Americas Petrogas Announces 2012 Results and Reserves
Operating Netback(1) increases $29.8 million or 511%; Increase in net revenue by 420%; $58.2 million of cash and investments
(firmenpresse) - CALGARY, ALBERTA -- (Marketwired) -- 05/01/13 -- Americas Petrogas Inc. ("Americas Petrogas" or the "Company") (TSX VENTURE: BOE) announces that it has filed its 2012 audited consolidated financial statements and Management's Discussion and Analysis ("MD&A") relating to its 2012 year-end results. The Company also filed the disclosure and reports relating to reserves data and other oil and gas information required pursuant to National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities. These filings can be accessed electronically on the System for Electronic Document Analysis and Retrieval (SEDAR) website: . All amounts are in Canadian dollars unless otherwise stated.
Year-end Highlights and Recent Developments
Conventional Reserves
A summary of the Company's conventional oil and gas reserves only, prepared by an independent petroleum engineering company as at December 31, 2012 is as follows:
The full content of the Company's Statement of Reserves Data and Other Oil and Gas Information for the years ended December 31, 2012 and December 31, 2011, respectively, including the significant assumptions, is filed on SEDAR ().
Outlook
We are continuing the exploration, appraisal and development drilling of the oil prospects in our conventional operations. Despite an expected dip in the early part of 2013, we believe production, reserves and cash flow will grow in 2013 as a consequence of our active drilling program.
We are continuing with our plans to drill unconventional wells (tight sands and shales), which primarily target the Vaca Muerta along with other conventional zones of interest, on our Loma Ranqueles block and our Totoral-Yerba Buena-Bajada Colorada concession, both of which are 90% owned by Americas Petrogas. Testing will continue on our already-drilled unconventional wells on Los Toldos and Totoral.
"The Company is very pleased with its significant progress in 2012 on the unconventional blocks and looks forward to additional drilling and test results in 2013. On the conventional side, we are making measured but consistent progress in enhancing our production and operational cash flow." said Barclay Hambrook, President and Chief Executive Officer.
Financial and Operating Results
Revenue
For the year ended December 31, 2012, the Company reported gross oil sales revenue of $53,795,419 and net oil sales revenue, after deducting royalties, of $46,207,873 compared to net oil sales revenues, after deducting royalties, of $8,887,511 for the year ended December 31, 2011 - this represents an increase in net oil sales revenues of 420%. The increase in oil sales revenue in 2012 is a result of increased oil production and higher average sales prices.
Net Loss
The Company reported net loss attributable to owners of the Company of $12,500,031 or $0.06 per share for 2012 compared to $16,740,226 or $0.09 per share for 2011.
Operating Netback and Cash Flow
Operating netback for 2012 was $35,608,189 ($50.11 per barrel) compared to $5,830,721 ($30.60 per barrel) during 2011. This improvement of $29,777,468 represents an increase of 511%.
With respect to funds flow from operations, the Company generated an inflow of $21,743,731 during the year ended December 31, 2012 compared to an outflow of $4,032,282 during the same period of 2011. Funds flow from operations reflects cash flow from operating activities (as determined in accordance with IFRS) before changes in non-cash balance sheet operating items. Alternatively, it reflects net income (loss) on the statement of income (loss), adjusted for non-cash items of income (loss) including, but not limited to, depletion and depreciation, stock-based compensation and unrealized foreign exchange items.
During the year ended December 31, 2012, the Company generated $9.8 million of cash from operating activities (which includes changes in non-cash balance sheet operating items), compared to 2011 when the Company used $1.0 million in operating activities (which includes changes in non-cash balance sheet operating items). The cash inflow in 2012 is attributable primarily to increased gross profit from oil sales (excluding non-cash depletion and depreciation). With respect to investing activities, the Company spent $75.9 million on capital expenditures in the year ended December 31, 2012, compared to $29.3 million spent in 2011. The increase in capital spending focused on increasing production at the Company's conventional operations, particularly Medanito Sur, as well as acquisition and exploration activities pertaining to the Company's unconventional blocks.
Financial Position
As of December 31, 2012, the Company has a cash position (including cash, cash equivalents and short-term investments) of $58.2 million. The December 31, 2012 statement of financial position shows higher current assets. Accounts receivable has increased as a result of increased oil sales and accrual of Oil Plus benefits. The Company's reported exploration and evaluation assets have increased in 2012, net of impairment loss, as a result of continuing activities in Argentina and Peru. The Company's reported property, plant and equipment has increased, net of depletion and impairment loss, primarily as a result of continuing activities on the Medanito Sur block. During 2012, the Company recognized deferred tax assets related to its operations in Argentina. During 2012, the Company settled US$18.95 million of promissory notes.
For further information regarding the Company's financial results, financial position and related changes, please see the consolidated financial statements and the related MD&A.
Additional Information on Unconventional
The Company will post an updated investor presentation to its website later this week.
About Americas Petrogas Inc.
