 13,838
Processing revenue 757 865
Rig revenues 131 90
Other 203 1,177
-------- --------
16,717 15,970
Operating costs and expenses:
Lease operating and
production taxes 4,629 4,758
Depreciation, depletion
and amortization 8,948 9,146
General and administrative 1,439 1,323
Rig operations 188 139
-------- --------
15,204 15,366
-------- --------
Operating Income 1,513 604
Other (income) expense
Interest income (60) (186)
Interest expense 7,773 8,683
Amortization of deferred
financing fees 507 345
Other (33,547) --
-------- --------
(25,327) 8,842
-------- --------
Income (loss) from
operations before taxes 26,840 (8,238)
Income tax expense (benefit)
Current 126 102
Deferred (453) (2,039)
Minority interest in (income)
loss of consolidated
foreign subsidiary (11) 7
-------- --------
Net income (loss) applicable
to common stock $ 27,156 $ (6,294)
======== ========
Earnings (loss) per share:
Net income (loss) per common share $ 1.20 $ (.99)
======== ========
Net income (loss) per common
share - assuming dilution $ .52 $ (.99)
======== ========
Safe Harbor for forward-looking statement: Statements in this release
looking forward in time involve known and unknown risks and
uncertainties, which may cause the Company's actual results in future
periods to be materially different from any future performance
suggested in this release. Such factors may include, but may not be
necessarily limited to, changes in the prices received by the Company
for crude oil and natural gas. In addition, the Company's future crude
oil and natural gas production is highly dependent upon the Company's
level of success in acquiring or finding additional reserves. Further,
the Company operates in an industry sector where securities values are
highly volatile and may be influenced by economic and other factors
beyond the Company's control. In the context of forward-looking
information provided for in this release, reference is made to the
discussion of risk factors detailed in the Company's filing with the
Securities and Exchange Commission during the past 12 months.
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion