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FX Energy: Proved reserves for Poland, domestic operations 47.7Bcfe at year end

FX Energy reported proved oil and gas reserves for its combined Poland and domestic operations at year-end 2012 of 47.7 billion cubic feet equivalent. This represents a decrease of approximately 5.7 Bcfe or 11% from 2011 year-end reserves of 53.4 Bcfe. The decrease was due primarily to production during the year of 4.8 Bcfe and negative revisions of 3.3 Bcfe, offset in part by reserve additions of 2.3 Bcfe from the Komorze-3K discovery well. FX Energy owns a 49% interest in the Komorze-3K well, which is located in the Fences concession area. The company’s year-end 2012 proved plus probable reserves, which represent the most likely case, were 79.4 Bcfe, down 16% compared to 94.5 Bcfe at year-end 2011. At year end 2012 the pre-tax net present value of the company’s proved P50 reserves was $243M. This also represents a decrease of 16% from year-end 2011. The company’s daily production has grown from an average of 12.0 Mmcfe a day in 2011 to 13.2 Mmcfe per day in 2012. So far in 2013 the average daily production rate is 14.0 Mmcfe. Construction is underway to bring two more wells on line later this year. The production increase from these two wells, Lisewo-1 and Komorze-3K, is expected to more than offset natural production declines elsewhere. As a result, the company anticipates 2013 year-end results will show another year on year increase in average daily production. Comments taken from an 8-K filing.