Printer Friendly

ALBERTA NATURAL GAS CO. LTD. ANNOUNCES NINE MONTHS RESULTS

 CALGARY, Alberta, Nov. 4 /PRNewswire/ -- Alberta Natural Gas Co. Ltd. (Toronto, Montreal, Vancouver, Alberta: ANG) (ANG) today announced net income of $42.7 million, or $1.66 per share, for the nine months ended Sept. 30, 1993. This compares to net income of $21.1 million, or $1.00 per share, for the same period in 1992.
 Income from continuing operations for the third quarter in 1993 increased to $7.6 million, or $0.29 per share, from $5.0 million, or $0.23 per share, for the same quarter in 1992. Higher sales volumes of nitroparaffins in the chemicals business and an allowance for funds used during construction of the British Columbia pipeline expansion both contributed to this improvement.
 Income from continuing operations increased to $25.6 million, or $0.99 per share, for the first nine months of 1993 from $13.7 million, or $0.65 per share, for the same period in 1992. As previously reported, operating income from the chemicals business includes $12.6 million from the 1993 settlement among ANG's wholly owned subsidiary, ANGUS Chemical Co. and IMC Fertilizer Group Inc. and IMC Fertilizer Inc. (collectively "IMC"). This $12.6 million portion of the settlement relates to the reimbursement of unabsorbed plant costs incurred following the May 1, 1991, explosion at the ANGUS nitroparaffins plant and, on an after tax basis, contributed $7.0 million, or $0.27 per share, to income from continuing operations. The remaining portion of the IMC settlement resulted in an after tax extraordinary gain of $16.3 million, or $0.64 per share.
 The British Columbia pipeline expansion project went into service as scheduled on Nov. 1. The project allows for the delivery of an additional 24.7 million cubic meters per day (872 million cubic feet per day) of Canadian natural gas for export at Kingsgate, British Columbia.
 ANG is a Calgary-based company engaged in natural gas processing and transmission, natural gas and natural gas liquids marketing, and the production and marketing of specialty chemicals. ANG's common shares are listed on the Toronto, Montreal, Vancouver and Alberta Stock Exchanges and trade under the symbol ANG.
 The following is an unaudited summary of operating income for the nine and three months ended Sept. 30, 1993, compared with the same periods during 1992.
 ALBERTA NATURAL GAS CO. LTD.
 Financial Highlights
 (Thousands of dollars)
 Nine months ended Three months ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Pipelines $5,826 $4,507 $1,985 $1,354
 Extraction 18,643 19,988 6,030 6,035
 Marketing 12,447 12,370 4,102 3,713
 Chemicals 24,196 6,874 4,868 1,728
 Corporate expenses (7,360) (6,738) (2,330) (2,475)
 Operating Income $53,752 $37,001 $14,655 $10,355
 Notes
 (a) To conform with the presentation adopted for 1993, certain activities previously reported as natural gas processing are now included with marketing.
 (b) ANG has received reassessment notices dated Oct. 7, 1993, from Revenue Canada for the 1985 to 1989 taxation years for additional taxes and interest. ANG strongly disagrees with these reassessments and notices of objection will be filed. Legal counsel has advised that there are substantial arguments to support ANG's position, however, the ultimate outcome of the objection is not determinable at this time. Should the tax reassessments be upheld, approximately $8 million (including a deferred tax adjustment of $4.4 million) would be charged directly to reinvested earnings.
 The following is an unaudited condensed statement of income for the nine and three months ended Sept. 30, 1993 compared with the same periods during 1992.
 ALBERTA NATURAL GAS CO. LTD.
 Financial Highlights
 (In thousands except earnings per share)
 Nine months ended Three months ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Operating revenue $424,516 $333,770 $146,672 $108,982
 Operating expenses 370,764 296,769 132,017 98,627
 Operating income 53,752 37,001 14,655 10,355
 Equity and other
 income 6,283 3,214 3,548 2,136
 Interest expense (11,825) (14,860) (4,461) (4,930)
 Provision for income
 taxes (22,624) (11,664) (6,158) (2,609)
 Income from continuing
 operations 25,586 13,691 7,584 4,952
 Discontinued
 operations 798 (15,082) --- ---
 Extraordinary item 16,337 22,499 --- ---
 Net income $42,721 $21,108 $7,584 $4,952
 Earnings per share
 Continuing operations $0.99 $0.65 $0.29 $0.23
 Discontinued operations 0.03 (0.72) --- ---
 Extraordinary item 0.64 1.07 --- ---
 Net income $1.66 $1.00 $0.29 $0.23
 -0- 11/4/93
 /CONTACT: Wayne Lunt, Alberta Natural Gas Co. Ltd., 403-691-7902/
 (ANG.)


CO: Alberta Natural Gas Co. Ltd. ST: Alberta IN: OIL SU: ERN

LM-JL -- LA041 -- 1032 11/04/93 20:14 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 4, 1993
Words:794
Previous Article:BELL OF PENNSYLVANIA SPONSORS SCHOOL COMPETITION TO ENCOURAGE USE OF TECHNOLOGY IN GRADES K-12
Next Article:THE GREEN POINT SAVINGS BANK RECEIVES APPROVAL TO CONVERT TO PUBLIC OWNERSHIP
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters