Operational and Financial Highlights
•Received approval from state regulators to commence drilling with Rig 35 on the Osprey offshore platform in the Redoubt Shoals field in Alaska. The rig has been used on workovers for RU-1, RU-2A, RU-3, RU-4 and RU-7. RU-3 and RU-4 are now fulfilling 100% of our current fuel gas demand with a combined flow rate of 2.5 MMcfd, and RU-2A is producing more than 1,300 boepd. •Completed the first horizontal well in the Mississippian Lime in Tennessee, CPP-H-1. •Applied for a right-of-way permit necessary for construction of the Trans Foreland pipeline. When completed, this subsea pipeline will move crude oil from the west side of the Cook Inlet to the east side where the nearest refinery is located. Transporting the crude via pipeline will decrease costs and increase safety. •Average realized oil prices increased 9% to $101.53 in fiscal 2013 compared to $93.10 for fiscal 2012. •Closed $100 million credit facility, with an initial borrowing base of $55 million, with Apollo Investment Corporation on June 29, 2012, refinancing the higher cost facility that previously existed. •Issued Series B Preferred Stock to accredited investors. •Issued Series C Preferred Stock, which is listed on the NYSE, through underwritten public sales and At The Market ("ATM") sales.
Fourth Quarter Results
Total revenues for the fourth quarter ended April 30, 2013 decreased 13% to $7.7 million, compared to $8.9 million for the same quarter in fiscal year 2012. The decrease resulted from RU-7 being offline due to a pump failure and a related workover, a normal decline curve from our WMRU field, and fluctuations in our shipping schedules.
Total operating costs and expenses increased 38% to $22.5 million for the fourth quarter ended April 30, 2013, compared with $16.3 million for the same quarter in fiscal year 2012, primarily due to workover costs for RU-1 and RU-7, slightly offset by a decrease in general and administrative expenses, primarily due to lower stock-based compensation expense and state production tax credits (which are recorded as a reduction to general and administrative expenses).
The Company recorded a net loss attributable to common stockholders of $13.1 million, or $0.31 per diluted share, for the fourth quarter ended April 30, 2013, compared to a loss of $8.4 million, or $0.20 per diluted share for the same period in fiscal year 2012.
Fiscal Year Results
Total revenues for the fiscal year ended April 30, 2013 were $34.8 million compared to $35.4 million for fiscal 2012. The Company produced and sold 317,606 BOE compared with 371,843 BOE in fiscal year 2012. The year-over-year decline in production was primarily attributed to RU-1 and RU-7 not being online for a portion of fiscal 2013.
Oil revenues decreased 8% to $29.4 million in fiscal 2013 and accounted for 98% of total oil and gas revenues. The average realized oil price in 2013 was $101.53 per barrel, 9% higher than the average realized oil price in 2012 of $93.10 per barrel. Natural gas average realized prices were relatively flat at $3.52 per mcf in 2013 compared with $3.47 per mcf in 2012.
Total operating costs and expenses increased 11% to $67.2 million from $60.5 million in fiscal year 2012. Oil and gas operating costs increased $9.8 million to $24.7 million primarily due to higher costs associated with drilling activities on the Osprey offshore platform and workover costs incurred on RU-1 and RU-7. General and administrative expenses decreased 23% to $22.8 million due to lower stock-based compensation and employee benefits expenses. Depreciation, depletion and amortization remained constant at $13.2 million compared to $13.3 million in fiscal 2012.
Most Popular Stories
- Twitter Coming to Phones Without Internet
- Twitter Names Woman to Board
- Obamacare Doing Just Fine, Ky. Governor Says
- Rand Paul Signs up for Obamacare
- Thalia Gets Star on Hollywood Walk of Fame
- How to Arm Yourself Against CryptoLocker Virus
- World Cup Draws: Coaches, Players Offer Insights
- Hispanic Employment Improves in November
- Texas Chiller Moves East
- Warner Bros. Unleashes 'Hobbit: Desolation of Smaug' Merchandise