HOUSTON, TEXAS--(Marketwired - May 30, 2013) -
NOT FOR DISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAWS.
Greenfields Petroleum Corporation (the "Company" or "Greenfields") (TSX VENTURE:GNF)(TSX VENTURE:GNF.DB), an independent exploration and production company with producing assets in Azerbaijan, announces its financial results and operating highlights for the first quarter of 2013.
First quarter 2013 financial results and operating highlights
Operating highlights and plans
Selected Information
On January 1, 2013 the Company changed accounting for its interest in Bahar Energy Limited, a joint venture, from proportionately consolidated to the equity method of accounting. This was required under IFRS 11, "Joint Arrangements", issued on May 12, 2011, which replaces IAS 31, "Interest in Joint Ventures". The standard is effective for annual periods beginning on or after January 1, 2013. See Note 3 - "Changes in Accounting Policies" and Note 8 - "Investment in Joint Ventures" in the Company's condensed consolidated financial statements for the three months ended March 31, 2013 for more information.
The selected information below is from the Greenfields' Management Discussion & Analysis for the three months ended March 31, 2013. The Company's complete financial statements as of and for the three months ended March 31, 2013 and 2012 with the notes thereto and the related Management's Discussion & Analysis can be found either on Greenfields' website at www.Greenfields-Petroleum.com or on SEDAR at www.sedar.com. All amounts below are in thousands of US dollars unless otherwise noted.
Greenfields Petroleum Corporation
(US$000's,except as noted) |
Three months ended March 31, | |||
2013 | 2012 | |||
Financial | Restated | |||
Revenues (1) | 687 | 662 | ||
Net (loss) income | (3,803 | ) | (4,504 | ) |
Per share, basic and diluted | ($0.24 | ) | ($0.30 | ) |
Capital Items | ||||
Cash and cash equivalents | 2,837 | 12,913 | ||
Total Assets | 36,458 | 29,858 | ||
Working capital (2) | 3,316 | 16,696 | ||
Convertible debt and shareholders' equity (3) | 34,009 | 27,519 |
(1) | Revenues for the three months ended March 31, 2013 and 2012 reflect change from proportionate consolidation to equity method of accounting for the Company's investment in Bahar Energy Limited. 2012 financial results have been restated to reflect the change in accounting policy effective January 1, 2013. |
(2) | The March 31, 2012 working capital balance has been restated to exclude the Company's share of Bahar Energy Limited working capital due the change to equity method accounting noted above. |
(3) | Convertible debt is combined with shareholders' for March 31, 2013 due to the Company's right to settle this debt by issuing shares. |
Bahar Energy Limited (a Joint Venture)
Total Joint Venture | Net to Company | |||||||
(US$000's,except as noted) | Three months ended March 31, | |||||||
2013 | 2012 | 2013 | 2012 | |||||
Financial | ||||||||
Revenues | 17,750 | 16,007 | 5,916 | 5,335 | ||||
Net (loss) income | (6,170 | ) | (7,906 | ) | (2,057 | ) | (2,635 | ) |
Operating | ||||||||
Average Entitlement Sales Volumes (1) | ||||||||
Oil and condensate (bbl/d) | 1,330 | 1,006 | 443 | 335 | ||||
Natural gas (mcf/d) | 10,216 | 11,699 | 3,405 | 3,899 | ||||
Barrel oil equivalent (boe/d) | 3,032 | 2,956 | 1,011 | 985 | ||||
Average Oil Price | ||||||||
Oil price ($/bbl) | $105.80 | $111.01 | $105.80 | $111.01 | ||||
Net realization price ($/bbl) | $103.73 | $108.97 | $103.73 | $108.97 | ||||
Brent oil price ($/bbl) | 112.44 | $118.71 | 112.44 | $118.71 | ||||
Natural gas price ($/mcf) | $3.96 | $3.96 | $3.96 | $3.96 | ||||
Capital Items | ||||||||
Total Assets | 113,561 | 52,583 | 37,850 | 17,526 | ||||
Total Liabilities | 32,502 | 18,974 | 10,833 | 6,324 | ||||
Net Assets | 81,059 | 33,609 | 27,017 | 11,202 |
(1) The Company's 33.33% share of Bahar Energy daily entitlement volumes are net of 5% compensatory petroleum and the government's share of profit petroleum.
About Greenfields Petroleum Corporation
Greenfields is a junior oil and natural gas Company focused on the development and production of proven oil and gas reserves principally in the Republic of Azerbaijan. The Company plans to expand its oil and gas assets through further farm-ins, and acquisitions of Production Sharing Agreements from foreign governments containing previously discovered but under-developed international oil and gas fields, also known as "greenfields". More information about the Company may be obtained on the Greenfields website at www.greenfields-petroleum.com.
Forward Looking Statements
The forward-looking statements contained in this press release are based on certain key expectations and assumptions made by Greenfields. Although Greenfields believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Greenfields can give no assurance that they will prove to be correct.
Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties most of which are beyond the control of Greenfields. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information. These risks include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety, political and environmental risks), commodity price and exchange rate fluctuations and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Additional risk factors can be found under the heading "Risk Factors" in Greenfields' Annual Information Form and similar headings in Greenfields' Management's Discussion & Analysis which may be viewed on www.sedar.com.
The forward-looking statements contained in this press release are made as of the date hereof and Greenfields undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. The Company's forward-looking information is expressly qualified in its entirety by this cautionary statement.
Notes to oil and gas disclosures
BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
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 this release.
Contact Information: