ISRAMCO, INC. Reports Third Quarter Results

                 ISRAMCO, INC. Reports Third Quarter Results

PR Newswire

HOUSTON, Nov. 8, 2013

HOUSTON, Nov. 8, 2013 /PRNewswire/ --ISRAMCO, INC. (Nasdaq: ISRL) reported
third quarter 2013 revenues were $19,585,000, compared to $12,755,000 in the
third quarter of 2012, an increase of approximately 53.6%. The increase was
primarily due to net revenues of $5,437,000 from Isramco's overriding royalty
interest in the Tamar Field located offshore Israel, and increased revenues
from well service operations of $4,833,000, compared to $2,617,000 for the
same quarter in 2012. This increase was partially offset by a decline in oil
and gas revenues from the Company's US based operations which decreased by
9.3% compared to the same period of 2012. The decrease in revenues from US
based operations was due to lower prices for natural gas and natural gas
liquids ("NGLs") and a decrease in production volumes of crude oil, natural
gas and NGLs.

Isramco, Inc. reported net income of $3,823,000 or $1.41 per share for the
third quarter of 2013 compared to a net loss of $1,159,000 or $0.43 per share
for the same period in 2012. This increase in net income was primarily due to
royalty revenues from the Tamar Field, increased revenues from well service
activities and a 2012 net loss on derivative contracts (with no corresponding
loss in 2013). These increases were partially offset by decreased revenues
from crude oil, natural gas and NGLs sales in the US and higher income taxes.

The Company reported net income of $6,422,000, or $2.36 per share, for the
nine months ended September 30, 2013, as compared to a net income of
$2,873,000 or $1.06 per share, for the comparable nine month period in 2012.
This increase in net income was primarily due to royalty revenues from Tamar
Field and increased revenues from well service activities. This increase was
partially offset by Company net gain of $3,650,000 on sale of its investment
in shares of Jerusalem Oil Exploration Ltd, a related party and a net gain of
$219,000 on derivative contracts in 2012 (with no corresponding gains in
2013), lower crude oil, natural gas and NGLs sales revenues in 2013 as a
result of decrease in crude oil, natural gas and NGLs sales volumes, a
decrease in NGLs prices, and higher lease operating expenses.

There are currently 2,717,691 outstanding shares of Common Stock.

Isramco's unaudited quarterly results are summarized below (in thousands
except for shares outstanding and per share amounts):

                                                          For the Three  For the Nine
                                                          Months         Months 
                                                          Ended          Ended September
                                                          September 30,  30,
                                                          2013   2012    2013      2012
STATEMENT OF OPERATIONS DATA
Revenues                                                  19,585 12,755  48,075    37,047
Total operating expenses                                  11,780 11,538  33,027    31,639
Operating income                                         7,805  1,217   15,048    5,408
Net income                                                3,823  (1,159) 6,422     2,873
(loss)
Earnings per share – basic and diluted                    1.41   (0.43)  2.36      1.06


CASH FLOW DATA
Net cash provided by operating activities                                15,627    14,156
Net cash used in investing activities                                    (15,344)  (6,891)
Net cash provided by (used in) financing                                1,628     (7,249)
activities
                                                                         September December
                                                                         30,       31,
                                                                         2013      2012
BALANCE SHEET DATA
Current assets                                                           27,013    17,386
Total assets                                                             169,401   153,958
Total liabilities                                                        143,924   135,143
Total shareholders' equity                                               25,477    18,815



FORWARD-LOOKING STATEMENTS

ALL STATEMENTS CONTAINED HEREIN, AS WELL AS ORAL STATEMENTS THAT MAY BE MADE
BY THE COMPANY OR BY OFFICERS, DIRECTORS OR EMPLOYEES OF THE COMPANY ACTING ON
THE COMPANY'S BEHALF, THAT ARE NOT STATEMENTS OF HISTORICAL FACT, CONSTITUTE
"FORWARD-LOOKING STATEMENTS" AND ARE MADE PURSUANT TO THE SAFE-HARBOR
PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. SUCH
FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND
OTHER FACTORS THAT COULD CAUSE THE ACTUAL RESULTS OF THE COMPANY TO BE
MATERIALLY DIFFERENT FROM THE HISTORICAL RESULTS OR FROM ANY FUTURE RESULTS
EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. SUCH RISKS AND
UNCERTAINTIES ARE OUTLINED IN THE COMPANY'S ANNUAL REPORT ON FORM 10-K FOR
2012, ITS QUARTERLY REPORTS ON FORM-10-Q, AND SUCH OTHER DOCUMENTS AS ARE
FILED WITH THE SECURITIES AND EXCHANGE COMMISSION FROM TIME TO TIME. THE
COMPANY IS NOT OBLIGATED TO REVISE OR UPDATE ANY FORWARD-LOOKING STATEMENTS IN
ORDER TO REFLECT EVENTS OR CIRCUMSTANCES THAT MAY ARISE AFTER THE DATE OF THIS
RELEASE.

SOURCE Isramco, Inc.

Contact: Edy Francis, Chief Financial Officer, 713-621-3882,
edyf@isramco-jay.com
 
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