Carmanah's Growth Continues Through Nine Months.CALGARY, ALBERTA--(BUSINESS WIRE)--Nov. 20, 1996-- Carmanah (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). CKM CKM Cabibbo-Kobayashi-Maskawa (quark mixing matrix) CKM Certified Knowledge Manager (trademark of Hudson Associates Consulting, Inc. .) Carmanah Resources Ltd. ("CKM" - TSE) reported significant financial and operating improvements for the nine-month period ended September 30, 1996. Revenue increased 131 percent to $20.5 million, compared to $8.9 million for the same period in 1995. The increase reflects higher production levels and continued strength in the price of crude oil. Cash flow from operations Cash flow from operations A firm's net cash inflow resulting directly from its regular operations (disregarding extraordinary items such as the sale of fixed assets or transaction costs associated with issuing securities), calculated as the sum of net income plus noncash expenses was $11.5 million ($0.54 per share), compared to $1.4 million ($0.08 per share) last year. On a weighted average basis, there were 21.3 million shares outstanding in 1996, compared to 18.1 million in 1995. Earnings were $8.4 million ($0.39 per share) in 1996; last year Carmanah reported a loss of $320 thousand ($0.02 per share). Capital expenditures totalled $9.3 million, primarily related to activities in Indonesia. Expenditures included continued workovers at Camar, a 3-D seismic program over Camar and immediately adjacent areas, the purchase of tubulars for planned Camar drilling; a 3-well corehole program at Babat-Kukui, 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. Sumatra with very encouraging results; preparation for a multi-well drilling program at Babat-Kukui, now underway; and seismic over open acreage in the Natuna Sea, in northern Indonesia. Minor expenditures were also incurred in Canada in early-1996 prior to the July sale of the Company's heavy oil properties. At September 30, 1996, Carmanah had eliminated all corporate debt and had working capital of $11.6 million, including $9.3 million in cash. During the period, Carmanah raised $11.2 million from the sale of 3.72 million shares from treasury and the exercise of employee options, and realized $5.6 million from the sale of its Canadian properties (including an after-tax gain of $835 thousand). Surplus funds Surplus funds Cash flow available after payment of taxes in a project. from operations and the proceeds from these transactions financed the Company's elimination of its long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. and simultaneous enhancement of its working capital by approximately $15.5 million. Net production for the nine-month period in 1996 was 2,813 BOPD BOPD Barrels of Oil Per Day BOPD Bataan Ocean Petroleum Depot compared to 1,510 BOPD in 1995, an increase of 86 percent. Third quarter, 1996 production was 2,513 BOPD compared to 1,817 BOPD in 1995. Carmanah plans an active program during the balance of 1996 and into 1997. The program includes interpretation of a recently-completed 2-D seismic program over new prospects in the 750,000-acre Bawean PSC (Public Service Commission) Same as PUC. ; and of the 3-D seismic program over Camar and surrounding area. The 3-D program was shot to establish new development locations in the field and to assist in the interpretation of a major exploration play west of Camar. Carmanah is also advancing plans to develop and market Camar associated and non-associated gas reserves; will drill two new wells (CN-3 and Camar-6) on the northern lobe lobe (lob) 1. a more or less well-defined portion of an organ or gland. 2. one of the main divisions of a tooth crown. within the Camar field; and, if time permits, complete Bunku 1A and tie in CS-3, which are tested oil wells within the Camar field. A multi-well drilling program will be conducted at Babat-Kukui, onshore Sumatra, and it is anticipated that negotiations for a new PSC at Natuna will be concluded. Carmanah is also continuing discussions for new PSC's covering large heavy oil accumulations in India and Egypt, and is examining new opportunities in the Gulf of Suez Noun 1. Gulf of Suez - a northwestern arm of the Red Sea linked to the Mediterranean by the Suez Canal Red Sea - a long arm of the Indian Ocean between northeast Africa and Arabia; linked to the Mediterranean at the north end by the Suez Canal , Egypt; offshore western Africa; onshore Venezuela and other projects in southeast Asia Southeast Asia, region of Asia (1990 est. pop. 442,500,000), c.1,740,000 sq mi (4,506,600 sq km), bounded roughly by the Indian subcontinent on the west, China on the north, and the Pacific Ocean on the east. and the Middle East. Management stated, "This is a unique time for well-financed Canadian companies This is a list of companies from Canada.
Directory: A B C D E F G H I J K L M N O P Q R S T U V W X Y Z Current Companies active in the international oil and gas business. There are numerous opportunities available, at moderate-to-low risk, which, if secured, could accelerate Carmanah's growth at an attractive rate. With a strong balance sheet, growing cash flow and earnings, and a high level of investor interest in its affairs, Carmanah is well-positioned to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. some of these attractive opportunities, which should benefit its shareholders." -0-
Summary Results
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Nine months ended Three months ended
September 30 September 30
----------------- ------------------
1996 1995 1996 1995
----------------- ------------------
(unaudited) (unaudited)
Revenue, $000 20,526 8,894 6,584 3,377
Cash flow, $000 11,504 1,365 3,913 1,103
Per common share $0.54 $0.08 $0.18 $0.06
Earnings (Loss), $000 8,370(1) (320) 3,461(1) 498
Per common share $0.39 ($0.02) $0.16 $0.03
Weighted average shares
outstanding 21,267,100 18,081,479 21,267,100 18,081,479
(1)Includes extraordinary gain, net of tax of $835 thousand on sale
of Canadian properties.
The Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. has neither approved nor disapproved the contents hereof. CONTACT: Carmanah Resources Ltd. Mr. R.A. Gusella, 403/266-4975 403/266-5042 (FAX) or Carmanah Resources Ltd. Mr. A.F. Badwi, 403/266-4975 403/266-5042 (FAX) |
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