Americas Petrogas Inc. is a Canadian company whose shares trade on the TSX Venture Exchange under the symbol "BOE". Americas Petrogas has conventional and unconventional shale oil and gas and tight sands oil and gas interests in numerous blocks in the Neuquen Basin of Argentina. Americas Petrogas has joint venture partners, including ExxonMobil and Apache, on various blocks in the shale oil and gas corridor in the Neuquen Basin, Argentina. Americas Petrogas also owns an 80% interest in GrowMax Agri Corp., a private company involved in the exploration for near-surface potash, phosphates and other minerals, and potential development of a fertilizer project in Peru. Indian Farmers Fertiliser Co-operative Limited (IFFCO) owns a 20% interest in GrowMax Agri Corp. For more information about Americas Petrogas Inc., please visit .
This Press Release contains forward-looking information including, but not limited to, the Company's goals and growth, estimates of reserves, production and cash flows, new fields in the Medanito Sur block, testing and production of the ALL.x-1 well on the Los Toldos I block, connecting of the ALL.x-1 well to a regional gas pipeline, testing and production of the LTE.x-1 well on the Los Toldos II block, testing of the ADA.x-1 well on the Los Toldos II block, testing of the LHO.x-1 well on the Totoral block, advancement of the Company's phosphates project in Peru, the potential for phosphates and other minerals on the recently staked concession land in the Sechura Desert, exercising and pending approval of the option to acquire an interest in the Bayovar concession, analysis and testing of the cores in respect of the 19-borehole drilling program on the southeastern block at Bayovar, exploration, appraisal and development activities related to conventional oil and gas, drilling of unconventional wells on the Loma Ranqueles block and the Totoral-Yerba Buena-Bajada Colorada concession, additional drilling and testing in 2013, and other exploration, development and production activities in respect of the projects in Argentina and Peru. There can be no assurance that the Company will successfully exercise the option to acquire an interest in the Bayovar concession. Additional forward-looking information is contained in the Company's Annual MD&A for December 31, 2012, and reference should be made to the additional disclosures of the assumptions, risks and uncertainties relating to such forward-looking information in that MD&A document.
Forward-looking information is based on management's expectations regarding the Company's future growth, results of operations, production, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, plans for and results of drilling activity (including the timing, location, depth and the number of wells), environmental matters, business prospects and opportunities and expectations with respect to general economic conditions. Such forward-looking information reflects management's current beliefs and assumptions and is based on information, including reserves information, currently available to management. Forward-looking information involves significant known and unknown risks and uncertainties. A number of factors could cause actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by the forward-looking information, including but not limited to, risks associated with the oil and gas industry (e.g. operational risks in development, exploration and production, delays or changes to plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of geological interpretations; the uncertainty of estimates and projections in relation to production, costs and expenses and health, safety and environment risks), the risk of commodity price and foreign exchange rate fluctuations, the uncertainty associated with negotiating with foreign governments and third parties located in foreign jurisdictions and the risk associated with international activity.
Although the forward-looking information contained herein is based upon assumptions which management believes to be reasonable, the Company cannot assure investors that actual results will be consistent with this forward-looking information. This forward-looking information is made as of the date hereof and the Company assumes no obligation to update or revise this information to reflect new events or circumstances, except as required by law. Because of the risks, uncertainties and assumptions inherent in forward-looking information, prospective investors in the Company's securities should not place undue reliance on this forward-looking information.
Any references in this Press Release to test rates, flow rates, initial test or production rates, and/or early production rates are useful in confirming the presence of hydrocarbons, however, such rates are not necessarily indicative of long-term performance or of ultimate recovery. Such rates may also include recovered "frac" fluids used in well completion stimulation. Readers are cautioned not to place reliance on such rates in calculating the aggregate production for the Company.
Where applicable, natural gas has been converted to barrels of oil equivalent ("BOE") based on 6 Mcf:1 BOE. The BOE rate is based on an energy equivalent conversion method primarily applicable at the burner tip and does not represent a value equivalent at the wellhead. Use of BOE in isolation may be misleading.
The Company's reserve estimates have been prepared in accordance with National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities ("NI 51-101") and the Canadian Oil and Gas Evaluation Handbook ("COGE Handbook"). Accordingly, the Company classifies its reserves as proved, probable or possible. Proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable - it is likely that the actual remaining quantities recovered will exceed the estimated proved reserves. Probable reserves are those additional reserves that are less certain to be recovered than proved reserves - it is equally likely that the actual remaining quantities recovered will be greater or less than the sum of estimated proved plus probable reserves. Possible reserves are those additional reserves that are less certain to be recovered than probable reserves - it is unlikely that the actual remaining quantities recovered will exceed the sum of the estimated proved plus probable plus possible reserves. Statements of reserves are only estimates and may not correspond to the ultimate quantities of oil and gas recovered.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.
Contacts:
Americas Petrogas Inc.
Barclay Hambrook P. Eng., MBA
President and CEO
(403) 685-1888
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Unternehmensinformation / Kurzprofil:
Datum: 01.05.2013 - 13:00 Uhr
Sprache: Deutsch
News-ID 255004
Anzahl Zeichen: 4507
contact information:
Town:
CALGARY, ALBERTA
Kategorie:
Farming
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