EARNINGS / Best Pacific Resources Reports 1997 Results
BEST PACIFIC RESOURCES LTD.
ASE SYMBOL: BPG
MARCH 20, 1998
CALGARY, ALBERTA--BEST PACIFIC RESOURCES LTD. ("Best Pacific" or
the "Company") is pleased to present operating statistics for the
year ended December 31, 1997. It has been another stellar year
for the Company highlighted by record levels of production, cash
flow, earnings, and reserves. Average daily production for the
Company over the full year of 1997 rose to 1,612 barrels of oil
equivalent per day (boepd), comprised of 815 barrels of light oil
per day (bopd) and 7,970 thousand cubic feet per day (mcf/d) of
natural gas. This represents an increase of 81 percent over 1996
average production of 891 boepd. Accordingly, 1997 cash flow
doubled in comparison to 1996, to $4.4 million from $2.2 million
and net earnings increased by 188 percent in 1997 to $833,891 from
$288,695 in 1996. Best Pacific also increased its reserve base
significantly in 1997. Proven plus risked probable reserves at
year end totaled over 7 million barrels of oil equivalent (mmboe),
compared to 4.39 mmboe at year end 1996. The Company achieved
1997 finding and development costs (FDC) of $5.82 per boe, based
on proved plus half probable reserves. Best Pacific's five year
average of FDC from 1993 to 1997 is $4.10 per boe. Best Pacific
also dramatically increased its undeveloped land base in 1997 to
59,000 net acres at year end from the 1996 year end amount of
7,277 net acres. Summarized financial information for the years
ended December 31, 1997 and 1996 is presented below:
/T/
1997 1996
REVENUE
Oil and Natural Gas Sales $11,393,169 $6,186,969
Royalties (2,076,317) (984,160)
Other Revenue 290,294 106,817
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$9,607,146 $5,309,626
EXPENSES
Operating $3,613,199 $1,977,352
Income Taxes 130,708 55,000
Depletion & Depreciation 3,438,432 1,846,524
Interest 681,615 424,935
Administrative 750,054 675,091
Site restoration
and abandonment 159,247 42,029
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$8,773,255 $5,020,931
NET EARNINGS $833,891 $288,695
NET EARNINGS PER SHARE $0.046 $0.028
CASH FLOW FROM OPERATIONS $4,431,570 $2,217,248
CASH FLOW PER SHARE $0.244 $0.212
During the fourth quarter of 1997, Best Pacific's average
production was 1,936 boepd (904 bopd and 10,320 mcf/d of natural
gas), an increase of 11 percent from the third quarter average
production of 1,751 boepd. The Company had a 1997 exit production
rate of 2,200 boepd. |
