Whittier Announces 174% Increase in Net Income

Whittier Energy Corporation today announced financial and operating results for the second quarter of 2006. Net income was $2.2 million or $0.17 per fully diluted share for the second quarter ended June 30, 2006, compared to net income of $0.8 million, or $0.14 per fully diluted share, for the second quarter of 2005. The Company reported oil and gas revenues, after adjustments for hedging, of $10.9 million, a 181% increase over oil and gas revenues of $3.9 million in the second quarter of last year. The increase was primarily attributed to higher oil and gas production and the acquisition of RIMCO Production Company, Inc. in June 2005. The Company reported total production of 1.5 billion cubic feet of gas equivalent for the latest quarter, an increase of 147% from the 597 million cubic feet of gas equivalent produced in the second quarter of 2005. Realized commodity prices, net of hedges, increased 14% from $6.46 per thousand cubic feet of gas equivalent for the second quarter of 2005 to $7.35 per Mcfe for the same period in 2006.

For the first six months of 2006 the Company reported net income of $4.4 million, a 291% increase over the $1.1 million reported for the first six months of 2005. Revenue from oil and gas sales, after adjustments for hedging, for the first six months of 2006 was $20.8 million, a 213% increase over the $6.7 million reported in the first half of 2005. The increase is primarily attributable to higher production and the RIMCO acquisition in June 2005. The Company reported total production of 2.7 Bcfe for the period as compared to 1.1 Bcfe for the same period in 2005. The Company also benefited from slightly higher prices, realizing $7.62 per Mcfe, net of hedges, for the first six months of the year compared to $6.08, net of hedges, for the same period in 2005. The Company drilled 20 gross wells in this period, 17 of them successful, for an 85% overall success rate.

Operating and Financial Highlights for the Second Quarter of 2006 include:

— Record net production of 1.5 Bcfe, an increase of 147% from the second quarter of 2005;

— Average daily production of 16.2 Mmcfe as compared to 6.6 Mmcfe for the second quarter of 2005;

— Lease operating costs per unit of $1.08/Mcfe, a decrease of 45% from $1.98/Mcfe in the second quarter of 2005; and

— Oil and gas revenues, before hedging, of $11.6 million, compared to $4.4 million for the second quarter of 2005, an increase of 162%.

Operating and Financial Highlights for the First Six Months of 2006 include:

— Record net production of 2.7 Bcfe, an increase of 150% from the first half of 2005;

— Average daily production of 15.1 Mmcfe as compared to 6 Mmcfe for the first half of 2005;

— Lease operating costs per unit of $1.06/Mcfe, a decrease of 42% from $1.82/Mcfe in the first half of 2005; and

— Oil and gas revenues, before hedging, of $22.5 million, an increase of 189% over the $7.8 million reported in the first half of 2005.



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