Brigham Exploration Company Announces Second Quarter Results.AUSTIN Austin. 1 City (1990 pop. 21,907), seat of Mower co., SE Minn., on the Cedar River, near the Iowa line; inc. 1868. The commercial and industrial center of a rich farm region, it is noted as home to the Hormel meatpacking company, whose Spam Town museum , Texas--(BUSINESS WIRE)--Aug. 7, 1997--Brigham Exploration Company (Nasdaq:BEXP), which closed its IPO (Initial Public Offering) The first time a company offers shares of stock to the public. While not a computer term per se, many founders, employees and insiders of computer companies have found this acronym more exciting than any tech term they ever heard. in May 1997, today announced second quarter results. Natural gas and oil sales for the six months ended June June: see month. 30, 1997 were $3.9 million compared to $2.7 million for the same period last year, an increase of 41%. Natural gas and oil sales for the second quarter were $1.7 million, an increase of 29% over the same quarter of 1996. Operating cash flow Operating cash flow Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements. , prior to i) a one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. non-cash $5 million deferred tax charge in the first quarter of 1997, and ii) changes in working capital, increased from $1.1 million for the six months ended June 30, 1996 to $1.6 million for the six months ended June 30, 1997 and from $440,000 in the second quarter of 1996 to $676,000 for the second quarter of 1997. Earnings before interest, taxes, depreciation and amortization Earnings before interest, taxes, depreciation and amortization (EBITDA) is a non-GAAP metric that can be used to evaluate a company's profitability.
Net income prior to a one-time, non-cash $5 million deferred tax charge for the six months ended June 30, 1997 was $74,000 or $.01 per share, as compared to a net loss of $555,000 or $.06 per share for the same period last year. Net loss for the second quarter was $31,000 or $.00 per share, as compared to a net loss of $548,000 or $.06 per share for the same quarter in 1996. CEO'S OVERVIEW Regarding the Company's operations, Bud Brigham Brigham may refer to the following: Place:
See rear-projection TV, front-projection TV and LCD panel. (theory) projection - In domain theory, a function, f, which is (a) idempotent, i.e. of 39 gross (9.3 net) wells. Of these wells, we have completed 23 gross (7.1 net) wells, plugged 13 gross (4.5 net) wells, and are currently drilling 1 gross (.2 net) wells. Our drilling success rate in the first half of 1997 was 64% gross, 61% net. The most significant measure in our view is the number of wells drilled net to Brigham's interest and we believe we are on track for the projected drilling of 23.8 net wells in 1997. We expect our recent higher working interest and higher reserve potential completions to have a positive impact on our production volumes and cash flow in the second half of 1997, particularly the 4th quarter." Bud Brigham further stated, "In the first half of 1997, we acquired approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. 750 square miles A square mil is a unit of area, equal to the area of a square with sides of length one mil. A mil is one thousandth of an international inch. This unit of area is usually used in specifying the area of the cross section of a wire or cable. of 3-D seismic, already exceeding the 655 square miles we acquired in all of 1996. So we believe we are on schedule for the acquisition of approximately 1,400 square miles in 1997. Also as planned, we have significantly increased our average working interest in our 3-D projects to at least 60% in 1997, more than double our historical average. As a result, our 3-D seismic acquisition, or prospect capture, is currently on target for the acquisition of 851 net square miles (1,400 square miles X 60% interest) in 1997, which is more than 3.5 times our 1996 net prospect capture. This prospect capture will fuel the Company's financial growth in future years." OTHER OPERATIONAL & FINANCIAL RESULTS Total natural gas production volume for the six months ended June, 30 1997 was 457,396 Mcf, which is a 59% increase over the same period in 1996. Brigham's average natural gas price for the six months ended June, 30 1997 was $2.62 per Mcf, compared to $2.10 a year ago, or an increase of 25%. Total oil production volume for the six months ended June, 30 1997 was 127,350 Bbls, which is a 12% increase over the same period in 1996. Brigham's average oil price for the six months ended June, 30 1997 was $20.87 per Bbl, compared to $18.82 a year ago, or an increase of 11%. Total natural gas production volume for the second quarter of 1997 was 214,587 Mcf, which is a 45% increase over the same period in 1996. Brigham's average natural gas price for the second quarter of 1997 was $2.07 per Mcf, compared to $2.10 a year ago, or a decrease of 2%. Total oil production volume for the second quarter of 1997 was 63,977 Bbls, which is a 20% increase over the same period in 1996. Brigham's average oil price for the second quarter of 1997 was $19.93 per Bbl, compared to $19.13 a year ago, or an increase of 4%. OPERATIONAL RESULTS BY PROVINCE Bud Brigham stated, "Of the nine wells completed in the Anadarko Basin The Anadarko Basin is one of the most prolific natural gas reserves in North America, with ultimate gas production in excess of 100 trillion cubic feet of gas.[1] External links
