DGAP-News: Activa Resources AG reports on the first half of 2011
(firmenpresse) - DGAP-News: Activa Resources AG / Key word(s): Half Year
Results/Drilling Result
Activa Resources AG reports on the first half of 2011
30.09.2011 / 08:00
---------------------------------------------------------------------
Activa Resources AG reports on the first half of 2011
- Recompletion at Loma Field well takes mid-year production to 400 BOED
- Positive EBITDA of EUR 0.13 million
- Successful refinancing of corporate debt
- Successful second horizontal well at OSR - testing at rates exceeding
500 BOED
Bad Homburg, September 30th, 2011. The first half of 2011 was marked by
important operational progress as well as the successful restructuring of
the parent company's debt.
The most significant 'production' event during the period concerned
Activa's single most important well, the Sunny Ernst No. 2, in the Loma
Field in southern Texas. The well was recompleted in the main pay zone
('S-Sand') after producing natural gas and oil from a secondary zone since
2008. Daily production rates from the well were raised 10-fold to 8 MMCFGD
and 350 BO in mid-May 2011, thereby fully meeting expectations. As a result
Activa's total production rose to 400 BOED in June.
During the second quarter the second horizontal well at OSR-Halliday in
East-Texas, the 110-2H well, was drilled to a vertical depth of 8,700 feet
with a 7,000 foot lateral extension. It was subsequently fractured and
placed on production at the end of September. Daily production rates from
the well exceeeded (or rose to) 500 BO and 400 MCF during its first days of
production. This result is fully in line with our expectations and confirms
the development potential of the southern section of the OSR-Halliday
field.
At the corporate level the key event during the first half of 2011 was the
successful refinancing of the the parent company's maturing 2006/2011
corporate bond. In April Activa raised a total of EUR 4.90 million (USD 7
million) via a rights offering to shareholders and a subsequent private
placement. We raised EUR 1.78 million in fresh equity and EUR 3.12 million
in a new 8% convertible bond.
Activa Resources AG generated consolidated revenues of EUR 1.47 million
from the production of oil and natural gas during the first half of 2011
(2010 H1: EUR 1.63 million). This reflects lower oil and gas production
resulting from the reduced interest in the OSR-Halliday field, the
company's main producing asset. It was also affected by temporary
production interruptions. The total direct costs of oil and gas operations
- comprising production taxes and lease operating expenses - were reduced
to EUR 0.61 million vs. EUR 0.74 million in 2010. Profits before interest,
taxes and depreciation expenses (EBITDA) amounted to EUR 0.13 million (EUR
0.19 million in the first half of 2010). A net loss of EUR 0.66 million
(EUR 0.55 million in 2009) was recorded.
The recent developments are important steps towards realising the inherent
value of Activa's properties and generating significant growth.
The successful development of the OSR-Halliday field in East Texas is a
game-changing event for Activa. The recent completion of the second
horizontal well not only adds production and revenues at Activa, it is also
a very significant step towards 'proving-up' significant new reserves in
the field.
Activa will continue to develop its key low-risk oil and natural gas
assets. Management expects significantly higher production volumes as of Q4
2011. Assuming oil and natural gas prices remain constant Activa will be
able to generate substantially higher revenues in 2012.
The Interim Report in the english language will available for downloading
in the coming days from www.activaresources.com. The report is based on the
Activa Resources AG consolidated financial statements prepared in
accordance with IFRS and reviewed by the company's US and German auditors.
The Management Board
Enquiries: Leigh A. Hooper, CEO, Tel. + 49 6172 483 2352
About Activa Resources AG
Activa Resources AG is an independent oil and gas company which focuses on
the acquisition, development and exploitation of oil and natural gas
properties. Activa Resources AG is listed on the Frankfurt stock exchange
and is based in Bad Homburg, Germany. The company's management and
technical team comprise oil industry experts with many years operational
experience at major international oil companies. Further information can be
found at www.activaresources.com.
Forward-looking statements
This news release includes forward-looking statements. Forward-looking
statements include, but are not limited to, statements concerning estimates
of expected drilling and development wells and associated costs, statements
relating to estimates of, and increases in, production, cash flows and
values and other statements which are not historical facts. When used in
this document, the words such as 'could,' 'plan,' 'estimate', 'expect',
'intend', 'may', 'potential', 'should' and similar expressions are
forward-looking statements. Although Activa believes that its expectations
reflected in these forward-looking statements are reasonable, such
statements involve risks and uncertainties and no assurance can be given
that actual results will be consistent with these forward-looking
statements. Important factors that could cause actual results to differ
from these forward-looking statements include the potential that the
Company's projects will experience technological and mechanical problems,
that geological conditions in the reservoir may not result in commercial
levels of oil and gas production, that changes in product prices can have a
material impact and that Activa fails to raise sufficient capital to
adequately fund its activities.
End of Corporate News
---------------------------------------------------------------------
30.09.2011 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
140838 30.09.2011
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Bereitgestellt von Benutzer: EquityStory
" alt="Silvermex receives final payment from Andover
Datum: 30.09.2011 - 08:00 Uhr
Sprache: Deutsch
News-ID 70934
Anzahl Zeichen: 3957
contact information:
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 265 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"DGAP-News: Activa Resources AG reports on the first half of 2011"
steht unter der journalistisch-redaktionellen Verantwortung von
Activa Resources AG (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
