Resolute Energy Corporation Announces Consolidated Earnings and Operating Results for the Fourth Quarter and Year Ended December 31, 2014; Announces Impairment of Proved Oil and Gas Properties for the Fourth Quarter of 2014; Provides Capex Guidance for the Year 2015
Mar 5 15
Resolute Energy Corporation announced consolidated earnings and operating results for the fourth quarter and year ended December 31, 2014. For the quarter, the company reported revenue of $65,933,000 against $92,681,000 a year ago. Revenue, net of derivative losses was $78,007,000 against $92,494,000 a year ago. Net loss was $17,148,000 or $0.23 per share against $117,106,000 or $1.60 per share a year ago. Adjusted EBITDA was $38,820,000 against $50,588,000 a year ago. During 2014 resolute incurred oil and gas related capital expenditures of approximately $30.2 million.
For the year, the company reported revenue of $329,371,000 against $349,779,000 a year ago. Revenue, net of derivative losses was $324,384,000 against $313,966,000 a year ago. Net loss was $21,850,000 or $0.30 per diluted share against $113,806,000 or $1.67 per diluted share a year ago. Adjusted EBITDA was $150,855,000 against $149,609,000 a year ago. Loss from operations was $112,674,000 against $133,868,000 a year ago. Loss before income taxes was $25,990,000 against $178,485,000 a year ago. During 2014 resolute incurred oil and gas related capital expenditures of approximately $159,800,000. Reviewing capital program, the company invested approximately $159.8 million, net of $11.2 million of divestiture proceeds.
Production for the quarter ended December 31, 2014, increased 5% to 1,227 MBoe as compared to 1,169 MBoe during the fourth quarter of 2013, and increased 5% from the third quarter of 2014. Production for 2014 was 4,645 MBoe as compared to 4,467 MBoe for 2013, an increase of 4% or 178 MBoe.
For the year, the company reported total production of 4,645 MBoe compared to 4,467 MBoe a year ago.
The company also announced that 2015 capital budget of $45 million to $50 million is well within operating cash flow forecast.
The company recorded impairment of proved oil and gas properties of $120,000,000 for the fourth quarter of 2014.
Resolute Energy Corporation Provides Capital Expenditure and Production Guidance for the Fiscal 201; Reports Reserves and Production Results for the Year Ended December 31, 2014
Feb 11 15
Resolute Energy Corporation provides capital expenditure and production guidance for the fiscal 2015. The company expects to invest between $45 million and $50 million in 2015 in the plan, including completions, minimal facilities construction and upgrades, purchase of CO2, leasing and other corporate capital. Approximately 42% of that capital budget will be spent in the Permian Basin, 36% in Aneth Field (including CO2 purchases) and 22% in the Powder River Basin, leasing and other corporate capital. The company expects to fund 2015 capital expenditures exclusively from internally generated cash flow.
The company estimates that full-year production for 2015 will be between 4.38 million equivalent barrels (MMBoe) and 4.75 MMBoe. The mid-point of 2015 production guidance represents approximately flat production from full-year 2014 production of approximately 4.65 MMBoe (12,700 boe per day). On a revenue-weighted basis, approximately 88% of Resolute's production is expected to come from sales of oil and natural gas liquids (NGL), while on a volume-weighted basis approximately 80% is expected to be attributed to oil and NGL. Boe per day in a range of 12,000 to 13,000. On revenue basis, oil of 85% and oil and NGL of 88% and on volume weighted basis, oil of 71% and oil and NGL of 80%.
At December 31, 2014, the company’s estimated proved reserves were 74.2 MMBoe, compared to year-end 2013 proved reserves of 59.4 MMBoe. Approximately 86% of the company's 2014 year-end proved reserves were classified as oil and 92% were liquids. Undeveloped reserves comprise 44% of total proved reserves. The pre-tax present value of the company's estimated future net revenues from proved reserves, a non-GAAP financial measure, was estimated to be $973 million as of December 31, 2014, using Securities and Exchange Commission pricing guidelines for year-end 2014, discounted at 10%. The year-end pricing used in calculating the present value was $94.99 per barrel of oil and $4.35 per MMBtu of gas (each as adjusted for differentials and NGL content, and excluding the impact of existing hedges). The increase of 15 MMBoe in proved reserves from year-end 2013 to year-end 2014 is comprised of additions of approximately 29 MMBoe resulting from 2014 drilling activity, as well as incremental development projects in Aneth Field. These increases were offset by a downward adjustment of approximately 14 MMBoe related to production roll off, divestitures and other revisions.