EARNINGS / BriAlto Energy reports 1997 Results
CALGARY, May 7 /CNW/ - Alan R. Tolg, President and CEO, BriAlto Energy
Corporation, reports on the Company's growth through its first complete year
of operation. Oil sales, net of royalties, climbed 91% to $602,353 from
$314,559 at the close of the third quarter. While production averaged 82 bopd
for the year, BriAlto had a December 31 exit rate of 204 bopd, an 875%
increase over the January 1997 rate. The Company reported net income after tax
of $28,893 ($0.01/sh).
Cash flow amounted to $297,353 or $0.07 per Class A common share. Cash
flow attributable to the fourth quarter was $0.03 per share.
BriAlto added 341,189 bbls of proven and 361,396 bbls of probable oil
reserves during the year. The Company's finding and on-stream costs were
$4.98 per bbl.
During 1997, BriAlto participated in 10 gross (1.56 net) horizontal and
vertical wells in southeastern Saskatchewan. Eight of the ten wells were
commercially successful. Since the close of 1997, BriAlto has participated in
two vertical Precambrian tests and one dual lateral horizontal Mississippian
test. The wells are expected to add approximately 20 bopd to BriAlto's
current production base when they are completed after break-up. To diversify
its exploration and development focus, BriAlto recently secured a 30%
working-interest in approximately 11,000 acres of shallow gas prospective
lands in western Saskatchewan. The Company has identified several bright-spot
anomalies that will be tested in 1998.
BriAlto has allocated $3.25 million for capital expenditures in 1998.
|
