BelAir doubles third quarter earnings
BelAir Energy Corp BEC
Shares issued 12,850,192 2000-11-27 close $2.1
Tuesday Nov 28 2000 News Release
Mr. Vic Luhowy reports
BelAir Energy Corporation today released its results for the three months and nine months ended Sept. 30, 2000.
Highlights for the three months ended Sept. 30, 2000, include:
BelAir's assets were consolidated into three main focus areas in central and northwestern Alberta with the sale of non-core reserves and production.
The average production rate was 1,251 barrels of oil equivalent per day after the sale of non-core production, an increase of 24 per cent over the average of 1,010 barrels of oil equivalent per day during the third quarter of 1999. Almost 70 per cent of BelAir's production is now natural gas, compared with 40 per cent during the same time period last year.
Cash flow for the third quarter of 2000 is $2.62-million or 20 cents per share which is 2.4 times the cash flow of $1.08-million for the third quarter of 1999.
Net earnings for the quarter were $0.94-million or seven cents per share, double the earnings of $0.47-million for the third quarter of 1999.
In the first nine months of 2000, BelAir drilled 15 gross (7.0 net) wells resulting in 10 gross (5.2 net) natural gas wells, three gross (0.9 net) oil wells and two gross (0.9 net) abandonments. BelAir is well under way to complete its 2000 drilling program and is now drilling its 20th well.
BelAir also has completed negotiations on two major farm-ins. At Crossfield, just north of Calgary, Alta., BelAir is participating as to 30 per cent in a 30,000-gross-acre farm-in. One gas well has already been drilled on this acreage. The farm-in complements BelAir's production and undeveloped acreage position in this area. In the Peace River area, BelAir has negotiated an agreement in principal on two large farm-in blocks covering 30,000 gross acres of land in this area. The blocks have multizone potential. This farm-in acreage will constitute one of BelAir's exploration efforts during 2001. With the completion of these farm-ins, BelAir's land position stands at 140,000 net acres of held undeveloped land and 124,000 gross acres of farm-in lands available to be earned.
According to BelAir president, Victor M. Luhowy: "We have drilled more wells in the first nine months of 2000 than we had drilled in the previous two and a half years of BelAir's existence. We are well under way into phase 3 of our growth strategy by drilling. We also completed our asset consolidation and focus strategy for this year with the sale of our non-core reserves and production. Despite the selling of over 20 per cent of our production, our third quarter showed solid growth over the same period of last year. Now with our continuing drilling program in place, we should end the year with a record fourth quarter. With the latest farm-ins and our large undeveloped land base, we have positioned BelAir for continuous growth well into the future".
HIGHLIGHTS
Three months ended Sept. 30
2000 1999
Gross revenue $5,389,735 $2,549,517
Funds from
operations 2,616,185 1,078,245
Net earnings
(loss) $ 940,756 $ 472,597
========== ==========
Net earnings
(loss) per
share -- basic $0.07 $0.08
Net earnings
(loss) per
share -- fully
diluted $0.07 $0.07
Average daily
production
Oil
(barrels per day) 245 531
NGLs
(barrels per day) 155 78
Natural Gas
(mcfpd) 8,521 4,014
Average daily oil
equivalent
production 1,251 1,010
HIGHLIGHTS
Nine months ended Sept. 30
2000 1999
Gross revenue $13,618,203 $5,817,000
Funds from
operations 6,355,824 1,995,974
Net earnings
(loss) $ 2,090,346 $ 369,147
=========== ==========
Net earnings
(loss) per
share -- basic $0.20 $0.06
Net earnings
(loss) per
share -- fully
diluted $0.19 $0.06
Average daily
production
Oil
(barrels per day) 426 518
NGLs
(barrels per day) 101 73
Natural Gas
(mcfpd) 6,718 3,374
Average daily oil
equivalent
production 1,200 929 |