References 1. thus far in 1997, four recent Morrow mor·row n. 1. The following day: resolved to set out on the morrow. 2. The time immediately subsequent to a particular event. 3. Archaic The morning. and Springer springer a North American term commonly used to describe heifers close to term with their first calf. wells have either begun producing or are waiting on production pipeline connections. We've we've Contraction of we have. we've have experienced longer than anticipated pipeline access delays in hooking up Hooking Up is a collection of essays and short stories by American author Tom Wolfe, a number of which were published in earlier form in popular magazines. The essays cover a number of diverse topics dating from as early as 1965, including both non-fiction and three of these wells, all in our Son of Bevo
Bevo was a non-alcoholic malt beverage, or near beer, brewed in the United States by Anheuser-Busch. Project, for production sales. Sales just recently commenced on one of the three wells, which is producing approximately 4.0 Mmcfe per day, and Louis Louis, titular duke of Burgundy Louis, 1682–1712, titular duke of Burgundy; grandson of King Louis XIV of France. He became heir to the throne on the death (1711) of his father, Louis the Great Dauphin. Dreyfus, as the drilling operator, anticipates sales to commence on the other two wells by mid August." Bud Brigham further stated, "The Wiser Oil Company Mustang mustang [Sp. mesteño=a stray], small feral horse of the W United States. Mustangs are descended from escaped Native American horses, which in turn were descended from horses of North African blood, brought to the New World by the Spanish c.1500. #1 well was the first of at least four high potential deep tests we expect to drill in the Anadarko Basin in 1997. This well tested at a rate of approximately 4.0 Mmcfe per day, and the zone that we believe will be most prospective is still behind pipe. While the hook up hook n. 1. a. A curved or sharply bent device, usually of metal, used to catch, drag, suspend, or fasten something else. b. A fishhook. 2. Something shaped like a hook, especially: a. has taken longer than we anticipated, Wiser projects first sales for this well by September September: see month. 1st." The second well drilled out of Brigham's inventory of high potential deep Anadarko Basin is currently being production tested. Bud Brigham stated, "we are currently attempting a completion in the Hunton Hunton, as a person, may refer to:
In the Gulf Coast core province, Brigham continued its aggressive prospect capture, having closed on agreements for the acquisition of over 80 square miles of 3-D seismic. The Company is currently negotiating on 3-D projects potentially covering an additional 180 square miles. In the first half of 1997 the Company acquired 350 square miles of 3-D seismic in this province. In the Company's West Texas core province, Brigham continued drilling its prospect inventory. Bud Brigham stated, "We recently completed two high working interest reef wells in our Discovery Project, including the Brigham Exploration Company Morgan Morgan, American family of financiers and philanthropists. Junius Spencer Morgan, 1813–90, b. West Springfield, Mass., prospered at investment banking. #1, which we anticipate producing at a rate of approximately 150 Bbls and 180 Mcf per day, and the Lynx lynx, name given to several related small, ferocious members of the cat family. All have small heads, tufted ears, and heavy bodies with long legs and short tails. All are primarily terrestrial, although they are able to climb trees. Energy Davis Oil Unit #1, which is currently producing approximately 100 Bbls and 170 Mcf per day." Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that are based upon current expectations. Important factors that could cause actual results to differ materially from those in the forward-looking statements include risks inherent in exploratory drilling activities, the timing and extent of changes in commodity prices, unforeseen engineering and mechanical or technological difficulties in drilling wells, availability of drilling rigs, land issues, federal and state regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. developments and other risks more fully described in the company's filings with the Securities and Exchange Commission. Brigham is an independent exploration and production company that applies 3-D seismic imagining and other advanced technologies to systematically explore and develop onshore on·shore adj. 1. Moving or directed toward the shore: an onshore wind. 2. Located on the shore: an onshore beacon; an onshore patrol. adv. domestic natural gas and oil provinces. For further information, please contact Investor Relations Investor relations The process by which the corporation communicates with its investors. at 512/427-3300 or mail requests to 6300 Bridgepoint Parkway, Bldg. 2, Suite 500, Austin, Texas 78730. -0-
