Arakis reports results and reviews quarter ended September 30, 1994.VANCOUVER, British Columbia--(BUSINESS WIRE)--Nov. 22, 1994-- ARAKIS ENERGY CORPORATION (VSE See DOS/VSE. VSE - Virtual Storage Extended : AKS, NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : AKSEF) reports a net loss for the quarter ended September 30, 1994 of $937,354, or $0.050 per share, on revenues of $793,432. (All figures in Canadian dollars). This compares to a net profit of $179,138, or $0.019 per share during the three months ended September 30, 1993, on revenues of $776,828. The net loss for the nine months ended September 30, 1994, was $2,118,605, or $0.135 per share, on revenues of $2,587,427, as compared to a loss of $611,712, or $0.076 per share, on revenues of $1,887,874 for the year earlier period. The results reflect the Company's on-going development of its Sudan oil concessions, its continued evaluation of the potential reserves discovered on the Jebel Aswad Block 15 in the Sultanate of Oman, and costs associated with the project finance activities for the Sudan oilfield development and export pipeline projects. Also, due to the acquisition of 100% of State Petroleum Corp. and the associated on- going geological and engineering expenses, 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. have risen to $1,211,264 during the third quarter as compared to $163,214 during the third quarter of 1993. Capital expenditures during the quarter totalled approximately $3.9 million. At September 30, 1994, the Company had working capital of $7,268,730, as compared to $2,824,653 as at September 30, 1993; the Company has no net debt. Shareholder's equity increased to $48,648,578 as at September 30, 1994, as compared to $18,034,233 as at September 30, 1993. Shares issued and outstanding at September 30, 1994 were 19,647,108. Gas production, net to the Company, was 200 MMCF MMCF Million Cubic Feet MMCF Multimedia Communications Forum MMCF Mint Mocha Chip Frappuccino MMCF Multi Media Communication Forum for the three months ended September 30, 1994, down from 213 MMCF for the equivalent three month period a year earlier, due to shut-ins reflecting lower gas prices. As a consequence, gas revenues decreased to $488,599 for the quarter. During the latest quarter, within the Company's acreage position in the Appalachian Basin of the U.S., the Company drilled 3 wells and deepened two others; all were successful. Furthermore, the Company laid approximately 12 miles of gathering systems, and made numerous pipeline improvements and repairs. In addition, a number of strategic acquisitions were completed, including the remaining 50% working interest in the Sugar Creek Sugar Creek may refer to: Cities and towns:
Cabot Oil & Gas Corporation produced 2. & Gas Corporation, including their interests in 25 wells located in the Company's Canada Town field. Also, the acquisition of Southern Gas Company's interests in the Company's Canada Town, Prewitt Bend and Wofford gas wells and pipelines was completed. Internationally, Arakis' technical staff continued their evaluation of the Jebel Aswad No.1 well drilled earlier this year on the Company's concession in the Sultanate of Oman; a discovery of significant quantities of hydrocarbons was made, however, due to a lack of permeability, economic flows were not attained. Arakis management is currently considering reentering re·en·ter also re-en·ter v. re·en·tered, re·en·ter·ing, re·en·ters v.tr. 1. To enter or come in to again. 2. To record again on a list or ledger. v.intr. the well; the Company holds a 71.4% working interest in Block 15. At Arakis' Sudan oil development project, no field work was carried out during the quarter due to the rainy season, however, a detailed analysis was completed of oil samples taken from 5 wells in the Heglig and Unity fields which were flow tested during April and May of this year. These samples represented about 60% of the proved reserves proved reserves The quantity of minerals expected to be recoverable under current economic and operating conditions. The amount of proved reserves is important in valuing the stock of a company with significant holdings in natural resources. in this area. The analysis of the