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ENSERCH EXPLORATION PARTNERS, LTD. ANNOUNCES 1991 FINANCIAL RESULTS, RESERVES LEVELS

 ENSERCH EXPLORATION PARTNERS, LTD. ANNOUNCES
 1991 FINANCIAL RESULTS, RESERVES LEVELS
 DALLAS, Feb. 12 /PRNewswire/ -- Enserch Exploration Partners, Ltd. (NYSE: EP) announced that the 1991 net loss was $50 million, after a first-quarter $51 million ($.50 per unit) non-cash charge for the writedown called for under the "ceiling test" prescribed by the SEC for companies following the "full-cost" method of accounting. For 1990, net income was $26 million.
 The net loss per unit for 1991 was 48 cents vs. net income per unit of 25 cents for 1990. Net cash flows from operating activities for 1991 were $76 million, compared with $81 million a year ago. Excluding the writedown, operating income for 1991 was $21 million vs. operating income of $36 million for 1990. Revenues were $174 million, compared with $202 million a year ago. Weighted average units outstanding for 1991 were 102.5 million, unchanged from the prior year. At Dec. 31, 1991, ENSERCH Corporation owned 101.7 million units, or about 99.2 percent of the total partnership units outstanding.
 For the fourth quarter of 1991, the net loss was $.9 million, or a loss of 1 cent per unit, compared with net income of $17 million, or 17 cents per unit, in the year-earlier quarter. Net cash flows from operating activities for the fourth quarter amounted to $11 million, similar to the amount reported last year. Fourth-quarter 1991 operating income was $4.6 million, compared with $20 million a year earlier. Fourth-quarter revenues were $48 million vs. $59 million in the 1990 quarter.
 EP's natural-gas reserves at Jan. 1, 1992, were 1.17 trillion cubic feet (Tcf), compared with 1.22 Tcf the year earlier, according to estimates provided by DeGolyer and MacNaughton, independent petroleum consultants. Natural-gas discoveries and extensions, acquisitions, and net revisions amounted to 14 billion cubic feet (Bcf), compared with net natural-gas production of 70 Bcf during 1991.
 Oil and condensate reserves, including natural gas liquids attributable to leases, were up 32 percent to 38 million barrels (MMBbls) from the year-ago level of 28.7 MMBbls.
 Future net cash flows from reserves at Jan. 1, 1992, had a present value of $1.1 billion (calculated under prescribed SEC guidelines), compared with $1.2 billion a year ago.
 The margin between the SEC-prescribed cost-center ceiling under the full-cost accounting method and the unamortized capitalized costs of U.S. oil and gas properties was about $140 million at Dec. 31, 1991. Product prices, production rates, levels of reserves and estimates of future development costs all influence the calculation of the cost- center ceiling, making it difficult to project. However, prices for natural gas have declined sharply since the end of 1991. If there is not substantial improvement in prices or mitigating changes in the other factors involved in the calculation by the end of the first quarter, the carrying value of EP's oil and gas properties almost certainly will be above the SEC-prescribed cost-center ceiling, which would necessitate a writedown and a non-cash charge against earnings at that time.
 Natural-gas sales volumes (net) for 1991 were 69.3 Bcf, compared with 76.0 Bcf a year earlier. The average sales price was $1.76 per thousand cubic feet (Mcf), vs. $1.86 the prior year.
 Oil sales volumes (net) were 2.4 MMBbls, compared with 2.6 MMBbls in 1990. The average sales price per barrel was $20.36, down from $22.29 in 1990.
 Enserch Exploration Partners, Ltd., a Texas limited partnership, conducts substantially all of the domestic oil and gas operations of ENSERCH Corporation, a diversified energy, engineering and construction company headquartered in Dallas.
 ENSERCH EXPLORATION PARTNERS, LTD.
 Summary of Operations
 (In thousands, except per unit amounts)
 Three months ended Dec. 31 1991 1990
 Revenues $47,598 $59,068
 Operating income 4,611 20,286
 Net income (loss) (864) 17,425
 Net income (loss) per unit $(.01) $.17
 Net cash flows from operating
 activities(A) $10,595 $11,454
 Weighted average units outstanding 102,500 102,500
 Year ended Dec. 31 1991(B) 1990
 Revenues $174,490 $202,035
 Operating income (loss) (30,185) 36,457
 Net income (loss) (49,644) 25,993
 Net income (loss) per unit $(.48) $.25
 Net cash flows from operating
 activities(C) $75,702 $81,294
 Weighted average units outstanding 102,500 102,500
 (A) -- In the fourth quarter of 1991, $12,732,000 was required for working capital, compared with $25,648,000 required in the fourth quarter of 1990.
 (B) -- Included in year end results is a $51 million non-cash charge, taken in the first quarter, for the writedown required under the "ceiling test" prescribed by the SEC for oil and gas producers that follow the "full- cost" method of accounting.
 (C) -- During 1991, $1,683,000 was provided from working capital, compared with $16,050,000 required in 1990.
 -0- 2/12/92
 /NOTE TO EDITORS: Correct styles are ENSERCH Corporation and Enserch Exploration Partners, Ltd./
 /CONTACT: Crystal Bell of Enserch, 214-670-2528/
 (EP) CO: Enserch Exploration Partners Ltd. ST: Texas IN: OIL SU: ERN


CK -- NY048 -- 9209 02/12/92 11:36 EST
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Date:Feb 12, 1992
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