Mexco Energy Corporation Reports Profitable First Quarter
Press Release Source: Mexco Energy Corporation On Friday August 12, 2011, 12:50 pm EDT MIDLAND, Texas, Aug. 12, 2011 /PRNewswire/ -- Mexco Energy Corporation (AMEX:MXC - News) today reported net income of $104,385 for the quarter ending June 30, 2011, the Company's first quarter of fiscal 2012, compared to $5,776 for the same quarter of fiscal 2011, an increase of 1,707%.
Operating revenues in the first quarter of fiscal 2012 were $909,094, an increase of $72,701 or 9% from $836,393 for the first quarter of fiscal 2011 and operating expenses decreased 14%.
The average sales price for the quarter ending June 30, 2011 was $6.67 per Mcfe compared to $5.65 per Mcfe for the quarter ending June 30, 2010, an increase of 18%. Oil production increased 1% and gas production decreased 10% during the first quarter of fiscal 2012 as compared to the first quarter of fiscal 2011.
Nicholas C. Taylor, President and CEO of Mexco Energy Corporation, said, "During the quarter, we received $450,000 in cash for an assignment of a five year term leasehold for a portion of our interest in 200 acres in Loving County, Texas. This, together with operating revenues, enabled us to reduce our long term debt to date by 54% while participating in the drilling of seven (7) infill wells in projects in which we own working interest. Our debt is now 6% of equity."
The Company owns oil and gas properties in twelve states, with the majority of its activity centered in West Texas.