Printer Friendly

SOCO ANNOUNCES RECORD EARNINGS

 SOCO ANNOUNCES RECORD EARNINGS
 FORT WORTH, Texas, April 30 /PRNewswire/ -- Snyder Oil Corporation


(NYSE: SNY) (SOCO) today announced record results for the quarter ended March 31, 1992. Revenues reached $26.9 million, an increase of 34 percent over the prior year period. Net income jumped 85 percent to $2.6 million and cash flow totalled $10.8 million, a rise of 55 percent. After deduction of dividends on the $60 million of preferred stock issued in late 1991, earnings per common share remained flat at six cents. Proceeds from the offering have yet to be invested in oil and gas assets.
 These results were achieved despite the lowest energy prices in over five years. Production increases more than offset a 14 percent drop from the prior year in the price received per barrel of oil equivalent. Average daily production in the quarter climbed to 4,457 barrels and 61.4 Mmcf, increases of 27 percent and 44 percent, respectively, due largely to continuing drilling in the Wattenberg Field of Colorado. The drilling program, which began in early 1991, was expanded in April 1992 with the farm-in of additional locations from a major oil company. SOCO expects to drill more than 160 wells in Wattenberg during 1992 at a net cost of approximately $50 million. At March 31, 1992, a total of 185 program wells had been drilled and 153 of those were on production.
 Efforts to reduce costs also contributed. During the quarter, operating costs per equivalent barrel including production taxes fell to $4.38 vs. $5.82 in the 1991 period. The reduction was due to the divestiture of marginal properties and the concentration of development drilling in Wattenberg. General and administrative expenses were reduced 33 percent from the prior year period as rising operator reimbursements exceeded cost increases.
 Subsequent to March 31, two events occurred which might materially benefit the company. On April 24, a jury found for the plaintiffs in a gas contract dispute related to South Marsh Island Block 261. If the judgment is sustained, SOCO would receive in excess of $10 million. On April 28, a filing was made with the Federal Energy Regulatory Commission requesting an approval required prior to construction of a new Wattenberg Field gathering system. As currently proposed, the system would be principally owned and operated by SOCO. Discussions are underway to bring another DJ Basin producer into the project. The system should reduce gathering charges on much of SOCO's Wattenberg production and be a profitable addition to the company's existing gas facilities.
 SOCO is engaged in the production, development, acquisition and exploration of oil and gas properties and in natural gas processing and transportation. The company's common and convertible preferred shares are traded on the New York Stock Exchange under the symbols "SNY" and "SNY Pr".
 SNYDER OIL CORPORATION
 Statements of Operations
 (In thousands, except per share data - Unaudited)
 Percent
 Quarter ended March 31, Change 1992 1991
 Revenues
 Oil and gas sales $ 16,941 $ 14,348
 Gas processing and
 transportation 9,039 4,303
 Other 933 1,361
 Total 34 26,913 20,012
 Expenses
 Direct operating 6,336 6,102
 Cost of gas and
 transportation 6,836 2,796
 Gross margin 24 13,741 11,114
 General & administrative 1,372 2,059
 Interest and other 1,515 2,074
 Depletion, depreciation and
 amortization 7,490 5,327
 Income taxes 735 230
 Net income 85 $ 2,629 $ 1,424
 Net income available
 to common $ 1,429 $ 1,424
 Net income per
 common share 0 $ .06 $ .06
 Average common
 shares outstanding (1) 22,742 22,863
 -0- 4/30/92
 /CONTACT: Patti J. Irwin, vice president of Snyder Oil, 817-882-5902/
 (SNY) CO: Snyder Oil Corporation ST: Texas IN: OIL SU: ERN


SM -- NY108 -- 5153 04/30/92 16:50 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 30, 1992
Words:629
Previous Article:DETROIT NEWSPAPER AGENCY AND UNIONS WORK TOWARD MIDNIGHT DEADLINE
Next Article:ALM ANTILLEAN AIRLINES ANNOUNCES NEW MORNING SERVICE FROM ATLANTA


Related Articles
SNYDER OIL DECLARES DIVIDENDS
SNYDER OIL POSTS EARNINGS RISE
SOCO MAKES $30 MILLION OF ACQUISITIONS
Snyder Oil Adopts Stockholder Rights Plan
Snyder Oil Calls Notes And Comments On Corporate Progress
Snyder Oil Appoints Two New Officers
SOCO SYSTEM and CAPE Systems Announce New Development Relationship.
SOCO SYSTEM Announces PalletBuilder Application Using CAPE's Pallet Optimization Software.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters