HRT announces its 4Q12 and 2012 result

RIO DE JANEIRO, March 4, 2013 /CNW/ - HRT Participações em Petróleo S.A. - 
"HRT", "HRTP" or "Company" (BM&FBovespa: HRTP3 and TSX-V: HRP.V) announces its 
results for the 4(th) quarter of 2012 ("4Q12") and full year of 2012. Unless 
as otherwise specified, the financial and operational information below are 
presented in consolidated basis and stated in thousands of Brazilian Reais 
(R$), according to the International Financial Reporting Standards (IFRS), 
including our direct subsidiaries: HRT O&G Exploração e Produção de 
Petróleo Ltda. ("HRT O&G"), Integrated Petroleum Expertise Company - 
Serviços em Petróleo Ltda. ("IPEX"), HRT Africa Petróleo S.A. ("HRT 
Africa"), HRT Netherlands B.V. ("Netherlands"), Air Amazonia Serviços Aéreos 
Ltda. ("Air Amazonia"), HRT America Inc. ("HRT America"), its respective 
subsidiaries and branches. 

    --  Farm-In/Farm-Out involving HRT O&G/Petra and TNK-Brasil and
        advance on receivables from Citibank;
    --  Execution of the Operational Efficiency and Cost Reduction
    --  Completion of the corporate reorganization and restructuring of
        the Investor Relations department;
    --  New structure of the Board of Directors, establishment of the
        Technical Committee, and strengthening the organization of the
        other Committees;
    --  Signing of a Term Sheet with Erickson Air Crane for the sale of
        the air logistics business.

    --  40% improvement in the drilling average time (m/day), in HRT-9
        and HRT-10 in relation to the 4 previous wells (HRT-5, HRT-6,
        HRT-7 and HRT-8);
    --  Drilling of six wells, with gas discoveries in five of them;
    --  HRT-9 and HRT-10, deemed to be two of the largest gas flow
        rates in onshore Brazil;
    --  Signing of the Letter of Intent for Gas Monetization with
        Petrobras  and TNK-Brasil, in the Juruá field and contiguous
    --  Granting of a 2-year extension by ANP for the 2(nd) exploration
        period of nine blocks located in the north and central areas;
    --  Mobilization of QG-VIII rig to the Aruã Oil cluster in January

    --  Completion of the Farm-Down with GALP Energia for the transfer
        of a 14% interest in PELs 23, 24 and 28;
    --  Completion of 3D seismic data processing and interpretation and
        release of a new report of prospective resources, prepared by
        DeGolyer & MacNaughton; increase of 0.5 billion BOE into HRT's
    --  Extension of the exploration period to 2015, granted by
        Namibia's MME;
    --  Receipt of the Transocean Marianas semi-submersible rig, and
        confirmation of the start of the exploration campaign by the
        first quarter of 2013.


2012 was a year of relevant achievements, when we were able to significantly 
move forward in exploring our assets, in controlling costs, in managing 
financial resources and in preparing our exploratory campaign for the offshore 
assets in Namibia, which is our most important project towards the future.

The Company has implemented an Operational Efficiency Program that allowed 
reducing the time and, consequently, the costs for drilling wells in the 
Solimões Basin. For that, besides the learning curve from such projects, we 
have relied on a team focused on cutting costs and renegotiating several 
contracts, which allowed: (i) reducing our headcount by more than 30%; (ii) 
merging the Finance Division of the Holding company and of HRT O&G; and (iii) 
merging several other areas, both in Rio de Janeiro and Manaus.

We have also kicked-off a Divestment Program, aiming at withdrawing HRT from 
businesses that are not core to the Company, in spite of being strategic for 
its operations, such as air logistics and drilling rigs.

The efforts of the Management Team in monitoring expenses and reducing costs 
have kept our daily cash burn rate consumption of resources under check and in 
a downtrend throughout the entire period. Along with such efforts, we did a 
Corporate Restructuring, rationalizing the allocation of assets and achieving 
higher tax efficiency in the several countries where we act.

We also would like to highlight the restructuring of the Board of Directors, 
increasing the number of its permanent members from 9 to 11 (out of which 8 
are independent); the establishment of the Technical Committee - besides the 
already existing 4 others (Audit, Compliance and Risk, Compensation, and 
Investments); as well as the restructuring of the Investor Relations 
department (IR).

In the exploration campaign in the Solimões Basin, six wells were drilled 
during 2012 (HRT-5, HRT-6, HRT-7, HRT-8 and HRT-9, apart from HRT-10, which 
evaluation was completed during the first month of 2013), achieving positive 
results in gas and condensate in five of such wells. It is worth noting that 
HRT-9 and HRT-10 are among the largest onshore gas discoveries made in Brazil.

Such discoveries were important for the signing of a Letter of Intent with 
Petrobras and TNK-Brasil, HRT's partner company in the Solimões concessions, 
in order to promote studies for monetizing the natural gas from the Juruá 
field and contiguous areas.

Also worth of mention is the fact that ANP (Brazilian National Petroleum 
Agency) has granted a 2-year extension for the validity of the 2(nd) 
exploration period of nine blocks from the Solimões Basin (BT-SOL 148, 149, 
168, 169, 170, 172, 191, 194 and 195). We have also filed at that Agency a new 
request to extend the validity of ten other blocks in that Basin's Southern 
and Eastern zones.

At Namibia's offshore blocks, all actions required for the beginning of the 
exploration campaign were already performed as of the first quarter of 2013, 
for PELs 22, 23, 24 and 28, such as the leasing of the rig (Marianas, from 
Transocean), and the hiring of service providers and insurance companies.

One of the largest 3D seismic programs performed on West African coast, 
covering more than 9,000 km(2), was completed in 2012, allowing Degolyer & 
MacNaughton (D&M) to issue a new report, increasing the potential volume of 
risked Pmean prospective resources from 6.9 to 7.4 billion barrels of oil 
equivalent (BOE), of which 5.1 billion barrels of oil and condensate (bbl) and 
2.3 billion BOE of gas.

Thus, HRT now has a volume of net resources of 7.8 billion BOEs in Solimões 
and Namibia, in addition to the 3C contingent net resources of 0.5 billion BOE 
in Solimões.

The Minister of Mines and Energy ("MME") of the Government of Namibia has 
granted the extension for initial exploration periods for all blocks, for 
terms ranging from June/2013 to May/2015, according to the concession.

We have executed the first Farm-Out agreement of concessions in Namibia, with 
the Portuguese company Galp Energia, to transfer a 14% stake in the 
exploratory rights related to three licenses (PEL 23, in Walvis Basin, and 
PELs 24 and 28 in Orange Basin).

This entire process has prepared HRT to face the challenges, not only in 2012, 
but also for the upcoming years.

Marcio Rocha Mello 
CEO of HRT Participações and Chairman of the Board of Directors.


    --  Restructuring of the Investor Relations department and
        establishment of the Technical Committee.

    --  Signature of an Amendment (including Work Plan) of the Letter
        of Intent for the Gas Monetization with TNK-Brasil and
        Petrobras, for the Juruá field and surrounding areas.

    --  Farm-Down Agreement with GALP Energia for the transfer of a 14%
        stake in the exploratory rights over PELs 24, 24 and 28;
    --  Completion of 3D seismic data processing and final
        interpretation, and release of a new report of prospective
        resources, prepared by D&M, , increasing HRT's portfolio by 0.5
        billion BOE, reaching 7.8 billion BOEs;
    --  Receipt of the Transocean Marianas semi-submersible rig, and
        confirmation of the start of the exploration campaign by the
        first quarter of 2013.



HRT Participações, a publicy traded company, acts as HRT Group's holding 
company, headquartered in Rio de Janeiro (Brazil). It performs management and 
guides the execution of activities by its subsidiary companies. Its Management 
Team is responsible for implementing the strategic guidelines issued by the 
Board of Directors, which on its turn has a strong supporting structure, 
including five Committees, formed by three members, always including at least 
two sitting members from the Board of Directors.

The Board of Directors' Committees are: Audit Committee, Compensation 
Committee, Investments Committee, Compliance & Risk Committee, and Technical 
Committee, the latter has its focus on technical support for issues involving 
exploration activities. These Committees had their structures updated during 
the first Board of Directors Meeting with this new composition, held on 
October 17th, 2012.

According to the Company's governance rules, matters submitted to the Board of 
Directors for deliberation, related to a specific committee, shall be 
previously assessed by such committees, which will be responsible for 
recommending the course of action to be taken.

The participation of three of the Company's executives in the Board of 
Directors and its respective Committees (maximum of one per committee) 
strengthens the integration between the strategic guidelines issued by the 
Board of Directors and their implementation by the Company's Management Team. 
The Management Team meets officially at least on a weekly basis, and guides 
businesses in a direct manner and timely monitoring, implementing and valuing 
one of HRT's key features: efficiency in its decision-making process.


HRT O&G was established to leverage on the expertise acquired in geological, 
geochemical and geophysical services for the oil & natural gas exploration and 
production activities. Currently, it holds 55% participating interest over 21 
blocks within the Solimões Basin.

The Solimões Basin is located in the Brazilian Amazon region, and the blocks 
of the consortium between HRT O&G (55%) and TNK-Brasil (45%) cover an area of 
48,507 km(2). According to ANP data (from August/2012), the Basin has Brazil's 
second largest gas reserves, and ranks third in the Brazilian oil & gas 
output, accounting for about 106 M BOE per day. Oil produced in the Solimões 
Basin has an outstanding quality, with specific density ranging from 41º to 
47º API, having a strategic relevance to the Brazilian market.

Within the context of the exploration campaign during the fourth quarter of 
2012, well 1-HRT-10-AM was drilled and tested, located to the south of our 
Solimões concessions, 30km away from the Juruá field. The discovery of gas 
and condensate during tests produced a stabilized flow of 520,456 m(3)/day of 
gas with a choke of 40/64'' (Absolute Open Flow - AOF - estimated in 1,600,000 
m(3)/day). The well confirms the presence of hydrocarbons in a 
faulted-controlled anticlinal structure, associated with a SW-NE regional 
structural trend, sub-parallel to the Juruá and Tefé gas trends (Figure 1).

The drillstem test (DST) results, together with the gas findings in wells 
1-HRT-5-AM and 1-HRT-9-AM, confirm the gas trend to the south and the 
potentials for gas in the SOL-T-191 and SOL-T-192 blocks and open a new 
exploratory perspective for SOL-T-214, SOL-T-215 and SOL-T-216 blocks, where 
the company has identified several exploratory prospects for future new wells 
to be drilled. The presence of a richer liquid bearing gas/condensate 
identified through DSTs, reinforces the geological model interpreted for the 
area, and consolidates the potential for gas in the region, as well as 
supports the gas monetization project.

New 2D seismic surveys are being carried out in areas of blocks SOL-T-194, 
195, 196 and 218 in order to further detail prospects already identified by 
prior seismic data reprocessing and to support the drilling of new wells in 
areas featuring potential for liquid hydrocarbons.

On December 17th, 2012, HRT O&G, Petrobras and TNK-Brasil signed an Amendment 
(including an Work Plan) to their Letter of Intent (LOI) for gas monetization 
in the Solimões Basin. The LOI, signed on October 15th, 2012, was amended to 
include the Work Plan agreed by the parties, to be developed along the next 6 
months, starting in January 2013. The activities to be developed include: (1) 
evaluation of the natural gas resources within the study area, (2) 
engineering, environmental and logistics studies required to bring the natural 
gas to market, (3) the technical alternatives to monetize the gas, the markets 
for such gas and the local logistics of those markets, (4) economic evaluation 
of the studied alternatives and (5), the administrative aspects of the work 

Among the exploration activities performed, it is worth highlighting the 
obtaining of all environmental and operating licenses required for the seismic 
surveys and preparation of the drilling site of the next well to be drilled 
(1-HRT-11-AM), at the SOL-T-172 Block, in the Aruã cluster.

Figure 1 - Geographical location of well 1-HRT-10-AM and its relation with the 
discoveries of 1-HRT-5, 1-HRT-8, 1-HRT-9 and the Juruá and Urucu fields. 
(Click here)


HRT operates ten exploration blocks in the Namibian coast, being eight in the 
Orange Basin, and two in the Walvis Basin. Additionally, HRT holds 
participating interest, as a non operator, in two exploration blocks in the 
Namibe Basin.

Namibia is located in Africa's southwest, where four offshore sedimentary 
basins are present: Namibe, Walvis, Lüderitz and Orange, extending over a 350 
M km(2) area. HRT, in its 12 exploration blocks on the Namibian coast, holds a 
gross exploration area equivalent to 62,892 km(2), resulting in a net area of 
51,513 km(2).

The figure below shows the blocks where HRT holds participating interest.

Figure 2 - Geographic location of the blocks HRT holds intrest in offshore 
Namibia, in the African continental margin. (Click here)

The fourth quarter of 2012 brought relevant progress in HRT's activities 
regarding its Namibian Project.

HRT received the new 2012 report prepared by the consulting firm DeGolyer & 
MacNaughton (D&M), which estimated the new volumes of prospective resources 
using outstanding quality 3D seismic data that HRT has gathered and processed 
during 2011 and 2012 in the Petroleum Exploration Licenses (PELs) 22, 23, 24 
and 28, located in offshore Namibia (Table 1). Such report has elevated to 
approximately 7.4 billion BOE the volume of net risked Pmean prospective 
resources in Namibia, comprising 5.1 billion barrels of oil and condensated 
(bbl) and 2.3 billion BOE of associated and non-associated gas.

Table 1. Resources estimated by D&M for PELs in Namibia, considering the net 
risked Pmean resources. (Click here)

These volumes represent an increase of 0.5 billion BOE to HRT's portfolio, as 
well as an increase of 6.6% in the previously estimated volumes for HRT's 
exploratory licenses in Namibia. Thus, HRT now has a net risked Pmean 
prospective resources in Namibia and in Solimões amounting to 7.8 billion 
BOE, in addition to the 3C net contingent resources of 0.5 billion BOE in 
Solimões (Table 1).

Another relevant fact from this period was the signing of the Farm-Down 
Agreement with Galp Energia, to transfer a 14% participating interest in the 
exploratory rights over three PELs in offshore Namibia - namely PEL 23, in the 
Walvis Basin, and PELs 24 and 28 in the Orange Basin.

HRT shall remain as the operator of these PELs, and will start the drilling 
campaign during the first quarter of 2013. Galp Energia shall carry part of 
the operating costs, limited by a cap, related to drilling of wildcat wells. 
The exploration schedule foresees drilling three exploration wells on already 
identified and defined prospects, targeting two prospects in PEL 23 and in 
prospect in PEL 24.

These three PELs cover an area of 37,744 km(2), in water depths ranging from 
180 to 2,500 meters. Both the Walvis and the Orange basins are located on a 
new exploration frontier, deemed as an emerging hydrocarbons province, 
boasting potential for significant oil and natural gas discoveries on several 
already identified prospects.

Combined, the main targets of these prospects hold gross recoverable resources 
estimated at approximately 8 billion bbl (unrisked Pmean estimate), with a 
Probability of Success (POS) ranging from 20 to 30%. The transfer of a 14% 
participating interest on the exploratory rights of the aforementioned PELs to 
Galp Energia has been approved by the Namibian Ministry of Mining and Energy 
(MME), in January 2013.

HRT has completed the whole preparation for execution and support of its 
drilling campaign in offshore Namibia during 4Q12. Such preparation included 
signing all contracts with goods and services suppliers, and also organizing 
and preparing the Lüderitz support base to become operational.

On January 15(th), 2013, HRT received the semi-submersible rig Transocean 
Marianas, from Transocean (NYSE: RIG), which shall start operating with the 
drilling of the first Namibian well, situated in the Wingat prospect in the 
Walvis Basin, at PEL-23, by the end of 1Q13. Wingat well lies in a water depth 
of 1,000 m, and its drilling operation is expected to last approximately 60 


Air Amazonia is HRT's wholly-owned subsidiary in charge of air support for 
execution of the exploration campaign in the Solimões Basin. By using its 
fleet comprised of 18 aircraft (14 helicopters and 4 airplanes), reaching a 
total of 2,388 hours of helicopter flight and 412 hours of airplane flight.

During 2012, 11,443 helicopter flight hours and 2,106 airplane flight hours 
were performed, split among logistics support to operational bases and sites 
of drilling; mobilization and demobilization of rigs; and transport of 
employees and outsourced personnel. In total, more than 20,000 tons of cargo 
(particularly outside cargo - "lifted") were transported, as well as 18,000 

Results achieved during 4Q12 were significant, especially regarding the 
increase in the average availability of the fleet (+5%) as compared to the 
previous quarter. Throughout 2012, Air Amazonia reached relevant progress in 
reducing costs and increasing productivity of the air operation. When taking 
into account the KPI headcount/fleet, Air Amazonia has one of the smallest 
ratios within the Brazilian market, equivalent to 10.33 heads per operating 

The completion of building two new hangars - one at Caruari's airport and 
another at the Tefe's operation base (BATE1), during the last quarter of the 
year, will allow a significant reduction in the number of non-operational 
flight hours (approximately 67%) by bringing the maintenance activities closer 
to the operational sites.

Air Amazonia has been working, since the beginning of its activities, 
permanently focusing on safety. During 4Q12, it carried on with the process of 
improving its Manuals of Safety Management System (SMS) and their release to 
all of its staff members. In parallel, by further narrowing the relationship 
with the Office of Accident Investigation and Prevention, it has encouraged a 
stronger participation of its staff members in training programs and in the 
development of that institution, aiming at increasing the dissemination of its 
philosophy of Flight Safety.

In November 6th, 2012, HRT announced the signing of a non-binding Term Sheet 
with the U.S. company Erickson Air-Crane Inc, for the sale of its air 
logistics business. The transaction involves the transference of its entire 
rotary-wing fleet (14 helicopters) and also envisages that the buyer will 
provide air services to HRT Group for a 3-year period. This agreement is 
subject to a Due Diligence during a period of 180-day, when its conditions 
should be confirmed and subsequently submitted to approval of the Board of 
Directors of both Companies.


HRT America is headquartered in Houston, Texas, USA. The company relies on 
highly specialized and renowned professionals from the worldwide Oil & Gas 
industry, having more than 20 years of experience in sedimentary basins in 
Brazil and Africa. Its key activity is to provide exploration, drilling and 
production of oil and gas services to HRT Group companies, particularly to the 
Namibian concessions.


Understanding the market behavior and the key trends of the scientific area, 
IPEXco is a Brazilian company headquartered in Rio de Janeiro, providing 
integrated services and technology to support petroleum production and 
exploration players. IPEXco's projects are diversified and range from 
molecular geochemistry of oil and gas samples, to 3D basin modelling.

IPEXco has attained important certifications. According to the requirements of 
ISO 9001:2008, certified by BSI (British Standards Institute), the company 
holds a certificate of management efficiency, and is fully qualified to 
provide analytical services to determine hydrocarbons in Piston Core sediments 
and API degrees. Apart from that, it is certified by Inmetro (Brazilian 
Institute of Metrology, Quality and Technology) under ISO 17025:2005, which 
formally attests its qualification to perform tests and assessments of traces 
in the femtogr (10-15gr) units for organic compounds in cancer, contained in 
the Accreditation Scope.

As a provider of analytical services linked to the oil & gas sector, IPEXco 
acts in studies regarding oil spills, and also monitoring and interpreting of 
environmental data. The efficiency of such analysis is assured by organization 
and integration, as the company owns laboratories that are technologically 
prepared, and teams having national and international experience.



During 2012, HRT attained a total of 38 licenses, comprising 9 authorizations 
for vegetation suppression, 5 for setting up support bases, 17 for right in 
rem of use, 2 preliminary licenses for drilling, and 5 preliminary licenses 
for seismic studies.

In the environmental sphere, the Company executed the Programs for Recovery 
of Degraded Areas (PRAD) and the Waste and Sewage Management System, 
adequately disposing of residues from our operating activities.

In the social field, several activities were developed in Caruari, Ponte do 
Gaviao and Vila Nova, among others. The Vector Borne Disease Control and 
Monitoring Program (malaria, leishmaniasis, chagas disease and filariasis) is 
being executed as foreseen, focusing on preventive actions.

The goal of "zero accidents" remains valid through the Safety Orientation 
Program and "Observe, Stop and Act".

Ambulatory medical and nursery services, as well as those of emergency are 
still being performed at the drilling sites and support bases, also benefiting 
the riverside communities at the Tefé river and in the city of Caruari.


In Namibia, environmental, operational safety and health studies were executed 
as required for any offshore project, following industry best practices.

The environmental impact studies to obtain the drilling license for all HRT 
blocks in the Orange and Walvis basins in Namibia's coastline were duly 
performed, and all licenses required to start the drilling campaign were 
obtained, as well as the approval of the Contingency Plan for cases of oil 


The human resource management concentrated its efforts in the development and 
implementation of a new organizational model for HRT, which enabled a better 
and more accurate definition of duties involving the Holding and its 
subsidiaries; in managing the adequacy process of the own personnel to its 
actual operational needs; and in the implementation of a set of activities to 
value and motivate the Company`s strategic employees, such as the creation of 
incentive and retention plans, as well as training courses both in Brazil and 



HRT's financial results, based on the consolidated information, following the 
International Financial Reporting Standards (IFRS), presented a loss of R$ 
277.6 million.

During 2012, HRT completed a readjustment of its structure to operate in 
Solimões, reducing the number of operating rigs from four to two, and 
decreasing its headcount by 36% against December/2011 figures.

It is worth mentioning that the exploration campaign in Solimões (seismic and 
drilling) and in Namibia (seismic) have only reached their full scale during 
the second half of 2011. With that, results for 2012 - the year of full 
operation - cannot be compared with those of 2011, due to the different work 
plans executed in these two different periods of time.

In the table below, we present the consolidated summarized results of the 
Company, including the results of its controlled companies HRT O&G, IPEX, HRT 
Netherlands, HRT America, HRT Africa, HRT Luxembourg and Air Amazonia: (Click 

For 4Q12, EBITDA was negative R$ 159 million, an increase of 5%, less of a 
loss than 4Q11, explained mostly by a reduction with geology and geophysics 
expenses (-46%) and third-party services (-65%) due to the number of seismic 
studies performed during this year versus the prior financial year.

As a result, EBITDA for 2012 was negative R$ 369 million, 25% better than what 
was recorded during the same period of the previous year, as explained before, 
due to reduced expenses with geology and geophysics (-36%).

In 2011, the total number of employees accounted for an average of 585 people. 
The Company's focus on costs cutting resulted in a headcount reduction of 36% 
at the end of 2012. As a consequence, the G&A decreased more than 20%, when 
compared to 2011.

The increase in personnel expenses was due to the payment of a retention plan 
and performance bonus in the amount of R$ 60 million (cash and stock options) 
and to the number of terminations occurred during the fiscal year, totalling 
R$ 14 million.

Expenses with third-party services increased due to the charges with 
maintenance of aircraft belonging to controlled-companies HRT BV and Air 

Costs previously booked as capital for well 4-HRT-7D-AM were reversed into 
other operating expenses, as such well was declared to have no production 

The increase in depreciation and amortization charges was due to the 
depreciation of machinery and equipment acquired mostly from the second half 
of 2011 onwards, thus impacting the results of depreciation for FY 2012.

Financial income, which includes F/X fluctuations, was reduced by 40% versus 
FY 2011, basically due to the lower cash balance of 29% and to the reduction 
of the Brazilian basic interest rate (SELIC), which determines the interest 
earned by the company in its financial investments (average of 8.49% p.a. in 
2012 against 11.62% p.a. in 2011).

Below we present, in summary form, results accumulated for 2011 and 2012, 
    --  Diminution of net income due to the reduction of services
        provided by IPEX to third party;
    --  Decrease of financial revenues due to the lower cash balance
        and interest rates;
    --  Increase of total expenses, in spite of the actions implemented
        for costs reduction, as the exploration campaign in the
        Solimões Basin was only intensified from the 2(nd) half of 2011
        onwards (thus having a material impact only from the 3(rd)
        quarter of 2011 onwards) and full impact in 2012;
    --  Reduction of the Fiscal Year's loss compared with FY 2011, in
        spite of higher expenses, due the positive impacts of
        recording, in the 1Q12, the sale of a 45% stake in the
        exploratory rights over 21 blocks in the Solimões Basin to
        TNK-Brasil, which contributed to boost that quarter's result by
        R$ 186.5 million.

(Click here)


The table below presents the variation of the main accounts of the Balance 
Sheet in 2012 against 2011: (Click here)

Material variations in the Balance Sheet accounts are due to ordinary 
utilization of financial resources in the exploration campaigns in Solimões 
and Namibia, according to the details that are provided in the upcoming 
section, and particularly in reducing the balance of the assets held for sale 
and accounts payable to Petra, both of which are related to the completion of 
the sale transaction of a 45% stake in 21 blocks of the Solimões Basin, among 
Petra, HRT and TNK-Brasil.


The Company ended 4Q12 with a consolidated cash balance of R$ 1,052 billion, 
due to the utilization of resources in the exploration campaign in the 
Solimões Basin and the progress made in the seismic campaign on the 
Namibian coast, according to the details provided below.

The following chart presents the liquidity curve of Company's consolidated 
current assets, resulting from the maturity of certain financial investment 
instruments and from the pledge as warranty of approximately R$ 143 million 
(USD 70 million) to lease the rig and related-drilling services, to be used in 
Namibia's exploration campaign.

In addition, we provide the breakdown by financial institution where HRT 
Group's funds are invested, notably internationally renowned top tier 
institutions. (Click here)

The chart below presents the evolution in cash balance, showing inflows and 
outflows, highlighting disbursements, inflow from revenues and receivables due 
to the exercise of warrants and loans. (Click here)

Below we present the breakdown for disbursements performed during 2012, by 
project, and grouped as recurring and non-recurring disbursements: (Click here)

Expenses incurred with exploration campaigns, amounting to R$ 693 million, 
refer to disbursements for activities of exploration, drilling, logistics 
booked as intangible, apart from expenses with our own personnel, third-party 
services and other expenses accrued.

Expenses with seismic, amounting to R$ 174 million, relate to exploration 
activities in the Solimões and Namibia basins, involving hiring services for 
2D and 3D seismic surveys and data processing, arising from unpaid expenses, 
accrued against the results of the FY.

Expenses of G&A, amounting to R$ 62 million, refer to corporate expenses with 
personnel, third-party services and general and administrative expenses, apart 
from taxes and financial expenses of R$ 45 million that were not directly 
allocated to the exploration campaign, but existing for the development of the 
Group's exploration activities.

Non-recurring disbursements with fixed assets - amounting to R$ 75 million - 
basically refer to the payment for the purchase of two helicopters during the 
first quarter, and final payment for the purchase of four rigs and cranes.

The chart below presents the evolution of the average daily cash burn rate by 
project for the four quarters of FY 2012, where we can notice a decrease in 
the second half versus the first half of the FY, resulting from the actions to 
cut costs and restructuring, both at corporate level and in the Solimões 
project. The positive impact during the second quarter of 2012 was due to 
receiving the first installment from TNK for their acquisition of a 
participating interest in the Solimões blocks. (Click here)


The two tables below provide a detailed breakdown of fixed assets and 
intangible assets groups. In both cases, evolution is linked to the 
exploration campaign in the Solimões Basin. (Click here)



Certain information contained in this document, including any information as 
to our strategy, projects, plans or future financial or operating performance 
and other statements that express management's expectations or estimates of 
future performance constitute "forward-looking statements". All statements, 
other than statements of historical fact, are forward-looking statements. The 
words "believe", "expect", "will", "anticipate", "contemplate", "target", 
"plan", "continue", "budget", "may", "intend", "estimate" and similar 
expressions identify forward-looking statements. Forward-looking statements 
are necessarily based upon a number of estimates and assumptions that, while 
considered reasonable by management, are inherently subject to significant 
business, economic and competitive uncertainties and contingencies. HRT 
cautions the reader that such forward-looking statements involve known and 
unknown risks, uncertainties and other factors that may cause the actual 
financial results, performance or achievements of HRT to be materially 
different from HRT's estimated future results, performance or achievements 
expressed or implied by those forward-looking statements and the 
forward-looking statements are not guarantees of future performance.

HRT disclaims any intention or obligation to update or revise any 
forward-looking statements whether as a result of new information, future 
events or otherwise, except as required by applicable law.

Investor Relations Contacts +55 21 2105-9700  Carlos Tersandro Adeodato 
CFO and IRO  Sandra Calcado IR Manager  Priscila Sarandy Domingues IR 
Specialist  Tainah Costa IR Senior Analyst

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SOURCE: HRT Participações em Petróleo S.A.

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CO: HRT Participações em Petróleo S.A.

-0- Mar/05/2013 07:08 GMT

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