Mid year results. Note bottom comment in particular.
Pease Reports Second Quarter Results
GRAND JUNCTION, Colo., Aug. 15 Pease Oil and Gas Company (Nasdaq:WPOG) reported the results of second quarter
operations:
Three Months Ended Six Months Ended
June 30, June 30,
Selected Financial Data 1997 1996 1997 1996
Revenues $996,000 $1,640,000 $2,215,000 $4,019,000
Net Loss (635,000) (196,000) (1,149,000) (46,000)
Preferred Stock
Dividends (45,000) (51,000) (90,000) (101,000)
Net Loss Applicable
to Common
Stockholders (680,000) (247,000) (1,239,000) (147,000)
Cash Flow From
Operating Activities(341,000) (180,000) (193,000) 94,000
Earnings per Share (.05) (.03) (.11) (.02)
Weight Average Shares
Outstanding 12,622,000 7,262,000 10,781,000 7,226,000
Three Months Ended Six Months Ended
June 30, June 30,
Oil and Gas
Production Data: 1997 1996 1997 1996
Oil (Bbls)
Rocky Mtns. 20,092 26,457 40,070 53,057
East Bayou Sorrel 8,308 -- 16,137 --
Combined Total 28,400 26,457 56,207 53,057
Gas (Mcf)
Rocky Mtns. 100,725 111,972 192,937 228,150
East Bayou Sorrel 11,375 -- 18,238 --
Combined Total 112,100 111,972 211,175 228,150
BOE (6:1)
Rocky Mtns. 36,880 45,119 72,226 91,082
East Bayou Sorrel 1O,204 -- 19,177 --
Combined Total 47,084 45,119 91,403 91,082
The decrease in total revenue in the second quarter of 1997 compared to 1996 is primarily the result of the expiration of the
Company's natural gas marketing and trading contract with PSCo effective July 1, 1996. The decrease in the income and cash
flow are also partially attributable to lower commodity prices in the Rockies, but also largely attributable to the stage of the
Company's aggressive expansion into the Gulf Coast. When comparing 1997 to 1996, the Company has actually increased its
production and reserves due to its Gulf Coast drilling program. Furthermore, the second quarter 1997 numbers only reflect 8
production days of Pease's latest Gulf Coast success in ``East Bayou Sorrel #2'' and none of the production from ``South
Lake Arthur'' that went on line on August 7, 1997. If even a modest percentage of the contemplated exploratory prospects
with National Energy Group, Inc., Parallel Petroleum Corporation, Davis Petroleum Corp., and Amerada Hess Corporation
continue to be successful and are fully developed, the net reserves attributable to the Company's interest could be several times
its present reserves.
Pease Oil and Gas Company is a 29 year old Company traded on Nasdaq with the symbols WPOG (common) and
WPOGW (warrants). |
