Anterra Energy Inc Financial and Operating Results For the Six Months Ended
June 30, 2010
CALGARY, Aug. 30 /CNW/ - Anterra Energy Inc (TSXV: AE.A) ("Anterra" or the "Company") announces its financial and operating results for the six months ended June 30, 2010. The full text of the Company's consolidated financial statements and related management's discussion and analysis ("MD&A") can be found at: www.sedar.com and on the Company's website at www.anterraenergy.com.
FINANCIAL AND OPERATING HIGHLIGHTS
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Three Months Three Months Six Months Six Months
30-Jun-10 30-Jun-09 30-Jun-10 30-Jun-09
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Oil and Gas Production
Revenue 867,372 783,769 1,800,171 1,424,552
Royalties -61,008 -26,260 -127,893 -67,406
Gross overriding
royalties 875 - 875 -
Net revenue 807,239 757,509 1,673,153 1,357,146
Operating costs 606,755 452,165 1,370,214 937,481
Oil and gas operating
margin 200,484 305,344 302,938 419,665
Midstream Processing
Revenue 397,170 301,038 804,463 644,805
Operating costs 182,607 169,410 383,542 383,863
Midstream operating
margin 214,563 131,628 420,921 260,942
Intersegment revenue
and cost -29,765 -20,154 -57,793 -43,391
Total Net Revenue 1,174,644 1,038,393 2,419,823 1,958,560
Total Operating Costs 759,597 601,421 1,695,963 1,277,953
Total Operating Margin 415,047 436,972 723,860 680,607
Expenses
General and
administration 538,472 338,165 1,064,103 669,755
Stock compensation - 75,208 - 84,373
Interest 20,181 53,169 35,211 108,672
Depletion, depreciation,
accretion 597,425 567,442 1,149,660 1,190,883
Creditor settlements - -
Total Expenses 1,156,078 1,033,984 2,248,974 2,053,683
Net Loss Before Tax -741,031 -597,012 -1,525,114 -1,373,076
Provision For Taxes -197,652 -157,048 -429,792 -387,131
Net Loss -543,379 -439,964 -1,095,322 -985,945
Earnings (loss) per
Class A share
Basic -0.002 -0.012 -0.005 -0.026
Fully Diluted -0.002 -0.012 -0.005 -0.026
Weighted Average Number
of Class A
Shares In Thousands 244,488 38,001 236,201 38,001
Funds Flow From
Operations -165,159 25,315 -397,007 -118,143
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Second Quarter Review
- During the second quarter of 2010, the Company reviewed its
management requirements with a view to developing effective
communication protocols and procedures with its Beijing based
directors and investment group. As a result, Gang Fang, Ph.D. of
Beijing was appointed as Chief Executive Officer of the Company. Mr.
Fang is in the process of relocating to Calgary.
- Also during the quarter, the Company completed the licensing process
for the drilling of its first horizontal Cardium well in the Pembina
area on Section 17, Township 45, and Range 5W5M. This well is
scheduled to commence drilling prior to the end of the third quarter,
subject to the Company finding a joint venture partner.
Outlook
With conventional production from the Company's legacy assets continuing to decline, Anterra will rely on production growth from its higher impact resource projects in central Alberta and Saskatchewan to create value. In the Pembina area, the Company intends to joint venture the drilling of the first horizontal Cardium well before preparing a development plan for the seven sections of land it holds in the area. The Company is also considering the drilling of a horizontal Belly River well on its Breton property. In Saskatchewan, the Company continues to seek a partner to participate in a 3-D seismic program on its 17 section block of Bakken lands in the Abbott area.
The management and directors of Anterra appreciate the patience and support of shareholders while plans are developed for the Company's resource properties. Management is committed to achieving per share growth for investors, through the drilling of high quality, repeatable low risk resource projects targeting primarily oil.
About Anterra Energy
Anterra Energy is an independent exploration, development and production company with an emerging focus on the use of advanced exploration technologies including 3-D imaging, horizontal drilling and multi-stage completions to systematically develop its portfolio of conventional and non-conventional oil and gas projects. Complementing this strong exploitation and development focus, the Company owns and operates fee-based midstream facilities in western Canada. Anterra is a public Canadian company listed on the TSXV under the symbol AE.A. More information about Anterra is available on the Company's website at www.anterraenergy.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain forward-looking statements, including statements regarding future operations, which include assumptions with respect to production, future capital expenditures, financing plans and funds flow from operations. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. All such forward-looking statements involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with oil and natural gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada and the United States, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, and stock market volatility. The Company's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do, what benefits, including the amount of proceeds, the Company will derive there from. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. The terms bbls, bbls/d, boe, boes or boes/d may be misleading, particularly if used in isolation. A boe (barrel of oil equivalent) conversion ratio of 6 mcf per one (1) boe is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
%SEDAR: 00025272E
For further information: Gang Fang, Chief Executive Officer, Anterra Energy Inc., Telephone: (403) 215-2383, Facsimile: (403) 261-6601, E-mail: [email protected]; Bill Johnson, President and Chief Operating Officer, Anterra Energy Inc., Telephone: (403) 215-2384, Facsimile: (403) 261-6601, E-mail: [email protected]
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