samples was carried out by Arakis technical personnel, and verified and confirmed independently by Core Laboratories in Calgary, Alberta. As reported by the previous operator, the oil was found to contain negligible metals and sulphur, and the gravity ranged from 29.6 degrees to 43.4 degrees API. Some of the oil samples tested indicated a paraffinic content, consistent with crude oils produced in many parts of the world, for instance Libya and Indonesia. A combination of a low sulphur and a paraffinic content makes this oil very desirable as a feedstock for the manufacture of lubricating oils. Furthermore, the oil will not be difficult to transport by pipeline, since by blending the various oils containing the small amounts of associated dissolved gas in the Company's Heglig and Unity fields, a pour point pour point n. The lowest temperature at which an oil or other liquid will pour under given conditions. would be achieved which is at least 20 degrees F lower than the lowest temperature expected along the proposed export pipeline route. The retention of the gas and light components in the oil depresses the oil pour point to the extent that there is no need for diluent diluent /dil·u·ent/ (dil´oo-int) 1. causing dilution. 2. an agent that dilutes or renders less potent or irritant. dil·u·ent adj. Serving to dilute. n. ; the previous operator had failed to do this in their sampling and testing of the oil, and had instead allowed the oil to "weather" substantially prior to testing. The Company is awaiting the end Awaiting the End is a 7" EP of some of the earlier work of the Swedish death metal band Dispatched. It was released in 1995. Track listing
v. i. 1. To commence or begin again. 2. To begin anew to be; to act again as. He seems desirous enough of recommencing courtier. - Johnson. v. t. 1. To commence again or anew. the well testing and field development in the next few weeks. This is all part of the Phase 1 development which has a production target of 65,000 bopd, to be transported through a proposed 1540 km, 20" export pipeline; Arakis management is in the process of arranging the necessary project financing Project financing A form of asset-based financing in which a firm finances a discrete set of assets on a stand-alone basis. to complete the field development and export pipeline construction. Subsequent to the end of the quarter, Arakis and its partners received approval from the Government of Papua New Guinea Papua New Guinea (păp`  ə, –y on the
proposed petroleum prospecting license ("PPL PPL - Polymorphic Programming Language. An interactive, extensible language, based on APL, from Harvard University.["Some Features of PPL - A Polymorphic Programming Language", T.A. Standish, SIGPLAN Notices 4(8) (Aug 1969)]. 174") covering the Kamusi Prospect in Papua New Guinea. It is expected that an exploratory well to test the Kamusi Prospect will be initiated in early 1995. Arakis has a 14.6% working interest in the proposed PPL 174.
FINANCIAL HIGHLIGHTS
Third Quarter, 1994
(Cdn. dollars)
THREE MONTHS ENDED
SEPTEMBER 30
1994 (a) 1993
Total Revenues $ 488,599 $ 634,141
Cost of Gas Sales 214,649 303,655
General & Administrative 1,211,264 163,214
Depreciation & Depletion 267,127 112,197
Interest Expense 37,745 18,624
Net Income (loss) (937,354) 179,138
Earnings (loss) per Share ($0.050) $0.019
Shareholder's Equity $ 48,648,578 $ 18,034,233
Weighted Average
Shares Outstanding (a) 18,901,276 9,225,051
NINE MONTHS ENDED
SEPTEMBER 30
1994 (a) 1993
Total Revenues $ 2,587,427 $ 1,887,874
Cost of Gas Sales 1,128,602 744,985
General & Administrative 2,858,939 1,126,455
Depreciation & Depletion 637,263 396,225
Interest Expense 81,227 68,163
Net Income (loss) (2,118,605) (611,712)
Earnings (loss) per Share ($0.135) ($0.076)
Shareholder's Equity $ 48,648,578 $ 18,034,233
Weighted Average
Shares Outstanding 15,726,894 8,077,091
(a) 1994 figures include the acquisition of 100% of State Petroleum Corp. CONTACT: ARAKIS ENERGY CORP., Vancouver David Harrison David Harrison may refer to:
KEYWORDS: REPEATS: New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of 212-575-8822 or 800-221-2462; Boston 617-330-5311 or 80 |
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