BRIGHAM EXPLORATION COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS, SUMMARY
(in thousands, except per share data) (unaudited)
Three Months Ended June 30,
---------------------------
1996 1997
---- ----
Revenues:
Natural gas and oil sales $ 1,330 $ 1,718
Workstation revenue 126 160
-------- --------
1,456 1,878
Costs and expenses:
Lease operating 172 264
Production taxes 80 92
General and administrative 562 753
Amortization of stock compensation -- 86
Depletion of natural gas and oil properties 787 708
Depreciation and amortization 121 64
-------- --------
1,722 1,967
-------- --------
Operating income (loss) (266) (89)
Interest expense, net (282) (93)
-------- --------
Net loss before income taxes (548) (182)
Income tax benefit (expense):
Income tax provision -- 151
Deferred income tax charge -- --
-------- --------
Net loss $ (548) $ (31)
======== ========
Common shares outstanding 11,082
--------
Net loss per share $ (0.00)
========
Pro forma common shares outstanding 9,170
--------
Pro forma net loss per share $ (0.06)
========
Six Months Ended June 30,
-------------------------
1996 1997
---- ----
Revenues:
Natural gas and oil sales $ 2,735 $ 3,854
Workstation revenue 292 324
-------- --------
3,027 4,178
Costs and expenses:
Lease operating 356 470
Production taxes 155 219
General and administrative 1,053 1,455
Amortization of stock compensation -- 115
Depletion of natural gas and oil properties 1,297 1,395
Depreciation and amortization 245 172
-------- --------
3,106 3,826
-------- --------
Operating income (loss) (79) 352
Interest expense, net (476) (465)
-------- --------
Net loss before income taxes (555) (113)
Income tax benefit (expense):
Income tax provision -- 187
Deferred income tax charge -- (5,000)
-------- --------
Net loss $ (555) $ (4,926)
======== ========
Common shares outstanding
Net loss per share
Pro forma common shares outstanding 9,170 10,131
-------- --------
Pro forma net loss per share $ (0.06) $ (0.49)
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CONSOLIDATED BALANCE SHEETS, SUMMARY
(in thousands) (unaudited)
December 31, June 30,
1996 1997
------------ ------------
ASSETS
Current assets $ 4,295 $ 9,325
Natural gas and oil properties, at cost, net 28,005 40,199
Other property and equipment, at cost, net 532 689
Other non-current assets 782 833
-------- --------
$ 33,614 $ 51,046
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $ 5,617 $ 7,225
Notes payable 8,000 --
Subordinated notes payable 16,000 --
Deferred income tax liability -- 4,813
Other non-current liabilities 753 89
Stockholders' equity 3,244 38,919
-------- --------
$ 33,614 $ 51,046
======== ========
BRIGHAM EXPLORATION COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS, SUMMARY
(in thousands) (unaudited)
Six Months Ended June 30,
-------------------------
1996 1997
---- ----
Cash flows from operating activities:
Net loss $ (555) $ (4,926)
Depletion, depreciation and amortization 1,542 1,567
Amortization of stock compensation -- 115
Deferred tax liability -- 4,813
Changes in working capital and other items 2,621 (1,764)
-------- --------
3,608 (195)
Cash flows used by investing activities (6,344) (12,105)
Cash flows provided by financing activities 4,271 15,842
-------- --------
Net decrease in cash and cash equivalents $ 1,535 $ 3,542
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PRODUCTION AND PRICES
Three Months Ended June 30,
---------------------------
1996 1997
---- ----
Production:
Natural gas, Mcf 148,441 214,587
Oil, Bbl 53,186 63,977
Equivalent natural gas (6:1), McfE 467,557 598,449
Price:
Natural gas $ 2.10 $ 2.07
Oil $ 19.13 $ 19.93
Equivalent natural gas (6:1) $ 2.84 $ 2.87
Six Months Ended June 30,
-------------------------
1996 1997
---- ----
Production:
Natural gas, Mcf 287,568 457,396
Oil, Bbl 113,214 127,350
Equivalent natural gas (6:1), McfE 966,852 1,221,496
Price:
Natural gas $ 2.10 $ 2.62
Oil $ 18.82 $ 20.87
Equivalent natural gas (6:1) $ 2.83 $ 3.16
CONTACT: Brigham Exploration Company, Austin Craig Craig , Edward Gordon 1872-1966. British theatrical producer, director, and designer whose innovative productions and simplified stage designs influenced modern theater. M. Fleming Flem·ing , Sir Alexander 1881-1955. British bacteriologist who discovered penicillin in 1928. He shared a 1945 Nobel Prize for this achievement. , 512/427-3300 |
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