ISDN Wire Service - Pointcast Network Canada ARCHER RESOURCES
- SECOND QUARTER 1997 RESULTS Wednesday, August 13, 1997
ISDN Wire Service
CALGARY, ALBERTA-- Archer Resources Ltd., ("Archer") announces funds
generated from operations increase 24 percent in the Second Quarter
of 1997 over 1996, and increase 69 percent for the first half of 1997
over 1996. Production rises by 13 percent despite difficult operating
conditions.
HIGHLIGHTS
* Funds generated for the six months ended June 30, 1997 are $0.86 per
share ($0.83 fully diluted), up 60 percent over 1996. Year-to-date
earnings are $0.18 per share, up from $0.04 in 1996, an increase of
350 percent.
* For the second quarter funds generated are $0.33 per share, basic
and fully diluted, and net income is $0.03 per share. Capital
spending totals $5.9 million during the second quarter.
* Daily production in the second quarter of 1997 was 80.2 mmcfe, an
increase of 13 percent over the same period in 1996, but down four
percent from the first quarter of 1997.
* Oil production averages 2,269 barrels per day, up 64 percent from
the second quarter of 1996, but down 539 barrels per day from the
first quarter of 1997. Further horizontal drilling, planned to offset
declines at the Mannville Glauconitic oil project, has been deferred
because of widening heavy oil price differentials. The Bellshill Lake
optimization project continues to exceed expectations.
* Gas production averages 57.5 mmcf per day, up four percent from the
previous quarter. Gas prices average $1.69 per mcf at the plant gate
during the second quarter and $2.16 per mcf year-to-date. The average
oil price is $17.82 per barrel, down nine percent from 1996 as the
result of widening heavy oil price differentials.
Archer's common shares trade through the facilities of The Toronto
Stock Exchange under the symbol "ARC". The Toronto Stock Exchange has
neither approved or disproved of the information contained herein.
HIGHLIGHTS
Three months ended June 30 Six months ended June 30
1997 1996 Change 1997 1996 Change
--------------------------------------------- ------------------------
FINANCIAL
$000's, except for per share amounts
Natural gas and oil
production revenue 12,649 11,205 13% 31,081 22,379 39%
Net income 597 560 7% 3,639 760 379%
Funds from operations 6,878 5,556 24% 17,520 10,391 69%
Per common share
Net income
Basic $ 0.03 $ 0.03 - % $ 0.18 $ 0.04 350%
Fully diluted $ 0.03 $ 0.03 - % $ 0.18 $ 0.04 350%
Funds from operations
Basic $ 0.33 $ 0.28 18% $ 0.86 $ 0.53 62%
Fully diluted $ 0.33 $ 0.28 18% $ 0.83 $ 0.52 60%
--------------------------------------------- ------------------------
Capital asset additions
and acquisitions 5,942 3,142 89% 16,147 10,846 49%
Total assets 171,981 160,829 7% 171,981 160,829 7%
Bank loan less cash
on hand 34,213 35,203 (3%) 34,213 35,203 (3%)
Shareholders'equity 109,110 100,904 8% 109,110 100,904 8%
OPERATIONS
Daily production
Natural gas (mmcfd) 57.5 57.4 - % 56.5 57.1 (1%)
Oil and ngls (bopd) 2,269 1,384 64% 2,536 1,380 84%
Equivalent (mmcfed) 80.2 71.2 13% 81.9 70.9 16%
---------------------------------------------- ------------------------
Prices
Natural gas
($ per mcf) $ 1.69 $ 1.66 2% $ 2.16 $ 1.71 26%
Oil and ngls
($ per bbl) $ 17.82 $ 19.57 (9%) $ 18.82 $ 18.68 1%
Undeveloped land holdings (acres)
Gross 745,290 723,261 3% 745,290 723,261 3%
Net 541,116 508,177 6% 541,116 508,177 6%
---------------------------------------------- -------------------------
Wells drilled
Gross 7 20 (65%) 17 42 (60%)
Net 3.1 6.1 (49%) 8.0 19.7 (59%)
For further information please contact:
Archer Resources Ltd.
2600, 400 - 3rd Avenue S.W.
Calgary, Alberta
T2P 4H2
Grant A. Bartlett
Chairman & CEO
Telephone: (403) 266-5522
Fax: (403) 232-6008
Bill Hogg Vice President Finance & CFO Telephone: (403) 298-5510 Fax: (403) 232-6008
Additional information available at Archer's internet web site at www.arch-resources.com.
c ISDN Wire Service - 1997 |
