PrimeEnergy Corporation Announces First Quarter Results

Business Wire

HOUSTON--(BUSINESS WIRE)--

PrimeEnergy Corporation (PNRG) announced today the following unaudited results for the quarters ended March 31, 2013 and 2012:

          Three Months Ended March 31,
2013   2012  

Increase /
(Decrease)

Revenues (In 000’s) $ 26,970 $ 26,707 $ 263
Net Income (In 000’s) $ 2,258 $ 1,323 $ 935
Earnings per Common Share:
Basic $ 0.90 $ 0.49 $ 0.41
Diluted $ 0.70 $ 0.39 $ 0.31
Shares Used in Calculation of:
Basic EPS 2,499,130 2,692,042 (192,912 )
Diluted EPS 3,235,506 3,424,438 (188,932 )
 

Total assets at March 31, 2013 were $231,009,000 compared to $228,086,000 at December 31, 2012.

The increase in revenues as compared to 2012 was largely due to reduced unrealized losses on derivative instruments substantially offset with decreased oil and gas sales due to a reduction in realized oil prices. Further, the increase in net income in 2013 was primarily due to decreased depreciation and depletion expenses partially offset by an increase in lease operating and income tax expenses.

Oil and gas production and the average prices received (excluding gains and losses from derivatives) for the three months ended March 31, 2013 and 2012 were as follows:

        Three Months Ended March 31,
2013   2012  

Increase /
(Decrease)

Barrels of Oil Produced 184,000 177,000 7,000
Average Price Received $ 86.08 $ 100.46 $ (14.38 )
Oil Revenue (In 000’s) $ 15,864 $ 17,755 $ (1,891 )
MMcf of Gas Produced 1,190 1,155 35
Average Price Received $ 4.62 $ 4.57 $ 0.05
Gas Revenue (In 000’s) $ 5,495 $ 5,276 $ 219  
Total Oil & Gas Revenues (In 000’s) $ 21,359 $ 23,031 $ (1,672 )
 

PrimeEnergy is an independent oil and gas company actively engaged in acquiring, developing and producing oil and gas, and providing oilfield services, primarily in Texas, Oklahoma, the Gulf of Mexico, West Virginia, New Mexico, Colorado and Louisiana. The Company’s common stock is traded on the Nasdaq Stock Market under the symbol PNRG. If you have any questions on this release, please contact Connie Ng at (713) 735-0000 ext 237.

This Report contains forward-looking statements that are based on management's current expectations, estimates and projections. Words such as "expects," "anticipates," "intends," "plans," "believes," "projects" and "estimates," and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, and are subject to the safe harbors created thereby. These statements are not guarantees of future performance and involve risks and uncertainties and are based on a number of assumptions that could ultimately prove inaccurate and, therefore, there can be no assurance that they will prove to be accurate. Actual results and outcomes may vary materially from what is expressed or forecast in such statements due to various risks and uncertainties. These risks and uncertainties include, among other things, the possibility of drilling cost overruns and technical difficulties, volatility of oil and gas prices, competition, risks inherent in the Company's oil and gas operations, the inexact nature of interpretation of seismic and other geological and geophysical data, imprecision of reserve estimates, and the Company's ability to replace and expand oil and gas reserves. Accordingly, stockholders and potential investors are cautioned that certain events or circumstances could cause actual results to differ materially from those projected.

Contact:
PrimeEnergy Corporation
Connie Ng, 713-735-0000 ext 237
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